The 5 Stages of Denial: When You Need an Accountant

18 Jun The 5 Stages of Denial: When You Need an Accountant

Posted at 11:30h in by Joy Hmura  •  0 Comments

DDO

 

Accounting can be nerve-wracking. Finding the system that works for you can be even more so. Here at KYB, we find that businesses often go through 5-stages before realizing they need an accountant:

 

 

Stage one: Enthusiastic Excitement

You own a small business and you’re starting to make a lot of money. That excel file just isn’t cutting it any more. But, hey! We live in the informational age, and you can learn literally anything! Your internal mantra is as follows: 

“I’m a smart cookie. I am building a business. I am an expert at figuring things out on the fly. How hard can accounting be?”

 Stage two: Strained Optimism

optimism_ele
Things are picking up which means so are the finances! You are starting to get more employees, which means they need to be on payroll. You are stretched thin between meetings and management. Your internal mantra becomes: 

“Man, I’m really going to rock this accounting when I have time to get to, you know, actually do it.”

 

 

Stage three: Panic 

Panic

 

Nothing is working out. You’re growing too fast and there aren’t enough hours in the day! You’ve also experienced at least two of the following scenarios:

  • You’re stashing money in a locked cabinet under your desk.
  • You find yourself thinking, “Invoices? Where did we put those again?”
  • Your main phrase of comfort is, “At least I have electricity”.
  • State Revenue offices know you by name and they don’t sound happy when they say it.
  • You’ve changed your entity type at least three times in the last year and everything felt oddly the same

 Stage 4: Defeat

You finally realize you have to do some accounting. You put everything on hold and make time to look at the company's numbers. You look at your excel file and this happens:   

 Stage 5: Reaching out

You realize that just because you COULD do something doesn’t mean you SHOULD; the opportunity costs of learning accounting are too high. You can’t afford to hire an in-house accountant but you still need all of those services. Hey! Why not hire an out-sourced accounting firm who work in real-time? 

You decide to go with outsourcing your accounting and Success !

 

At KYB, we’re happy to help you with all of your accounting needs. Become a part of Keeping Your Balance's cloud accounting family by contacting us, liking us on Facebook and following us on Twitter.