The latest survey released by Sage North America showed that very few small businesses use an outside accountant to their full potential. The Accountant Usage Study, which focuses on how small businesses use accountant services, was conducted among more than 200 Canadian small businesses.
Sixty-one percent of Canadian small businesses use an accountant primarily for accounting services, bookkeeping services, tax support and payroll. Of the 39 percent that do not use an outside accountant, 73 percent prefer to perform the accounting services themselves. The report also showed that businesses were less likely to use an accountant for business tax compliance and auditing and financial planning and consulting.
"While the survey indicates that 90 percent of small business owners realize that their outside accountant is critical to their success, most are not using these experts to their full potential," said Jennifer Warawa, Vice President, Partner Programs and Channel Sales, Sage North America. "Accountants offer so much more than general accounting and tax services; they can provide critical guidance that can help take a business to the next level. All businesses, big or small, need a plan and a good accountant will partner with a business to examine all the data to help build a roadmap to success."
The study was also conducted among U.S. small businesses and revealed considerable differences in accountant usage in each country. While small businesses in the U.S. were more likely to use external accounting services for business tax compliance and financial planning and consulting, Canadian small businesses were more likely to utilize an outside accountant for bookkeeping services.
"Sage works with millions of small businesses around the world and with tens of thousands of accountants. We have seen the value that a strong partnership between the two can bring and encourage business owners to explore expanding their accountant relationship," said Warawa.