Life-Changing Events When You Should Absolutely Hire a Business Accountant
Posted on: 24 November 2021
If there is one thing you can be certain of in life, it is having to adapt to change. When running your own business, the reality is that no matter how much you try to separate your work and your personal life, some major life changes will likely be accompanied by an aftershock to your business. This form of financial shake up can either bring challenges or opportunities to your business, forcing you to make overwhelming decisions. Some life-changing events or decisions may require you to adjust your financial or business plans to respond or prepare for the unexpended.
In such a situation, the last thing you want is to sort through paperwork, determine where you are financially, check for loopholes, develop business plans, and more when making other important decisions. Enlisting the help of a business accountant can help you navigate financial waters, providing you with the best ways to handle your money. Here are two life-changing events that require business accountants.
When You Gain Unexpected Wealth
When you are running a start-up, chances are you are used to a steady income or building wealth over time. But what if you gain unforeseen wealth overnight? Whether from luck — like winning a lottery, a huge investment, or an inheritance — gaining sudden wealth can be overwhelming both in business and your personal life. If this is the case, you will need people with expertise to help you navigate the unchartered waters. Business accountants or financial advisors live and breathe everything money. They will help you navigate your newfound wealth, especially when looking to re-invest the money, pay off debt, and develop a financial plan for the future.
Going Through a Divorce
Divorce is another life-changing event that comes with a lot of financial implications. Divorces are messy, and the financial implications are the most daunting aside from custody, especially if you run the start-up alongside your soon-to-be ex-spouse. When you co-own a business, the potential negative impacts of the divorce on the business can be wide-ranging. Your business is probably the most valuable asset you own, and positive action to protect it during a divorce can mitigate financial risks both to you and the employees. Speaking to a business accountant during the divorce process might not seem like a priority, but the sooner you can do it, the more pitfalls you will avoid. They will help with ownership interest, buying out your spouse, valuing the business, and more.
Of course, you will need a good business accountant to help you navigate through major life changes. A good starting point is recommendations from friends or colleagues.
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