Managing a business is not simple. Besides all the details of the operation, there are also administrative demands, of the back office, which added to the numerous issues of bureaucracy in Brazil, make controlling accounting demands a real challenge.
Meeting all the specificities of the government is also not simple. Therefore, resorting to the service of experts to meet these demands and mediate your company’s relationship with the Tax Office is a practical alternative to maintain the focus of your workforce in your company’s operation.
Why does your company need accounting advice?
Generally, when taking the first steps in building a business, it is common for business owners and directors to see expenses with accounting advice as necessary imperatives.
It turns out that, since the opening of a new CNPJ (National Register of Legal Entities), having the specialized support of an accounting advisory is fundamental. The first justification may be the fact that with the exception of MEI — Individual Micro entrepreneur — the accounting service is mandatory for every company in Brazil.
The Law 10,406/2002 (New Civil Code), art. 1,179, points out that the entrepreneur and business society are required to meet an accounting system based on the uniform bookkeeping of their books, presenting annually the balance sheet and its economic result.
An example of the importance of accountants is that companies opting for Simples Nacional (Brazilian tax framework), for example, are obliged to submit to the Tax Office their DRE (Income Statement of the Year). And this, among many other documents required by the government (Ledgers, Balance Sheet, etc.) can only be delivered with the authentication and signature of an accountant professional.
In addition to all legal aspects, accounting advice is also important when talking about issues related to business health monitoring and the development of strategies for growth.
Those who seek to develop a sustainable and promising company know the importance of maintaining a financially healthy business. From this, investing in effective accounting advice prepared to manage the accounting of any business is essential.
After all, it is not only time to comply with the rules of legislation that accounting is critical. A good accounting advisory contributes to organize the company’s finances, show the company’s results and present perspectives that contribute to the definition of strategies for the company.
At the end of the day, although it seems bureaucratic, traditional and even unnecessary —a vision that the market still having even from the accounting professional— accounting is to be treated as a key part for any company, as they can constantly deliver high-value reports and insights to any business.
Check out below the 4 main reasons that make it essential to have effective accounting advice and aligned with your company’s successful perspective.
1. Compliance guarantee
The main point to consider when hiring an accounting advisory is definitely the guarantee of legal compliance. Legal aspects imply in compliance with government rules, effective accounting advice primarily fulfills its role when it ensures that all accounting standards relevant to your business are met.
Therefore, it is the obligation of accounting advice to ensure the reconciliation of equity accounts, results analysis, compliance with internal and external inspection and audits, bookkeeping for any tax framework and control of the assets.
Thus, in addition to ensuring the delivery of ancillary statements such as SPED ECF, ECD, and DCTF, among other Brazilian statements throughout the year, should also ensure the delivery of reports and strategic balance sheets for the development of any business.
In summary, accounting advice will contribute to the construction of a tax planning, evaluating issues such as tax regime and other possibilities of tax avoidance according to the activity carried out, accompanying changes in legislation, as follows deadlines for the deliveries of ancillary obligations. With this, ensuring the non-incidence of penalties such as fines for the organization.
And, as we will see below, from this data, an accounting advisory can provide rich information for decision making and defining strategies.
2. Source of information for strategic support
The image of accounting demands has changed over time. Today, the accounting area has changed its relevance, failing to work only as tax collectors, and now have active participation in the compilation and availability of strategic and management information.
View accounting advice as an additional tool for making more assertive decisions. In particular for financial impact decisions, as indexes and reports on the company are easily accessible.
This facilitates the implementation of reports for monitoring (sometimes in real-time) the impact of revenues and expenses — ancillary expenses, operating costs, non-operational and more.
3. Better financial control
Good financial control is one of the main aspects of a successful company. If neglected, it can become the nightmare of many administrators as the finance imbalance can generate:
- Absence of the resources necessary to honor maintenance expenses and daily operation of the company;
- Impossibility of paying commitments such as expenses with suppliers, remuneration of employees, loans, etc.
- Difficulties to reach customer requests.
4. Savings and other benefits
The main topic on which accounting can contribute to cost retention is Tax Avoidance. Within accounting management, tax avoidance is nothing more than a set of administrative strategies in order to reduce the amount of taxes paid by companies to the Tax Authorities at their levels (Municipal, State and Federal).
In addition to strategic issues, there are benefits when outsourcing your company’s accounting operation such as:
- More productivity and effectiveness in the development of accounting activities, which are carried out by specialists;
- More legal certainty;
- Lower cost compared to an in-house team to take care of all accounting demands;
- Experts available to remedy doubts;
- Simplified document management;
- Ensuring updating with government laws and rules.
It is noteworthy that the support of good accounting advice allows your company to deliver clearer information to all those who interest reports on business health (managers, shareholders, directors, among others).
What do you consider when choosing an accounting advisory?
In the ideal world, for startups, for example, it is essential that an accounting advisory participates in the entire journey of a company, being present even before the formalization of its CNPJ.
As well, by outsourcing the accounting team, startup entrepreneurs should seek an accounting used to work with the dynamism and growth potential of innovative companies.
Companies with corporate governance, which often work with Lucro Real tax regime, should be paid and evaluate suppliers who have the robustness needed to deal with the size of their challenges.
Therefore, be aware of the criteria:
- Seek for companies established in the market;
- A BPO focused on innovation and that tracks market trends can earn points at the time of choice;
- Find out about the automation tools of advisory provides;
- Tools used, robust application software is critical.
If we consider foreign companies with the objective of investing and doing business in Brazil, having accounting advice becomes indispensable, mainly because these professionals are a focal point in solving doubts about:
- Understand the tax framework for the company;
- Brazilian investment policies;
- Brazilian tax incentive policies;
- Foreign capital incentive policies in Brazil.
It should always be differential accounting advice that:
- Have bilingual specialists;
- Develop reports within matrix standards, international.