There is an old saying in the accounting world that numbers don’t lie, either they balance or not. And what most people notice when they look at the accounting profession as a career outlook, they think of it as being dull and lacking creativity.
Accountants can read different kinds of financial statements, financial presentations, variance analysis and be able to catch something that is out of place and just follow the money to find out if the numbers are factual or not.
In this article, you will discover three superpowers of an accountant that you never knew and you might look at the accounting profession differently.
The first superpower is that accountants can help you get investor funding for your startup. Is that not cool?
As you may already know, having a startup that is successful depends on a number of factors apart from you just having a good idea. You need to know how to explain your idea and what it can do for the investors if you want them to invest in your startup.
Accountants have this superpower that they can look at your financial statements to identify your operating costs, revenue forecasts, and making sure you get the valuation that your startup deserves in that round of funding.
They will look at your pitch and make sure that your figures help investors make an informed decision whether to invest or not in your startup.
The second superpower is making sure that your business is in proper standing in terms of cash flow, debt and unpaid voices. Let’s look at these terms individually now:
Cash flow; when a business runs out of money and ends up in a situation where suppliers, staff and lenders are not getting paid or expenses are too high, that business even if it is profitable won’t last for long and will end up failing.
Since accountants know about some of the challenges of running a business in terms of ebbs and cash flows, they will look at your cash flow figures and help you come up with strategies to help you properly manage the situation like coming up with a spending plan.
Now, we will look at debt and how an accountant helps you sort out your good and bad debt. So, what is good and bad debt then?
According to debt.org, if your debt increases your future value or net worth, then it’s good debt and if it doesn’t then it’s bad debt. An accountant will look at your debt and help you come up with a plan including helping you pay low interest rates your on repayments.
Finally, the unpaid invoices – accountants will set up an automatic invoice system that sends invoices to your customers and messages too.
The final superpower of an accountant is that they can help you focus on your business goals. They will show you what key performance indicators (KPIs) are doing well, how to improve on them and also advise you on the direction of your business.
If you have any questions, please leave them in the comment section below.