Small business accounting can have a steep learning curve and be very time-consuming. If you're a new small business owner, you should explore getting an accountant. Having a professional organize your books can save time in the short-term and money in the long-term.

Why Small Business Owners Need an Accountant

1. Selecting the Most Advantageous Business Structure

Even in the beginning stages, first-time small business owners will benefit from having an accountant they trust. One of the most critical aspects of small business accounting is selecting the right legal structure for your company. It can be structured in several ways, including as a corporation, a limited liability company, or a sole proprietorship. Each structure has advantages and disadvantages in terms of how taxes are handled, the amount of liability protection, and the requisite paperwork. An accountant will look over your business plan and tell you which structure makes the most sense in your situation.

2. Creating Unbiased Reports

If you’re new to entrepreneurship, it can be challenging to assess whether your business is actually doing well. Rather than relying on your gut instincts, an accountant with a background in small business accounting can create unbiased reports that list your projected income, expenses, and other information to allow you to make the smartest possible decisions going forward.

3. Handling the Taxes

Small business accounting can become downright daunting when tax time rolls around. If your small business doesn't file taxes correctly and on time, it could result in monetary losses if the IRS comes calling. Instead of dealing with an unknown, turn to an experienced accountant who can help you avoid common tax pitfalls.

If you are looking for accounting help, turn to Dianne M. Saunders, CPA, in Litchfield, CT. For more than 25 years, this full-service accounting firm has assisted clients in everything from bookkeeping and payroll services to small business accounting and tax preparation. Call (860) 567-3022 to schedule a consultation or visit their website to learn more about their services.