While good, competent employees are a must for running a successful business, you simply cannot do everything, nor always hire an employee to take care of all aspects of your company. As a small business owner, it is important to know when to hire outside help. As consultants and advisors, attorneys, accountants and insurance brokers are invaluable.
A common mistake that inevitably turns out to be costly to the new businessman or woman is the idea that legal fees can be saved by setting up the business organization without the help of an attorney. This is a fatal assumption. The lesser legal fee at the beginning can prevent much greater fees later on to unravel tangles that only an experienced attorney can foresee. Therefore, anticipate and budget for legal expenses.
A competent and professional outside accountant is as necessary to the success of your business as a trusted attorney. You should plan to work closely with your accountant right from the start. An accountant can help you get your business off to a solid financial start and can help put your business on sound financial footing. Among the services that your accountant should be providing are setting up record-keeping procedures, cost accounting, inventory and budget analysis, tax planning, assistance in raising capital, review of your financial records, and financial advice.
A sound business protection plan is just as important to the success of your business as good financing, marketing, personnel management, or any other business function. Like the other functions, good risk and insurance management are not achieved by accident, but by organization and planning. Make sure to select a qualified and well-trained insurance agent. Look for someone who is a specialist in that field. There are five basic types of insurance coverage that are essential for all businesses:
- Fire
- Liability
- Automobile
- Unemployment compensation
- Workman's Compensation
Your insurance agent can help you decide to what extent your business must be covered.
The downloadable worksheet available here will aid you as you consider putting together management team and outside consultants that will help your organization grow.