You’ve grown your business, you take pride in a satisfied customer base, and you have increased profitability year after year -- what’s the problem with that? As the poet Biggie Smalls once so eloquently rapped, “Mo' money, mo' problems.” While it’s obviously the goal to succeed as a business, here’s how too much profitability can hurt your business -- and where you can get the help you need.
Why Profitability Can Be a Headache
It’s all about attention to details… and more details.
While it’s possible to micromanage when your business is small, with increased profits comes the likelihood that you just can’t handle it yourself. Now comes bigger concerns about taxes, payroll compliance, and bookkeeping that can’t be ignored. While it’s great that your business is profitable (for real, nice!), it can mean that you have to spread yourself too thin to deal with these added challenges.
The stakes for messing up are much greater now.
Unfortunately, you’re not the only one paying attention to your new found success. With added profitability comes attention from the IRS. If you’re not thinking about this throughout the year (because you’re, you know, running a business) then you can get to tax season owing a ton of money to the government. The penalties for messing this up can be dire, and in some situations can even cripple your business. This is compounded by the fact that you’re likely to make a mistake with more responsibilities and added stress. Something has to give.
Get someone who cares as much as you do.
The good news is there are trained professionals whose job it is to make sure that these problems are headed off before they even become problems. A good accounting firm not only can help with your day-to-day accounting, but they can also help you answer questions so that you’re never faced with a situation you can’t handle. It’s important to feel like there’s someone in your corner who knows your business inside and out, especially if you’re likely to go through an audit. With a firm foundation of accountability, trust, and the knowledge of how your business works, you’re now freed up to care about what made you love your business in the first place. It’s time to ditch the anxiety of tax season and make work fun again.
Check us out and see how we can be of service -- from tax prep, to monthly bookkeeping, to giving advice on how to increase your profitability. We have a team of experts dedicated to answering any questions you might have, and providing advice when you need it. We can’t wait to be a part of your success story.