In theory, yes. As soon as YOU start YOUR business.
Because there are so many legal requirements to meet when you own a business, you can get into a lot of trouble if you forget to file a statutory return or something similar during the chaotic early stages of starting a business.
A skilled accountant will also be able to help you make budget projections, plan your cash flow, and may even be able to help you finance your cash flow.
All of these things may make the process of beginning your own business far less stressful.
But, in practice, before deciding whether or not you need one, consider the answers to the following five questions.
Do you or someone else have the time to do all the jobs that an accountant would do?
Do you or someone on your team have the skills and experience to do the job that an accountant usually does?
Are you aware of all the work an accountant does?
Have you conducted as much research as possible on potential substitutes for an accountant?
Have you studied how much it could cost to hire a bespoke accountant?
However, many small businesses, start-ups, and entrepreneurs find it challenging to hire an accountant for a reasonable wage NOW.
Because of this reality, you should consider the possibility of outsourcing the provision of accounting services to a firm that possesses the necessary expertise and credentials.
When You Should Consider Outsourcing Your Accounting And Bookkeeping
From our experience working with different small and medium companies, outsourcing bookkeeping and accounting tend to work best when:
A small business does not require a full-time bookkeeper but needs a person with more skills than the office manager or receptionist can provide.
A company of any size cannot find a full-time employee with suitable abilities at affordable costs.
A growing company is looking for opportunities to scale its accounting and bookkeeping services anytime.
Temporary services are needed, e.g., extra help with end-of-the-year reports or if a full-time employee is going on holiday, maternity leave, etc.
However, even if you hire a skilled and qualified person, someone (usually the executive director) will still need to be involved in the process while approving invoices, making deposits, reviewing timesheets, etc.
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