A survey of small businesses in the US throws out some interesting insights into the interaction with their accountants.
The highlights include:
- 69% of the 500+ businesses surveyed were profitable in the last year
- 72% of businesses were very satisfied with their accountants
- Only 16% were likely to switch accountants in the coming year
- Businesses see their accountants as trusted advisors who respond quickly, understand their business and are affordable
- The main accounting service required is tax advice, and that will remain the case in 2019
- The two biggest problems faced by businesses are cash flow and low profitability (followed by loss of a major client and need for capital)
- The biggest obstacle to success is generating new business, followed closely by the economy
- Small businesses were more likely to have increased their profits last year
- Those that have a “high affinity” for their accountants were likely to grow even more
- More than half of small businesses reported higher revenues last year, and expect this trend to continue in 2019
- Nearly three-quarters of small firms did not take on any new employees last year.
See survey results here.