Wednesday, 11 June 2014

The problem with DIY

Pringle Towers has benefited from a bit more TLC this week at the hands of a local handyman who has done some of those jobs, you know the ones, that just need doing but never seem to get done. A bit of painting, plastering and general maintenance.

I could have done these jobs myself, and probably should have done … quite some time ago, but I didn't. And so it was decided to get a man in.

It turns out this is a decision that should have been made a long time ago. Although I could have done the jobs myself, it would have taken me a lot longer and I probably wouldn't have done as good a job. But what about the job satisfaction I hear you cry? Well it turns out I can live without that too.

In fact, the time that I haven't spent doing DIY I have spent working in my business, earning more than enough to pay the handyman and therefore leaving me in profit. And this is why outsourcing is a good idea.

As a small business owner, you probably can't afford an IT, HR, marketing or finance department, but that doesn't mean that you need to fulfill all these roles yourself.

Let's take finance for example (because that's the area I understand the best). How long would it take you to complete your tax return (assuming your not an accountant of course)? Two days? Three? I would hope a competent accountant would be able to do it in a fraction of that time, maybe just a matter of hours, depending on the quality of your book keeping of course.

So in the three days that you no longer need to spend completing your tax return, could you generate enough profit to cover a few hours of an accountants time by doing what you're good at? I suspect probably significantly more, making you better off by outsourcing. In most cases your accountant may also be able to identify additional tax deductions available to you, therefore reducing your tax bill and making this an even more profitable exercise.

Of course accountants do more than just tax returns, but you get the idea.

The principal also holds true for many other business functions. Professionals who are offering their services to other businesses should have expertise that will save you hours of research and experience resulting in higher efficiency levels so that the same task will be completed better and faster leaving you to run your business.

As a small business owner myself, I know how important it is to keep tight control over your costs, especially in the early days. But instead of worrying whether you can afford to get some experts on board, maybe you should be considering whether you can afford not to.

To find out how Pringle Accountants can help you, visit our website