The current cost-of-living crisis is intensifying the demand for accountants’ services among small to medium businesses (SMBs), as found in a study by QuickBooks, an online software provider. With the economic pressure mounting, 43% of SMBs already engaging with accountants are now seeking additional support in financial forecasting. Furthermore, 35% of SMBs without accountants are showing interest in such services.
Nick Williams, the UK Product Director at Intuit QuickBooks, emphasizes the crucial role of accountants in bolstering the UK economy. He refers to them as “unsung heroes” vital in aiding the myriad of SMBs that form the backbone of the economy.
The study reveals that an accountant’s expertise goes beyond mere tax compliance. About 80% of SMBs acknowledge that having an accountant can save them a minimum of three hours weekly. In light of the cost-of-living crisis, SMBs are increasingly consulting their accountants for advice on tax relief (32%) and cash flow management (31%).
The crisis is impacting SMBs in various ways. For instance, 44% of business owners have raised their prices, and 25% have extended operating hours to cope with the economic challenges.
The research also indicates that around 75% of sole traders and owners of micro-businesses believe that enhanced access to additional services from accountants would boost their confidence in the future success of their enterprises.
However, the study points out a significant gap: 46% of business owners have been turning to family and 29% to friends for support and reassurance, rather than seeking professional accounting advice. This approach might lead to missed opportunities, particularly in understanding potential tax savings.
Are you a local business looking to maximise your opportunities this festive season? Contact Cutts and Co for expert financial advice and support tailored to your business needs.
The information provided in this blog is for general informational purposes only and is not intended to be a substitute for professional advice. While we strive to ensure accuracy and relevance, the content may not apply to all individual circumstances. We encourage you to consult with a professional accountant or financial advisor for advice tailored to your specific situation. The views expressed in this blog are those of the author and do not necessarily reflect the official policy or position of our firm.
