As a small business owner, it can be a challenge to set aside time for meetings not connected to your day-to-day work. But, preparing thoroughly for a meeting with your accountant can actually save you time, not to mention money and stress. Proper preparation means you will get the most out of the meeting.
Here’s a guide for how to prepare for a meeting with your accountant:
1. Gather your documents
Start by organising all your relevant financial documents. This will help for your meeting but also in general as you will be able to keep track of your financial records.
You will typically need:
- Income statements and balance sheets
- Bank statements
- Receipts and invoices
- Tax documents (including previous tax returns)
- Loan agreements and lease documents
- Superannuation information
You could consider using accounting software to keep everything in one, easily accessible place.
To save time and ensure your meeting runs smoothly, consider asking beforehand exactly what documents you should bring. This is particularly helpful if this is your first meeting with your accountant as it will give them a full overview of your business financials.
Most importantly, make sure these documents are up to date.
2. Understand your financials
Before the meeting, familiarise yourself with your business’s financial standing. Look at your profitability, cash flow and financial goals.
It can also help to keep track of any changes to tax laws that might have an implication on your business.
3. Prepare a list of questions or discussion points
Write down the issues you need to go over with your accountant. This will help ensure you make the most of your time. You may want to ask about:
- Tax planning
- Cash flow management
- Your business’s financial health
- Superannuation contributions and compliance
- Accounting software recommendations or help
If you think it will help, you can send your questions ahead of time so that your accountant has the opportunity to prepare to discuss them with you in the meeting. This can be particularly helpful for businesses in very niche sectors.
4. Review previous meetings
If this is not your first meeting with your accountant, check beforehand that you have completed the tasks that were assigned to you at your previous meeting. Make a note of any issues you faced during that process. Be sure to follow up that your accountant has completed their previous deliverables.
5. Be transparent and honest
There is no point in trying to hide finances you are embarrassed about as this will only negatively impact your business in the long run. Be honest about any financial difficulties or mistakes you may have made.
Your accountant can provide the best advice when they have a complete and accurate picture of your finances. Full transparency is crucial for effective financial management.
6. Follow up
You should leave your meeting with a plan of action for both you and your accountant. There might be tasks you need to complete after your discussion and it’s likely your accountant will have steps they need to complete for your business.
It can be helpful to schedule a follow-up meeting to go over the progress you have both made and discuss any challenges that may have arisen in the meantime.
A follow-up meeting will also ensure nothing falls through the cracks.
By following these steps, you can effectively prepare for your meeting with your accountant to ensure you maximise the time you have together and get the most out of their expertise.