Staying on top of your accounts and finances is a primary concern for business owners. However, you may find yourself spending more time keeping your books accurate and up to date than running your enterprise. It is good to ask yourself, “Do I need a bookkeeper?”. Having a can-do attitude is beneficial and exemplary but sometimes it is best to hire professionals to do the work. Do you need a bookkeeper? There are many factors to consider when answering that question lets look at some of them.
Bookkeeper or Accountant?
If you are at the stage of asking, “Do I need a bookkeeper?”, it is good to have an idea of the difference between a bookkeeper and an accountant.
Generally speaking, bookkeepers manage the day-to-day financials. They track and record debits and credits, manage payroll, and issue invoices. They deal with the money that comes in and goes out of a business.
Accountants take the information generated by bookkeeping and analyse it. They can help form a financial strategy and provide advice on accounts.
Accounting services are analytical and focus on the big picture. Bookkeeping on the other hand focus on the day-to-day accountants. Their service is based on what needs to be done and how long it takes to do it.
6 Reasons to Help Answer ‘Do I Need a Bookkeeper?’
Focus on your business
Why do I need a bookkeeper when I can do it myself? It is a good question.
A common reason for needing a bookkeeper is managing your time. The daily flow of money through your business takes time to record. You only have so much time in a day. While you are focused on growing your business and getting it to generate money, your bookkeeper will be paying attention to managing it. It is their main task. When you engage bookkeeper, you free yourself from the paperwork and have a team of professionals handle the day to day accounts of your business.
When you want your paperwork filled accurately, keeping tabs on what expenses were incurred and what their dispositions are is a primary function of a bookkeeper. They can make sure your expenses are classified the right way and keep you from losing money on inefficiencies.
Operating your own business is time-consuming. You want to stay organised and focused. Continual and punctual invoicing keep your business operating without difficulty. Paying debts and vendors on time generates a positive reputation. Hiring a bookkeeper can help you operate your business diligently.
Staying up to date
It is hard to run your business with incomplete or haphazard information. If your books are outdated, it is nearly impossible to have a solid idea about your finances. A bookkeeper saves you the time and frustration of figuring out administering those transactions.
Rushing to organise and file your taxes is stressful. Finding all those bank statements and excel sheets can be difficult to deal with. A bookkeeper can smooth out these sorts of problems. They can also help you find expenses that can be claimed as deductions.
Unpredictable cash flow
Paying bills and expenses can seem never-ending. There can be several reasons why it is hard to manage the flow of your money. Late payments from clients or a large, unexpected expense could prevent you from maintaining enough cash to pay off your bills. Professional bookkeeping tracks all of these things and keeps the stream of money available steady.
We hope our article on ‘do you need a bookkeeper’ has helped inform you of some of the benefits and reasons you might want to engage a bookkeeper. If you need bookkeeping or BAS services please contact the team at Go Figured today. You can call 07 3608 4206, email [email protected] or get in touch online.