Do Relationships Matter In Business?
15/03/2016 | Business Recovery
DO RELATIONSHIPS MATTER IN BUSINESS?
By Tim Corfield
I’d say so. Again, I know I'm biased but I’d say the most important relationship a business owner has is with his accountant. Most successful businesses have an accountant or a ‘beanie’ very close – and a successful relationship will last for years and help the business evolve.
A business owner should use his accountant as a sounding board as he will get to know the business inside out and often offer a different perspective to a situation.
I see many business people that have a failing business. Sometimes a failing business cannot be helped – the market changes so fast, especially these days, what worked a couple of years ago might not work now. The best accountant in the world can’t change that situation. But, a good accountant will be close to his client and guide him quickly in the right direction. If the business is failing what’s the point of pumping more (very hard earned) money into a business and losing it?
I've been dealing with a company recently where the director has injected around £500,000 into his business over the last few years and it’s now all lost. He didn't have any faith in the company accountant and certainly didn't have a close relationship. The accounts weren't up to date and nobody really knew how the company was performing….other than badly! Now, if he’d trusted and had worked closely with his accountant ........? I think things would have been different.
So, if you find you have a client that shows any financial warning signs please call to ask for our comments and advice. Any chat or meeting would be free and confidential and I'm sure it would help! In most cases a formal insolvency can be avoided – the sooner we get involved, the sooner we can help put a survival plan together.
Please review our client comments and we look forward to hearing from you.
Griffin and King have offices in Walsall, Redditch, Shrewsbury, Stoke, Hereford and Bournemouth - contact Tim, Richard, Janet or one of the team now for expert advice.