Bookkeeping and Accounting Services

Bookkeeping and Accounting Services: An Overview of the Available Services

“Hiring an accountant” can be a general term that seems overwhelming for some business owners. You know that you need bookkeeping and accounting services. But, are you worried that you are going to overpay for services that aren’t necessary for your company? Before you rush into the decision, it is important that you learn about your options. Then you can find the right accounting services to match the needs of your business.

Why You Need Financial Professionals

Financial professionals play an important role in business management. Not only do bookkeepers and accountants help with the ongoing transactions and organization of the books. But, these experts can offer insights that are essential for tax strategy, cash flow management, payroll and more.

Some business owners assume that the best way to save money is by taking a DIY approach with bookkeeping and accounting. But, the truth is that this strategy might cost you more money in the long run. If you don’t have experience in the financial industry, then there is a high probability that mistakes will be made along the way. Then, you could be facing expensive costs to correct the problems in the future.

Also, consider the opportunity cost of the time that you are spending on financial activities. Instead of focusing your efforts on business tasks, such as finding new clients or forming new relationships in the industry, you are spending your time with your head in the books trying to sort through the numbers. If accounting isn’t your strength, then it means that you are burning daylight hours on tasks where you don’t shine. At the same time, you are giving up opportunities to spend time on business activities that could result in real growth for your company.

In the same way, you visit a dentist when you have a cavity or an attorney when you need legal advice, you shouldn’t hesitate to outsource your accounting needs to an experienced team. This strategy frees up the time that is available for your business activities during the week. Plus, you can rest assured to know that you aren’t overlooking important details that need to be addressed in your financial strategy.

Bookkeeping and Accounting Services: What Do You Need?

It is important that you understand your options so that you can determine the services that are needed. There’s no reason to be paying for payroll services if you don’t have any employees! Often, there are options to choose individual services as needed. Or, you might be able to save money by packaging the essential bookkeeping and accounting services together.

In fact, these packaged services can simplify the process and improve the results that are available for your company. You don’t need to worry about working with a bookkeeping team and a separate accounting team. Instead, you can lean on the experience offered by a team that provides the full coverage that is required.

Here is an overview of some of the ways that your company might benefit from bookkeeping and accounting services:

  • Fixing Messy Books: If you’ve procrastinated the decision to bring on an experienced accounting team, then it is likely that there are mistakes with your books. Before the full systems can be put in place, it is essential to start by cleaning up the mess so that you have a clean slate to work with. This process often includes sorting through the transactions, completing audits on the previous months, determining current balances, identifying upcoming expenses, and then putting a complete system together that shows a full financial picture.
  • Tax Strategy: Taxes are unavoidable as a business owner. But, you don’t need to be scared of the potential bills in the future. With the right strategy, you can minimize the amount that is due and maximize the benefits that are available for your company. A good accounting team will help you design a tax strategy that is used throughout the year. You need to be working with your accountant on an ongoing basis, instead of only calling when it is time for the annual filing. Tax strategy can be used for your personal income tax as well as business deductions that can impact your tax burden each year.
  • Ongoing Audits: Auditing might seem like an unnecessary burden, but this proactive step is essential to ensure that nothing is slipping through the cracks. Regular audits ensure that details aren’t overlooked, such as tax write-offs and income that is received. It is also important to watch for potential mistakes that could be impacting the financial reports and cash flow. At the same time, your bookkeeping and accounting team might identify potential issues that indicate the risk of fraud in your company. Having a third-party auditor adds a layer of protection so that you can avoid internal theft and fraud.
  • Bank Reconciliations: In addition to the audits, monthly reconciliations are also important. For example, if a transaction is overlooked in your accounting system, then it means that the accounting program might show a different balance than what is actually in the bank account. Reconciliations ensure that accounts and records match across the board, giving you the peace of mind to know that everything agrees. If an error is identified, then the system can be corrected to avoid that problem from happening again in the future.
  • Cashflow Planning: Just because you have money in the bank right now, doesn’t mean that you will have the cash flow for the future expenses that are coming up. Cashflow can be a tricky aspect of owning a business. If you don’t have a good system for cash flow management, then it is possible that your lack of cash could sink the company. Work with your bookkeeper and accountant to create a system that evaluates current balances, incoming expenses, as well as future expenses. These reports will provide a clear financial picture that can be used when you are facing large decisions that will impact your company.
  • Payroll Processing: Timely payments for your employees are essential to maintain a healthy company culture and ensure employee satisfaction. It can be a challenge for a business owner to keep up with the payroll schedule. This process requires quite a bit of time and effort to ensure that everything is accurate before payments are remitted. Outsourcing payroll process means that you have an experienced team overlooking everything from payroll calculations to payroll taxes and direct deposits.
  • Accounts Receivable and Accounts Payable: At the same time, you also need to consider the payments that need to be sent out to contractors, utility companies, your landlord, and more. What are the balances that need to be paid this month? Are there any outstanding invoices that need to be collected from your clients? These details are important so that you have the cash flow coming in, and at the same time you are keeping up with the obligations that need to be covered to keep your company in business.
  • Record Management: Certain records need to be maintained to ensure that you have documentation for everything that is happening in your company. Each transaction needs to be recorded so that you can back up tax write-offs if there are questions from the IRS. Failure to maintain this documentation means that you could be facing the headache of audits and expensive tax penalties and fees in the future. Your financial team can help with the organization of your records so that you can avoid these issues.
  • Reporting: It is important that you have an accurate understanding regarding the financial health of your company. Your accounting and bookkeeping team can provide monthly, quarterly, and annual reports. This information will help you see where the most profitability is coming in, giving you insight and information that can be used to improve your business efforts going forward. If you don’t have these numbers, then it means that it is a “shot in the dark” every time you make an important decision that affects the financial well-being of your company. Analyze the numbers, look for trends, and rely on these reports so that you can optimize your systems and improve profit margins.

As you can see, there are many ways that you can take advantage of the services that are offered by a bookkeeping and accounting team. A small monthly fee for these services can have a significant impact on the success of your company. If you want to set your business up for future growth, then it is essential that you have the right systems in place. Hiring an experienced accounting team is one of the best decisions that you can make to help your company grow.

One thing that needs to be considered is the experience that is offered by the team that you are hiring. At Easier Accounting, we specialize in small business services. By focusing our scope of services, we can optimize the results that are available for your company. If you are an entrepreneur, you are working on a start-up, or you own a small business, then we encourage you to contact us any time to learn more about the way that we can support your business efforts. We are always here to help: (888) 620-0770

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