The prominent rise of Large Language Models (LLMs) is having an impact on businesses, with many utilising them to help support with any concerns, including when they need financial advice, but that comes with serious risks to your company.
Risks that include fines and sanctions from regulatory bodies, investigations from HM Revenue and Customs (HMRC) and the police, as well as reputational damage, which is disastrous for your company.
When it comes to financial advice, it is always important to remember how valuable accountants are when it comes to your company’s finances because they offer no risk and can even take your business to new heights.
Any approach to AI should be cautious, especially when it comes to something so important as your company’s finances.
There are significant risks involved, including inaccurate information, data breaches, biased advice and the potential of breaking your compliance obligations.
The main risk is the accuracy of the advice given to you, especially if you are sharing sensitive information about your company, which in itself poses potential issues like data breaches and criminal networks exploiting that information to their advantage.
LLMs will state they can make mistakes, so taking their word and implementing that can pose major problems, especially when filing your tax returns and information with HM Revenue and Customs (HMRC).
They can quickly work out if your data is inaccurate or incorrect, which will lead to unwanted investigations, potential fines, and reputational damage if you are found to have breached the laws in place.
As well as action from HMRC, you may also face investigations from your regulatory body when it comes to compliance. Different sectors may have other bodies alongside HMRC and financial breaches can lead to compliance problems.
Accountants are valuable to your business because they can help you build that all-important picture of your company’s finances.
We provide tailored advice and support for businesses and can answer all general finance and tax queries.
Accountants are more than just finance experts, we give you tools to take your business to the next level, supporting you every step of the way.
Helping you build a clear picture of your company’s finances to help you make the best decisions, meet your tax and compliance obligations, and perhaps launch your next phase of growth.
We are here to serve your company and help in whatever they can to ensure your company’s financial future is stable and secure.
For expert tax and financial advice, get in touch with us today.
