Accounting Statistics You Need To Know for 2019!

January 18, 2019

Forewarned is forearmed. It pays for a Los Angeles County business to be as well-informed as possible regarding new accounting procedures and changing tax laws as you enter 2019. A trusted Accountant service Los Angeles or Encino-based acting as a knowledgeable advisor can play a major role in a business’s success. Here a few statistics and thoughts that can help you prepare for the new year.

Accounting and Cash Flow Management

Small businesses are the most likely enterprises to demonstrate much less than optimal cash flow management. A deciding factor in your business’s ability to stay afloat and grow can be your ability to effectively manage your revenue and working capital. Consider these trends:

• Percentage of accountants serving small businesses who see their advisory role expanding into developing a strategy: 70 percent
• Percentage of small business owners who do not feel they are knowledgeable enough about finance and accounting: 60 percent  
• Percentage of small businesses that view their accountant as their most trusted advisor: 30 percent
• Percentage of small businesses that do not expect to have face-to-face meetings with their accountants: 58 percent
• Percentage of accountants who say that their clients now demand more from them than five years ago: 83 percent

Is Your Business Well-Prepared?

How effectively your Encino or Los Angeles Accounting service can help you manage your business’s cash flow and comply with government requirements affects both your tax liabilities and your bottom line. How well-prepared is your business to handle the following?

• Remaining fully compliant with state and federal laws
• Making certain that business and personal expenses are kept separate and well accounted for
• Making the best possible long-term financial decisions
• Creating financial forecasts for growth and to obtain capital from investors or lenders
Preparing for an IRS tax audit

Don’t Try a DIY Approach

The Los Angeles County or Encino Accountant you select for your business can be a deciding factor in your success. It’s in your best interests to obtain and rely upon the best fiscal advice and guidance that you can find.