Monday, 28 May 2018
Keeping your finances intact is imperative for your business’ success. If you’re a small business owner doing the books yourself keep an eye out for the signs telling you to reach out for help.
If your budget doesn’t make your books that’s a big no-no. If you often find yourself confused at your numbers and swear you’ve got more coming in but don’t know how much it’s probably time to reevaluate.
Hiring a bookkeeper will keep you in touch with your cash flow and expectations with cash flow statements. This will tell you how much money people owe you and vice versa. A useful bookkeeper in Melbourne will help in ensuring you’re not left empty-handed before you’ve even paid the bills.
That’s a great sign that your sales are going up! It means your business is growing in success and your strategies are working. What’s not great is losing money due to poor bookkeeping.
This probably means you need to increase your profit margins by cutting costs. A bookkeeper will be able to assess your business and providefinancial statements.
Statements from your bookkeeper can help you see innovative ways to cut costs yet still provide a quality service to your customers. Thus, continuing to attract new and loyal customers and growing your profitability at the same time.
If you’re spending more time hiding away in the back room than seeing your business flourish first hand, then it’s time to get an accountant. This will take the stress out of your day so you can get back to why you started a business in the first place.
A bookkeeper will help you with keeping the right records like ordering stock and reviewing supplier invoices, chasing customers for unpaid debts, and checking account balances and transactions to ensure good cash flow.
An accountant often charges a higher price than a bookkeeper due to the complexity of their role. You may think that giving your books to your accountant will save you the hassle of doing it yourself, but it costs you in the long run.
A bookkeeper will ensure everything is organised throughout the year, not just at tax time. Without a good bookkeeper, you won’t have access to monthly reports on your business’ performance. This has the potential to be problematic and could be the defining factor to put you into bankruptcy.
