How can an accountant help an entrepreneur?
How can an accountant help an entrepreneur?23 ก.ค. 2020
An accountant represents a key partner for every entrepreneur. This professional will be able to bring its expertise and his help at different stage of an entrepreneurial project. His contributions are of a multidisciplinary character such as:
- During the creation,
- During the operation,
- On the occasion of the cessation of activity.
Here is how an accountant may help an entrepreneur:
1) The role of the accountant in the creation of the entrepreneur commercial activity:
- As this mission can be sometimes unknown to the public, the mission of the accountant is to accompany an entrepreneur in his project of the business creation. The help of the accountant is not only limited to the accounting side as his knowledge are multidisciplinary. His expertise in business law, fiscal law or social law among others represents a valuable asset.
Concretely, he will be able to answer the following questions:
Which legal status would be the best choice depending on the entrepreneur project and capabilities?
Which social status the entrepreneur should he goes for?
What the different taxes applicable?
How to finance the business needs from a creation or a takeover project?
In addition, the accountant is also able to help entrepreneurs to elaborate the business plan. From the financial table as well as the written part, the accountant can help him on every side of the work.
In the end, the accountant can also bring his knowledge on the local market in order to establish the framework of the company. He can draw up the different status and carry out of the formalities for the constitution of the company (e.g. legal announcement or the company registration to the relevant authorities)
2) The accountant can help the entrepreneur to keep his accounting in accordance with the local regulation
Every organization that does not fall under a particular regime (e.g. dormant company, a holding) has duties and must keep their accounting up to date.
In this matter, the help from the accountant will have no-equal as long as:
Accounting still represents his core business. Therefore he has a deep understanding of it;
Belongs to the order of accountants and must follow professional standards; which allow him to guarantee a certain level of quality regarding its services (e.g. ethical duties).
It is important to highlight that only a qualified accountant and registered at the accountant order is allowed to keep the books and sign the different accounts (CPA “Certified Public Accountant” or CCA “Chartered Certified Accountant).
The accountant knows how to identify the accounting and administrative organization most suitable to the situation of the contractor. He can also help to put it in place within the structure (e.g. implement process
The entrepreneur can decide to outsource the whole side or just a part of his accounting. With the help of his accountant, he will define the framework of the duties. For example, he can decide to compute everything by himself and ask the accountant to review the accounts and establish the annual financial statements.
3) The accountant can provide help to the entrepreneur in other areas
The accounting field is not the only one in which the accountant stands out. Among other areas of contribution, he can support in many other fields such as:
Fiscal: The different tax filing and tax return (VAT filing, Withholding Tax );
Social: Draft of the employment contract, completion of pay slips, declaration of social charges;
Legal: Support the current annual legal (approval of the accounts) and exceptional (adjustment of the status);
Economic: Measure the performance of the company with the implementation of management tools (or “KPI”)
In the end, the accountant is bound to a duty of advice. As such, he must respect several obligations towards his client. His help, however, can only be related to information related to his mission.
For example, the accountant is able to provide a tangible answer on the following:
Is it better to receive remuneration or dividends?
Is there any advantage to create a company with a holding?
Is it better to buy back the business or only its shares?
Looking for some help or advices? Our accountants and tax experts remain available for any accounting services in Thailand, taxes, payroll or paralegal matters!