Hiring Accounting Firms in Dubai? Ask these questions
Small business owners should think about bringing in outside expertise when they are ready to take their business to the next level. Outsourcing your requirements to accounting firms in Dubai is a wise move to effectively manage your finances. Experts from the best accounting companies in Dubai are not just good with numbers but they also know how to turn those numbers into actionable insights.
However, before working with the providers of accounting services in Dubai, you should plan what questions you should ask them. Answers to those questions would equip you with the information you need to make good business decisions. Here are some key questions you may ask an accountant when you wish to grow your business:
What can I do to manage my cash flow better?
Cash flow is often dubbed the lifeblood of small businesses. A positive cash flow is essential for businesses to cover expenses, pay the staff, reinvest in the business, pay off debts, give yourself a return on your investment, and manage any unforeseen events. If your company is lagging behind in managing the cash flow, having a great business model or a healthy revenue won’t suffice to save your business.
Consult with accounting firms in Dubai and ask them if they have any recommendations. Most accountants may recommend new key performance indicators or receivables collection practices. Professional accountants may also help you create a cash flow projection with which you can foresee and plan for any temporary cash crunch.
What area of my business should be my top priority?
Being a small business owner is all about juggling a host of shifting priorities. An entrepreneur may have to manage employees & contractors, market products or services, serve clients and hire more employees etc. While focussing on many things at the same time, you may miss certain other critical areas that deserve more attention.
Many small business owners are unable to identify circumstances. They can give their unbiased opinion on what area you should prioritise. After consulting with accountants, you may realise that some tasks are not as urgent as you thought and can decide which area should be given more priority. Accounting companies in Dubai will come in handy such as being delegated to other members of the team.
What type of help do I need?
Sometimes you may be confused about what type of help you will need to manage your business better. Companies offering accounting services in Dubai will have a greater understanding of your operations and they can be the best resource to suggest where you can fill any gap. Remember, no business owner can do all the tasks alone, no matter how motivated or talented they are. You need to find out where you require more help. Getting support can free up time so that you will be able to focus on your biggest goals.
Could I benefit from a different business structure?
Choosing a legal structure is one of the first decisions you have made while setting up a business in Dubai. Your legal structure has a huge impact on your business in terms of liability and taxes. As your business grows, you may feel the business structure you chose 10 years ago was right at that time but is not the best one for you now. You may have incorporated your business in Dubai as a sole proprietor but you can use the legal protection of a Limited Liability Company (LLC).
Since the UAE corporate tax is set to take effect from June 1st 2023, the choice of legal structure is likely to become more relevant. However, there is no ‘right’ legal structure for every company. The right business structure may change as your requirements change. Accounting firms in Dubai can provide you with valuable advice on whether a new structure better suits your long-term business goals.
Are there any upcoming tax laws that might impact me?
If you have a business in Dubai, this is the right time to ask this question to your accountant. The UAE government has announced significant changes to existing tax laws that will be effective soon. The UAE has announced a new law for determining tax residency, which is expected to take effect from March 1st 2023. Similarly, the government issued the Federal Decree-Law No.18 2022 that amends certain provisions of the Federal Decree-Law No. 8 2017 on Value Added Tax (the VAT Law).
Other significant tax changes include the discontinuation of e-dirham for tax payments (Magnati to be the new payment method) and the introduction of EmaraTax as the new platform for accessing a host of tax-related services such as registration, return filing, payment and refunds. Ignoring these laws can lead to compliance failure, resulting in hefty penalties. Accounting firms in Dubai can keep you updated about the new laws that may affect your business.
What’s the best strategy for increasing profitability?
Small business owners often think that increasing revenue is the sole solution to growing a business. However, you must remember that revenues are only one piece of the pie. Profitability is one of the most important measures of your business success. Profitability can be increased by boosting revenues, cutting expenses, or using any other robust strategies. Accounting companies in Dubai can recommend which strategy you should use to boost the profitability of your business.
How can Jitendra Chartered Accountants Help You?
Asking the right questions may unlock new opportunities for you, which can take your business to great heights. The questions we have listed here are your gateway to making the best of the services offered by accounting firms in Dubai. When it comes to hiring the best accounting companies in Dubai, look no further than Jitendra Chartered Accountants (JCA). We are one of the leading providers of accounting services in Dubai, powered by a team of highly qualified accountants and auditors.
JCA can work with you to provide reliable and up-to-date books that make your job easier. By availing of our services, you don’t have to spend time digging through bank statements and receipts or coding transactions. We will also ensure that you comply with regulations related to VAT, Anti-Money Laundering (AML), Economic Substance Regulations (ESR), UAE corporate tax and Ultimate Beneficial Ownership (UBO). Outsource your accounting requirements to JCA if you wish to maintain and grow your business.