While 95 per cent of SMEs recognise that their accountants have strategic value, only eight per cent rate the service they receive as outstanding.
These findings, from accounting software brand FreeAgent, suggest that the skills on offer from most accountants are not broad enough for the needs of SMEs and that many have not yet realised that numbercrunching alone is no longer enough.
SME owners demand attention to detail, analytical skills and problem-solving, but they also seek support in navigating hurdles and exploring opportunities. Understanding a client’s business is vital.
But to be of real value, an accountant should understand the people behind the business, as well as their personal aspirations and goals.
The strength of many SMEs lies in their ability to experiment and innovate quickly, allowing them to stay ahead of the curve and respond quickly to changing market trends and customer needs.
However, many SME owners can sometimes work too much ‘in’ the business rather than ‘on’ it. The risk is reacting to issues as they arise, rather than proactively anticipating what could happen in six months’ time. This is where an ‘outstanding’ accountant comes in.
While larger organisations are likely to have in-house expertise, SMEs will typically rely on external advice. Therefore, regular open and honest conversations between accountants and SME owners on company goals and challenges are essential. This will also allow accountants to tailor their services accordingly.
Unfortunately, many business owners still have a more traditional relationship with their accountants, perhaps meeting just once or twice a year, usually to discuss historic figures.
Accountants can and should be an extension of the SME, acting as a fully outsourced finance function (including FC and FD roles) and working with them on at least a monthly basis – if not weekly.
This ‘new’ way of working has been fundamental to the success of many SMEs, enabling them to tap into the accountant’s knowledge and expertise across all areas of business, and providing them with greater business insights to help with decision making and strategic direction.
A collaborative approach helps strengthen the SME and provides opportunity for growth. That’s what sets the outstanding accountants apart from the rest.
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