As the professional who handles most of your money matters, both business and personal, you should have an open and frank line of communication with your accountant. Many people assume their accountants are just there to assist with tax time or help out with money woes, but they’re actually an invaluable asset for business advice.

Small business owners, in particular, should rely on their accountant to provide them with a wealth of information on the current state of their company and how they can improve in the future.

Here are a few key questions to discuss with your accountant to get a better understanding of the future direction of your business.

1. How does my business compare with others?

Understanding how comparable businesses operate is crucial to your success, with everything from industry wages to business income all being benchmarks to work against for your own company.

2. What is my gross profit percentage?

This is the difference between the value of sales and cost of sales, and it’s the most important building block to any business. Knowing this can help you improve it further, and your accountant can help you do that.

3. Is there a way for me to reduce my costs?

Cutting costs should be a regular business practice, provided it doesn’t affect the quality of your goods and services. Your accountant can show you where you may be over-spending, and other areas that might need more attention.

4. How can I improve my cash flow?

Your accountant can help you keep in touch with clients to ensure you’re paid on time and in full, a crucial part of any successful business.

5. Which of my products or services are most profitable?

By understanding your biggest profit makers, you can focus more on making these a larger part of your business. A qualified accountant can pinpoint exact areas that make you the most money so you can spend your time growing the business.

6. Will I be able to survive a downturn?

Your debt to equity ratio is a good indicator of how well your business will survive a financial crisis, and your accountant can show you yours so that you can improve it if need be.

For an open and honest discussion about your personal and business financial needs, contact the experienced team at Hart Partners on 03 9600 3220. Our dedicated Melbourne staff can provide you with the essential information needed to help your business succeed.