A Business Must Carefully Manage It’s Books
A business needs finances to survive. In essence, such are its sustenance. Much like food, water, and oxygen are to humans. And, that’s not really such a surprise. Most people understand that. Such is why a business must manage its finances very carefully. A business must also carefully manage its books. Here are a few reasons why:
o to maintain cash flow: this is vital, regardless of whether a business is busy or slow. If invoices are delayed and money isn’t coming in, bills, vendors, employees – nothing and no one can be paid and the business can literally crash.
o to satisfy tax obligations: relates to cash flow. If money isn’t coming in, taxes can’t be paid. This is significant as penalties can accrue.
o to complete and organize tax returns: if the books are managed carefully and systematically, filling out tax forms are easier. Moreover, they’re completed more correctly, likely saving the business money. Plus, if an audit ever occurs, a response could easily be prepared.
o Investor reports are complete and accurate: as with tax forms, carefully managed books create more precise and timely reports. For anyone, really.
o business planning is simpler and quicker: when the books are precise and up-to-date, checking figures and creating summaries are easy and quick.
These are really only a few of the more significant reasons.
A Business Needs A Professional Bookkeeper
Bookkeeping takes a lot of time and can be very stressful, especially for those who don’t do it professionally and/or have other obligations to the business. Such people tend to place important documents and receipts in a folder or box and put-off the bookkeeping until they absolutely, must do it. Then, when under a deadline, they take all those papers to an accountant and hope for the best. Such is called “shoe-box accounting” and can cause a business to needlessly lose money as 1) the documents may be incomplete and doing anything in a rush can easily lead to errors; and, 2) accountants charge a much higher rate than bookkeepers.
A good bookkeeper is actually a middle person between the accountant and business owner, making sure the books are well preserved. The bookkeeper’s rates are also much more reasonable. While the accountant does have to look over the books, they really only have to check the bookkeeper’s work and only a few times, thus saving the business money.
Outsourcing Bookkeeping is Good for a Business
Outsourcing the bookkeeping helps a business. Here are several reasons why:
• it allows employees to focus solely on the business.
• outsourced bookkeepers are more familiar with the latest tax rules and regulations.
• outsourced bookkeepers can implement and operate the latest and most efficient software programs and can modernize a business’ system.
• outsourced bookkeepers know how to work with the Tax Office.
• the cost of an outsourced bookkeeper is cheaper than a direct hire.
Business Adviser specializes in helping businesses and provides various services and consulting. One important service is bookkeeping. Professionals at Business Advisers are Registered Company Auditors and licensed Business Advice Parramatta of Self-managed Super Funds. They take away all the burden and stress associated with bookkeeping. They will keep your books perfectly and able to pass any potential inspections.
Business Adviser’s bookkeepers have extensive experience, covering a broad range of industries, and can provide advice on budgets, stocks, tax plans, reorganization, investments, revenue, and so much more.
Bookkeeping Parramatta has successfully decreased bookkeeper and accountant costs for many clients – up to twenty percent. Of course, each case is unique, but it knows with absolute confidence that it can help every client save money and run its business smoothly.
Let Business Adviser save your business money and keep it running smoothly. Contact it today for its no obligation free visit, valued at over $300.