It’s time to invest in an accounting team so that you can focus on other aspects of your business
When operating a business, the time one needs to use for other things may be consumed by tasks people don’t necessarily want to be doing or need to be doing. With too much to do and so little time, many business owners feel like they’re drowning in work. It doesn’t have to be like that, though.
Accounting teams can take all of the unnecessary workload and headaches off the CEO’s hands and leave them to focus on what’s most important to the business. Managing a business’s finances can be challenging to do on one’s own. It’s time to understand not only what accountants do but why their role is essential for any company.
Accounting team members and their roles
First, what do accountants do? Accountants are professionals who handle the financial parts of a business, such as audits or payrolls. Accounting teams work by splitting up these tasks and assigning different roles to each member of the team. Keep reading for a quick overview of what each person does and how their actions benefit the company as a whole.
The primary role of an accountant will get assigned to a single individual. Accountants will:
- Measure and interpret financial data
- Review accounts payable and receivable
- Prepare invoices and company payroll
- Summarizes your business’s financial activity in reports
- Provide expert analysis to guide your company in decision making
Bookkeepers maintain and collect all financial records and data for businesses. They then enter this data into the company’s choice of software for storage. Bookkeepers will also keep tabs on accounting tasks, deadlines, and a company’s compliance with federal regulations and laws for all transactions.
The accounting supervisor’s main task is to aid the chief accounting officer (CAO). They will support the chief of accounting and aid in performing audits. Accounting supervisors will also prepare and provide quarterly and annual financial statements and analytics of a company’s financial position.
Internal auditors are responsible for:
- Checking all financial reports for accuracy
- Reviewing and revising financial reports and statements
- Compile data on all financial processes within the company
- Discussing their report findings with other members on the time
Treasurer and treasury manager
A treasurer will:
- Oversee general finances of a company
- Manage both long and short-term budget goals
- Develop and provide strategies to limit costs and improve the efficiency of the team
- Prepare tax returns
- Communicate with banks and control company accounts
Although somewhat similar to a treasurer, a treasury manager will be responsible for:
- Keeping the business on schedule
- Managing investment decisions
- Supervising the financial team
- Predicting future reports by providing an analyst of financial data
- Advising the board of directors with recommendations for financial solutions
The financial controller is also a supervisor of the accounting team. The financial controller will:
- Collaborate with the CAO in managing accounting and financial activity within the company
- Analyze and prepare a budget
- Ensure the company’s compliance with federal tax laws
- Oversee the filing of taxes
- Handle financial issues
Chief accounting or financial officer
The chief accounting officer (CAO) will perform the audits of financial accounts and interpret reports formed within the company. They will also determine the company’s financial position and enforce GAAP amongst the team.
The chief financial officer is the leader of the accounting team, managing all accounting activities in the team. A chief financial officer’s goals are to:
- Maintain the financial health of a company
- Develop long-term budgeting and investment plans
- Make the proper financial decisions for financial activity
Other financial advisors
A fractional CFO is a CFO who will provide specific services that are tuned to meet a company’s particular challenges or goals. They also serve an organization in a part-time or contract agreement.
Financial Planning and Analysis (FP&A) teams will mainly perform the budgeting, forecasting, and analysis to support the higher-ups in their decision-making. FP&A teams will utilize quantitative and qualitative analysis of all operations within a business to ensure that it will reach its goal.
An accounting team will hold many essential financial responsibilities within a company. It will go a long way in taking so much responsibility off of the CEO’s shoulders so they can focus on other aspects of the business.
Importance of hiring an accountant
The importance of accountants in business is sometimes forgotten. Outsourcing an accounting team is the best step to take back time when operating a company. Being able to rely on a whole team managing most of the financial management of a company is important so everyone can focus on things like developing the brand and making sure to reach company goals. Accounting teams are sure to take a company further than anyone could alone!