Survey shows accountants number 1 with small business

The vast majority of Australian small businesses use the services of an accountant according to a survey of small business owners and managers released by software specialist Reckon Limited.

Over 400 small business owners/managers from across Australia took part in Reckon’s 2010 Annual Australian Small Business Survey. Nearly 90% of respondents indicated they use an accountant and 23% nominated their accountant as having the most influence over their decision making. Reckon’s Business Division CEO Gavin Dixon says it’s pleasing to see businesses valuing professional advice.

“This survey reinforces the important leadership role accountants play in communities and organisations. For small businesses, hiring an accountant is clearly about more than getting help with preparing their tax return,” said Dixon.

The survey also shows small businesses are strengthening with 75% of small businesses reporting increased (43%) or stable (32%) profits this year, compared to 2009. This is an improvement on the survey results in 2009 where 48% of respondents indicated profits had dropped.

“I don’t think it has been an easy year for small businesses but the survey results indicate that for some it’s been a bit easier than the previous twelve months.

“This survey also highlights the importance of helping businesses through uncertainty with over half of the respondents concerned about the economy and changes to legislation that could impact their operation. Accountants, bookkeepers and other business professionals will play a key role in helping small businesses through the challenges they face in the months and years ahead,” says Dixon.

Reckon’s 2010 Annual Australian Small Business Survey shows 33% of small business owners/managers are most concerned about the threat of another economic downturn, followed by changes in government legislation (31%). When asked to rank their second greatest concern 24% respondents chose changes in government legislation, followed by interest rates rising (24%) and the threat of another economic downturn (20%).

Key highlights from Reckon’s 2010 Annual Australian Small Business Survey can be viewed at http://www.quicken.com.au/library/pdf/Annual Small Business survey.pdf