In 2025, small and medium-sized businesses (SMEs) will face a rapidly changing landscape characterized by economic uncertainty, digital disruption and increased regulatory requirements.
To survive and thrive, these businesses are relying more than ever on their most trusted advisors: their accountants.
Accountants are no longer limited to preparing year-end reports, managing accounting softwareor compliance checklists, today they play a more strategic role in helping clients implement technology, make financial decisions and long-term growth planning.
Head of Global Compliance at Intuit.
This evolution is not just a response to client needs, but also an active shift in the accounting profession itself.
Accounting firms of all sizes are expanding their services, building deeper relationships and proving their value as integral partners to business success.
Technology as a strategic differentiator
Digital tools are changing the way businesses operate. Research shows that businesses that adopt technology often report higher performance performanceHowever, many SMBs are still struggling to determine which tools are best for their workflows and industries.
Accounting and financial management software is one of the most valuable digital tools in a business's arsenal. But businesses need the right technology leadership to meet new challenges.
This is where accountants come in, advising on the right platforms, helping to integrate technology into daily operations and helping clients use digital solutions to make smarter financial decisions.
Annette Pettitt, founder and lead accountant at Leigh Park Accountancy, explains that technical advice is now a core part of their work.
“More clients are realizing they need digital tools to stay competitive and efficient, but they want more than just help choosing software. They want to know how technology can help them make smarter decisions and operate more smoothly day-to-day. We are focusing on cloud platforms, artificial intelligence and real-time data to give clients instant visibility into their finances and compliance requirements.”
“What surprises me is that many of them still operate as if it's 2009. Even with our cloud clients, there's work to be done to help them keep up with the times. They need time-saving tools, but they also need time to implement them. It's a constant balance between time and money.”
Helping clients resolve debt and compliance issues
As traditional banks shift from long-term loans to debt financing, businesses are increasingly relying on credit cards.
For example, 27% of UK SMEs used credit cards for financing last year, which provides short-term flexibility at the cost of increased financial risk. As a result, debts may have a higher annual interest rate, and undisciplined use can lead to serious consequences.
Bad debt rose 127% last year and businesses faced late payments, exacerbated by high interest rates. Research has shown that when interest rates rise, banks that already offered credit card loans may be able to offer borrowers better terms.
By offering extended credit terms and balances, dependence on credit cards is increasing. If not managed carefully, in some circumstances they could lead to unsustainable debt and limit access to future funding.
Accountants can play a vital role in helping businesses evaluate their banking relationships and financing options, ensuring compliance with credit company requirements and evaluating transactions.
In doing so, they can ensure that clients manage debt effectively and make informed decisions about when and where to borrow, helping them access the capital they need to succeed with minimal external risk.
Personalized support ensures that SMEs understand the dangers that credit card they can look forward to future growth and stability and allow them to make informed decisions about their finances.
Future-proofing through strategic planning
In the face of constant late payments, growing debt and financial instability, small and medium-sized businesses are increasingly turning to long-term financial advice. Accountants are responding by offering more forward-looking services that go beyond compliance, supporting risk management, planning and strategic growth.
This includes the growth of Virtual CFO/FD services, which give businesses access to top-tier financial advice without the expense of hiring an in-house executive.
Annette Pettitt also commented, “Our clients want more than just tax returns. They need a strategy that will help them weather economic changes and achieve their goals. That's why we created our Virtual CFO/FD service to provide clients with high-level, ongoing financial guidance.
Whether it’s tax planning, investment strategy or cash flow forecasting, we work closely with each business to create a plan that adapts as it grows.”
“One thing we really encourage is paying taxes to HMRC on a monthly basis. Clients earn interest and psychologically it's a game changer, they no longer dread tax time. This shift has changed the way we talk about cash flow and planning for the future.”
Small and medium-sized businesses are facing increasingly complex challenges, but they are not tackling them alone. Accountants have firmly embraced the role of strategic partner, offering insight that goes well beyond compliance.
From technical advisory and financial planning to debt management and digital transformation, modern practices help clients make smarter decisions, reduce risk and drive long-term growth.
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