Having an accountant is not only about managing your finances, but also helping you to reduce business costs. Whether you are an experienced or start-up business, new tips to help you save money will always help you succeed.
Coleman & Co can help all small businesses throughout the Lisburn area, offering tips to reduce business costs. Whether you require management or advice, our team are always happy to help.
Reduce Staff Costs
Using accountants is useful in more ways than one and it can also help reduce your staff costs. Whilst you are growing a business, saving money on staff will ensure business costs do not get out of hand. Employing too many staff members too early in your business could have a negative effect and easily lead to liquidation.
Your staff are the most important part of every business, however, there are many roles that you can complete yourself or use an accountant for. There is no need to employ staff for every job and finding a good balance will always save you money.
Using the right software for all functions within your business will always result in saving time and money. Whether this is accounting software to manage finances or software for day-to-day tasks, it should always be used.
Accounting software will allow you to complete a number of tasks in your business, including:
- Cash Flow Forecasting
- Tax Returns
With many tasks available for completion using accounting software, this is always the best option for your business. Even if you continue to outsource the management of your finances, having this software will allow easy access and control. Software should be used throughout your business to ensure all tasks are completed easily.
Work From Home
As a sole trader, having fancy offices and workshop space is not a priority. Whilst it may be nice to have, working from home will help you keep business costs low. If you are a one-man army, working from home will also reduce travel times and costs of getting into your office.
Not only is working from home a big factor in reducing your business costs, but you should be over the moon about working from home. You can get up late, wear whatever you want and forget to wash your hair. Offices may offer more style, but there is little convenience for both you and your bank account.
For both your staff members and yourself, paying efficiently to reduce tax costs can help save money. Different tax bands mean higher payments are made the more you earn, so keeping pay low could benefit you.
Whilst you should still be paying yourself and staff members a fair amount, trying to evenly pay staff and keep a certain amount of money in your business could help you reduce tax returns. Accountants can always advise clients to ensure you pay the minimal amount of tax necessary for your business.
Understanding Your Tax Returns
For many businesses, your tax returns will be one of the biggest payments all year, other than paying staff. To ensure business costs are reduced as much as possible, you should gather a good understanding of necessary tax payments.
This will not only mean you pay less on your company and personal tax returns but will also help you avoid potential fines. Businesses can receive fines for both incorrect tax returns and missed deadlines, so it is integral to stay organised.
For more tips on how to reduce business costs, do not hesitate to get in touch with Coleman & Co. We will offer support throughout the Lisburn area, always offering advice on your finances. Call us today to discuss the services we have available on 028 9266 3599 or fill in our contact form to make an enquiry.