Canadian companies want to manage their own finances
November 25, 2014

If you've spent your time, effort and money trying to get a company up and? running, you're likely very attached to it and care about it as if it were a living, breathing person. As an entrepreneur, your startup is like your baby - it's your responsibility to make sure it has everything it needs to survive and thrive.

This means that a lot of leaders like to be the point person wherever possible. They prefer to take charge of marketing campaigns, act as interior designers when envisioning office revamps, plan corporate retreats and so on. While this can potentially divert the focus of owners in too many different directions and/or burn them out faster, there is some good that comes of this - namely that owners can personally ensure these tasks are being accomplished.

This could be the aim of the majority of Canadian entrepreneurs when they decide to take the reins when it comes to finances.

Playing close to the vest
According to a recent study from the American Express Small Business Monitor, as reported by Canadian Business, 92 percent of Canadian entrepreneurs think they can handle their companies' finances by themselves

Many of the respondents acknowledged that they were more comfortable in some areas than others. For instance, 95 percent said they tackle the budgeting and forecasting aspects of financial management, while 93 percent noted that they handle accounts payable and 79 percent are responsible for payroll.

They do this in part to stay apprised of the situation, and in part because it's a quick process for them - 50 percent of those polled said they complete fiscal obligations in less than five hours each week.

Where's the gap?
Entrepreneurs generally like to manage corporate finances, except when it comes to taxes. More than half (55 percent) of Canadian business owners said they handle company taxes, leaving a 45 percent gap. It could be that they're not sure about local, provincial and federal tax regulations, or maybe they're just uncomfortable amassing all of the information needed to successfully file.

Whatever the reason, there's help available. Accountants across Canada live for tax season - this is when they can show their expertise and help small business owners. Entrepreneurs should be aware that they have this resource available to them, and not just during tax time. Professionals can also act as business consultants, help handle payroll and aid in financial management decisions in general. 

Nexus: G-WEBCD1