Business Blog

Business Consulting: Can The Accountant Be Your Consultant

Some accounting firms offer business consulting like Productivity & Efficiency Advising for Small Businesses among their services. But for the accountant to act as a consultant to the entrepreneur, he does not necessarily need to be hired as one.

It is necessary, of course, to set limits and respect each activity. When talking about consulting accountants, we do not want to suggest using them to replace a company or a professional specializing in business consulting. As we recalled earlier, there are situations in which hiring is justified, such as having a precisely defined objective. On the other hand, the accountant has the advantage of not being a complete stranger to the company (and the disadvantage of not always being able to guarantee his neutrality for this).

When seen by the entrepreneur as a true partner, it is able to offer essential subsidies for decision-making in the company. Even so, it will be closer to an advisory job than a consulting one. Whatever the name was given to this relationship, it is notorious that the consulting accountant is underutilized. The research on the Relationship between SMEs and accountants, which has already been the subject of an article here on the blog, brought data that corroborate this understanding.

The study revealed, among other data, that accountants are used by small companies more for basic and bureaucratic services (such as issuance of guides and tax payments) and less for actions capable of improving the company (such as financial management and tax planning).

At the same time, the survey identified a disparity between demand and supply. This may indicate that the entrepreneur does not perceive the value of the accounting information he receives, or that the accountant is failing to offer him services with added value.

By the way, 61% of the interviewed entrepreneurs revealed a willingness to pay something extra to the accountant who provided consulting services (54% would even pay up to 20% more). If the professional has what the entrepreneur wants, but this exchange does not happen, is there a lack of communication?

Does Your Business Need A Consultant?

It’s not the same as what you might say, for example, when you look at the cashier, you find scarce resources and you have to decide which bill to pay. Or when you don’t know whether to hire a new employee for administrative or sales.

You already know what a consultant such as Cultivate Advisors does, but assessing your need is worth reflecting on what hiring them represents. We are talking about external assistance in your business, which cannot be confused with interference, but which materializes with another company within yours, learning about the processes and guiding your actions, even if for a limited period. And now, do you keep thinking that you need a consultant in your company? If so, you’re probably ready for the next step: defining who will play that role. It is important to know what a consultant does in a small business

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