While one size may not fit all as far as accounting services go, there is much to be said about the benefits of hiring a small accounting firm for your business. Unlike big firms with vast networks, multiple departments and high-profile clientele, small firms offer a more personalised, flexible service that better suits the needs of smaller business owners.
Here at SureBooks, we pride ourselves in growing small businesses with professional, high-quality accounting services led by our trusted small business accountants. In this quick read, we’ll be comparing the value of big and small firms and why we believe you’ll be getting more bang for your buck by hiring a smaller accounting firm to manage your business’s finances.
Understanding Big Firms: Are They Worth It?
Before we explore the many benefits of hiring a small accounting firm, it’s important to highlight the manner in which big accounting firms work. Large accounting firms offer a wealth of resources and services for clients, such as auditing, consulting, tax advice and many more.
However, the vastness of big firms can also be its greatest disadvantage, especially for small businesses who do achieve average yearly sales turnover figures on par with multi-national corporations. When it comes to offering more personalised services, big firms tend to fall short for several reasons, these include:
Poor Flexibility
Unlike small accounting firms, big firms tend to follow a less flexible system, meaning that it’s far more difficult to accommodate the specific needs of startup owners and other clients. While big companies may benefit from the rigid policies and procedures of large firms, small businesses usually have more unique needs when it comes to accounting services.
Entrepreneurs spend a great deal of time, money and energy running their own business, which is why they often require a more flexible schedule. As large firms don’t allow for much versatility, they can’t customise their services to the needs required by small businesses.
Higher Costs
If you run your own small business, you’ll know that every cent counts, especially if you already start off with fewer resources to work with than large organisations. Therefore, a major disadvantage of hiring a big accounting firm is their exceptionally high fees.
From the large workforce to the administrative fees, hiring a big firm is a costly expense.
Being cost-effective is crucial to running a small business, which is why a small accounting firm tends to be a more lucrative choice for startup owners over large firms.
Lack Of Relationship Building
Big firms are well-established in the industry, but this is partly due to their prioritisation of high-profile clients and landing large contracts. When it comes to finding personalised accounting services, big firms tend to forego building long-term relationships with their clients as they don’t need to rely as heavily on client retention as much as accounting smaller firms do.
If you’re looking to foster a fruitful partnership with a more personable accounting service, big firms are typically not the way to go.
Delayed Response Times
Investing in big firms with vast networks may seem like a good way to spend your money, but there are downsides to this sort of expansive structure. If you’re looking for direct communication channels to relay your queries or concerns, you may have some trouble finding the right person to speak to in a big accounting firm with a large workforce.
This is because, unlike smaller firms, large firms have multiple departments and huge workforces, making it more difficult for you to directly speak to specific people or have your issues addressed timeously. In a small business where circumstances are constantly changing and new issues are regularly arising, this may not be the most ideal option.
The Benefit Of A Small Firms: Personalised Services
A small or botique accounting firm offers a diverse range of advantages for the clients that hire them, especially when it comes to customisation. From more flexibility to personalised services, a smaller accounting company has its own unique competitive edge that sets it apart from large accounting firms.
If you’re in search of an accounting service that can properly address your needs and provide you with a strong business relationship, look no further than a small accounting firm like our team at SureBooks. Here’s a few benefits that make smaller firms such a valuable resource for small businesses:
Hands-On Services
Instead of struggling to book one-on-one time with senior partners at big firms, a smaller firm offers you easier access to senior professionals, who typically adopt a more hands-on approach when it comes to helping their clients.
Genuine Partnerships & Relationship Building
Every relationship counts when it comes to a small accounting firm. Due to their smaller size, many smaller firms rely on long-term customer retention, which is partly why they work so hard to establish strong, genuine business relationships with their clients.
Additionally, a small accounting firm is known to have a more intimate, close-knit working environment, allowing their employees to work more closely with each of their clients. By getting to know your business from the inside out, they can understand your needs better and find solutions that work for your company.
Specialised Services
One of the greatest advantages to hiring a small accounting firm to manage your business’s finances is that they can provide you with a range of specialised services. Bigger firms often specialise in one specific area of accounting, making it harder for them to accommodate the needs of enterprises.
By contrast, smaller firms can tend to both your accounting and business advisory needs. This is because most small firms specialise in a range of industries or services, making them better equipped to address your specific concerns and needs.
More Easily Accessible
As these firms have a lower volume of customers to attend to, they’re easier to get a hold of than large firms. Instead of trying to relay your queries or concerns through multiple departments and staff members, smaller firms can address your issues without delayed response times.
Small accounting firms are far more accessible than big firms, which is why their grassroots working style pairs so well with small businesses.
Save On Costs
If there’s any reason why you should consider hiring a small firm to manage your business’s finances, it’s that you’ll be saving more money. While the high-profile clientele of large accounting firms may seem like the ideal option for business owners, a small accounting firm is especially affordable.
Not only will you be saving on hiring fees, but a small business accountant will also help to manage the costs of your business effectively. This way, you can direct your full attention on running your business properly instead of moving money around to keep your company alive.
Why A Small Accounting Firm Is Essential To A Small Business
In this day and age with access to software and technology more open than ever before, it doesn’t matter if you are a big or small accounting company. Generally, these companies will utilise similar accounting programs no matter their size. That means that even small accounting businesses have access to a plethora of accounting tools to help them manage your finances. While these different avenues offer their own benefits, it is undeniable that a small accounting firm offers a more personalised, genuine experience for a small business owner.
Having a more flexible and customisable accounting service is essential for startups, largely because of these specific reasons:
Proactive Problem-Solving
When you hire a small business accounting firm, you’re gaining more than just finance management and basic data entry. Not only are small firm accountants highly skilled, but they’re also strategic thinkers and problem solvers.
Anyone running a business knows that issues are bound to come up regularly, especially if you’re struggling to save on costs. As small firms are more proactive at solving your problems, you can better achieve your financial goals and overcome obstacles.
Accommodating Your Specific Needs
Each small business has their own unique needs, which is why it is far more beneficial for startup owners to work with accountants that specialise in small-business accounting rather than approaching a big firm. This is because small firms offer a more personalised approach to accounting, allowing for a deeper understanding of a business’s nuances and specific challenges.
By understanding the needs of your business, a your accountant can tailor strategies specific to your needs and help grow your business.
Professional Advice & Guidance
Having access to personalised services does wonders for small businesses, especially when it comes to receiving guidance and business advice. Unlike large firms, small firms can provide you with expert guidance and advice that is directly related to the challenges faced by small businesses.
From managing your cash flow better to developing strategies that will help grow your business’s finances, small firm accountants understand what it takes to drive small businesses to success.
Adaptability
If you’ve ever worked in a small enterprise, you’ll know that business is constantly changing and directly impacts the financial health of the business. As the small business landscape is so dynamic, enterprises require more flexibility when it comes to the management of their finances.
A small firm offers support to small businesses when needed, adapting to the needs of your company and accommodating you wherever possible. If your business is constantly shifting from exponential success to financial strife, an accountant with small business experience can more easily adapt to these ongoing transitions and develop strategies according to the current circumstances.
In Conclusion
While big accounting firms may offer stability, brand recognition and global reach, it can be said that they offer a far less personalised approach to accounting than small firms. From a lack of flexibility to less personal attention, larger firms are not as well suited to the needs of small businesses than smaller accounting firms.
By understanding the complexities of enterprise business models and prioritising relationship building, smaller firms have the professional skills, adaptability and flexibility to properly address the unique concerns within a small business. With professional advice and proactive problem-solving, you’ll be investing in more personalised services by hiring a small accounting firm to manage your business’s finances.
If you’re in search of a small accounting firm that can make a difference for your small business, look no further than SureBooks. With our dedicated team of highly skilled professionals, you can guarantee that you’ll be investing in high-quality service, expert guidance and a trustworthy long-term relationship to further your business.
To find out more about our services or get in touch with one of our accountants, reach out to us for a complementary consultation by dropping us an email at hello@surebooks.co.za.
