St. John’s is the easternmost city in North America and one of the oldest townships in Canada, but this unique city isn’t just unique geographically or historically. St. John’s is also known for taking style and originality quite seriously. It’s a little-known fact that many of the local housing ordinances require every home on a given block to be painted a different color. And that’s just where St. John’s obsession with style begins. Of course, the town is also well known for its picturesque beaches and the iconic watchtower, Signal Hill.
It stands to reason that such a historically relevant and culturally rich location like St. John’s would be home to some of the most unique and enterprising kinds of small businesses you can imagine. Artisan shops and unique services of the sort that tend to thrive in such a culturally rich place also tend to have special challenges when it comes to compliance with tax law and other accounting issues.
Small, new, and start-up businesses, particularly those in innovative and artistic areas of expertise come with some pretty unique challenges. According to surveys of small business owners, the most common challenges to accounting are:
- Managing accounts receivable/collections
- Tracking cash flow
- Managing all of the relevant paperwork
- Closing the books every month
- and Managing payroll
The researchers also found that no less than 71% of successful small businesses outsource at least one of their accounting functions.
This is a significant finding. Many professionals agree that the confluence of the 2008 recession, drop in oil prices and the surge in IT technology has reshaped economies in such a way that outsourcing, in general, is more valuable than ever. When it comes to accounting, the alternative means being proficient in maths, tax law, as well as the art and science of accounting.
Modern psychology tells us that entrepreneurs are essentially identical to artists from a temperamental point of view. That means- if you’re like most small business owners and start-ups, doing your own accounting is not a practical solution to the common problems listed above.
Here at Clarified Accounting, our mission is to fill in those critical gaps that can foul up your business process, and let you get on with doing what you do best. Get in touch today to learn more.