The search for financing is a necessity that is inherent to any business, throughout its existence. Indeed, it is through the company’s ability to meet its financial resource needs, by opting for appropriate financing methods, that it guarantees its sustainability.
Thus, it is more than appropriate for it to carry out this activity in an optimal manner, taking into consideration many exogenous and endogenous factors, such as the legal and fiscal rules in force, the financing opportunities available, the vision of the company and the structure of its resources, among others.
This is why a company would benefit from being accompanied by experts in the field, who can provide it with useful assistance.
What can an accountant bring to a search for financing?
A chartered accountant is a management professional who has high-level skills in accounting, finance, law, and business management. The assistance that it can bring to a company in its activity of research of financing can be on several levels, of which mainly is the choice of the mode of financing, the constitution of the files of financing, and the management of the accounting and tax incidences of any financing transaction.
The choice of financing methods
Choosing a method of financing is based in part on financial and accounting criteria, the determination and understanding of which require specific knowledge possessed by a chartered accountant.
This is, among other things, the overall effective rate of your financing, which represents the real cost that you will bear. The correct interpretation of these financial indicators will allow you to make an appropriate choice of the mode of financing you need. A chartered accountant would therefore be an adviser of choice in this regard.
Contribution to the constitution of the financing file
Whatever type of financing you have chosen, it is always necessary that a financing file that will aim to present the need that leads you to seek financing and convince potential investors must be developed.
The file contains, among other information, the quantified forecasts of jobs and resources that will be requested and generated by the project, as well as the remuneration that financiers should expect.
The development of this business plan requires significant knowledge of accounting and finance, which is provided by the accountant.
Management of legal and tax implications in this area
Knowing the legal and tax arsenal in force makes it possible to better identify the impacts of any financing decision, on these plans. With his advanced knowledge in these areas, the accountant is the person who will present to you in a clear and detailed way, the constraints and the benefits of each of the financing methods that you have chosen on the legal levels.
Hence, it can be said that the accountant is the one who must be at your side during your financing research activities, to be able to succeed.
This content is meant for information only and should not be considered as an advice or legal opinion, or otherwise. AKGVG & Associates does not intend to advertise its services through this.