Business owners, especially for new businesses and start-ups, have more going on than one human can handle. They also usually have a tight budget with minimal cash flow – for that reason business owners can be reluctant to take on new expenses (like bookkeepers or accountants).
They think they aren’t quite ready to take someone onto the team and that they can handle payroll, bill pay, cash flow management, and financial decisions on their own.
What is the tipping point, though, when it’s time to seek help?
Sometimes, by the time a business owner recognizes they are behind in financial management, it’s too late.
They get hit by large CPA fees because the books were messy, they realize they’ve been bleeding money with inventory mismanagement problems, they aren’t prepared for a new fiscal year adequately, or they have made a few missteps with cash management and are forced to close the doors.
Getting a financial expert on your side is paramount to a business’ success. All business owners know their business well, but most are forced to make decisions without good numbers to guide the way.
By outsourcing this role, you avoid the high price of hiring an in-house accountant or bookkeeper while gaining access to a financial powerhouse team with real knowledge and skill.
Now, of course, not every one-person operation needs an outsourced bookkeeping team. But, there are certain indications to look for as you grow that will let you know when to look into outsourcing.
How do you know when it’s time? Here are a few indications:
- Your duties as Owner/CEO (and all of the other hats you wear) are getting in the way of preparing timely, accurate, and relevant financials (or Vice-Versa)
- You are making critical decisions about growing your business with mostly your gut and not a lot (or any) hard numbers
- You’re anxious about not knowing what the future might hold for your business financially
If any of these spoke to you, it’s time to reach out for help! This will help to preserve the financial integrity of your business and help you to grow and thrive.