Why it is important to have a business advisor outside of tax season

As a business owner, you need to surround yourself with the people who will help you take your business to the next level. With countless tasks to handle each day, you have to delegate and to trust that everyone is working toward mutual goals.

On a regular basis, I get the opportunity to sit down with business owners who admit having no idea what’s really going on with their business finances or where they can make improvements to increase revenue. This is why I continuously educate my clients on the difference between a business advisor and a traditional accountant.

Many business owners sit down with their accountants when tax season approaches and that’s when they come across many surprises. Understanding the role that a business advisor plays and how it differs from an accountant is the first step to organize your company’s finances and set up for success. 

Why a business advisor?

Let’s start with the basics. A business advisor is the resource that provides a company or a business owner the strategies and plans that will take their business to the next level. In other words, when you invest in a business advisor, you are investing in an ally who will help you grow your business. This is something that my team and I take very seriously. Our approach is different from the traditional services you can find in the market. Yes, we are here to help you with taxes, but it’s so much more than that. When business moves are planned strategically, aggressive tactics can be put in place to minimize taxes and increase profits or to help you build more wealth.

Taxes are among the most stressful things a business owner has to worry about. Looming deadlines often make business owners trust this area of the business to any person just because they need to get things submitted. You’ll be surprised at the number of business owners whom I sit down with and discover that they paid more on taxes due to poor planning. When you have a business advisor working with you, situations like this one can generally be avoided.

Time is money

Running a business is complex and mistakes can cost a lot of money. With the guidance of a business advisor, you reduce the risk of last-minute surprises when tax season gets here. A good advisor will meet with you throughout the year to ensure that all your financial needs are met. Also, working with an expert to outline goals and objectives is the way to establish the road to success and save money in the long run.

“FMA has become an indispensable strategic partner in our practice. They found numerous ways to help save us significant costs in our operating expenses, help manage personnel, and focus our expansion and financing option.”- Dr. Richard Gans – CEO, American Institute of Balance 

The idea of an additional person “telling you what to do” can be an overwhelming thought at first, but here’s a summary of some of the main benefits a business advisor brings to the table:

1.      Prevents mistakes: From failing to report income to math errors, you want to avoid mistakes. Mistakes with the IRS can lead to big fines or criminal prosecution. Having a person constantly advising you will prevent these mistakes.

2.      Stay up to date with tax laws:  Even though a tax software product can walk you through the steps when filing taxes for a business, there’s so much more you need to keep in mind. For example, tax laws change constantly, and an advisor will walk you through how these changes will affect you.

3.      Outline financial strategies: Having a plan that outlines how your business will grow allows you to take control of your business path. A business advisor is they key person you need to have working with you when developing these plans.

4.       Succession plan for your business: You might not be thinking about retirement or selling your business anytime soon, but still need to have a plan in place and be ready when the time comes. This is also an area your business advisor can support you with.

Now that you have a better understanding of the value of a business advisor, are you ready to add one to your team? More than just paying for a traditional CPA --just for taxes—invest in growth for your business. At FMA CPA, our proactive methods and tax experience help our clients build wealth and create value in the business they own. Let’s connect today to discuss how we can be an asset to your team.