When you started your business, you did so because you had a product or service to provide. Thanks to your expertise and skill, your business is solving problems in people’s everyday lives, and doing good things for your community.
However, with any business comes a list of complex details and policies — especially when finances and taxes are involved.
While there is no correct answer for when a small business could benefit from financial counselling services, there are indicators for when the time is right, as well as obvious key advantages for outsourcing your CFO responsibilities.
A Comprehensive Look At Your Business
For some small businesses, generating 2 million dollars in annual revenue is a matter of selling a few of their products. For others, it means thousands of transactions on a much smaller scale.
The difference between businesses comes down to their industry, products, as well as their long-term goals.
In these examples above, no matter how many transactions your business is completing each year, at some point, you will likely reach a bottleneck. This means that your current system begins to hold you back from growth.
One key benefit of having a CFO on your side is that your financial advisor has the know-how to zoom out of your situation and look at the big picture.
Then, by seeing and understanding how your payroll, your invoices, and your cash flow are processed, a CFO can help determine where you might be running into inefficiencies. And then, help optimize your system.
In addition, a CFO understands economic trends, and often has insight into industry changes so you can prepare for the future.
Essentially, a CFO can help you push past a growth ceiling and take your business to even greater heights than you thought possible.
So no matter your size, current revenue, or your industry — a CFO benefits all types of small businesses, and helps them grow, as well as reach their full potential.
Once your CFO has identified areas where your business’ financial automation could be improved, a CFO will put together a plan of action that your business can follow.
If your goal is to increase revenue to hire additional employees, do you know exactly how much your business is going to need to make on a quarterly basis?
Do you know how to compare and interpret the data from a year-by-year revenue look at your business?
Not only can a CFO help you understand important pieces of your business’ financial data, but they can also help you set KPIs (or Key Performance Indicators). That way, you can clearly see the targets you want to hit, and then determine the best course of action for achieving them.
When your focus is solely on your day-to-day operations, it’s often difficult to get a clear picture of where your business stands, and the direction you want to take it.
A CFO helps you turn loose financial goals for your business into an achievable reality.
Reach out to Leonard Tam Professional Corporation for a Free Consultation
From filing taxes, reducing risk, and even growing your business, Leonard Tam Professional Corporation has the expertise to help you navigate the financial complexities of your business.
No matter how small your business actually is it can benefit immensely from financial counselling services.
When it comes to tax preparation, the only thing worse than leaving money on the table, are audits from the CRA. Our professional CFOs can help you avoid both.
And, as your business grows, reducing risk and preparing for your future is best done proactively, instead of reactively.
Contact us today for a free consultation so we can dive into your business goals together.