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Starting a Business? Why You Need Good Bookkeeping and Accounting Services

If you are starting a business, then you might feel like you have a long list of items that need to be addressed before you can launch the company. These tasks are essential in the pre-planning stages, as well as the early stages of starting the business. Regardless of your progress on the path to become a business owner, it is essential that you have the support of a financial professional for your business strategy.

Many start-up business owners feel like there are never enough hours in the day because they have so many things that need to be done. But, there is no reason that you need to accomplish everything on your list without the support of other people. Instead of trying to carry every aspect of your workload, it is important that you bring in outsourced experts who can oversee certain aspects of your company. Not only will you free up your time, but you can lean on the expertise that will help your company grow.

Why Bookkeeping and Accounting are So Important

Do you realize the importance of financial tracking for your company? It is easy to get caught up in the daily excitement of an upcoming sale or customer service. But, your business might come crashing down if you don’t have a good financial strategy in place.

Without regular bookkeeping practices, it is likely that expenses will get overlooked and the accounts won’t line up. Plus, you will face the difficult aspect of trying to determine the profits and losses in your company. It can be a challenge to keep up with the reporting if the information isn’t entered into the system accurately.

Even if you are starting small, you need to have these financial services to set your company up for success in the future. Creating a solid financial foundation might be the best thing that you can do to ensure that your company doesn’t come crashing down after it is launched. A large number of start-up companies fail within the first five years. If you don’t have the right strategy in place, then there is a good chance that your business will be one of the failed companies.

These problems can be avoided if you lean on the expertise that comes from outsourced accounting and bookkeeping services. When you are starting a business, you need to make sure that you have an accountant available to help with the strategy. Not only will you be able to navigate the difficulties of launching the company, but you can also have the peace of mind to know that the cash flow will be there when it is time to cover costs in the future.

Data Entry, Balancing the Books, and Other Ongoing Accounting Tasks

One of the problems with in-house data entry and accounting is that important tasks are often overlooked. If an entry-level secretary is handling your data entry, then that person probably doesn’t have the skill set to balance the accounts every month. In fact, it is likely that an entry-level employee probably doesn’t realize that the books need to be balanced!

Reconciliations and balancing the accounts means that you check the transactions to ensure that everything lines up. Even if you are using a great accounting software, there is still a chance that you might encounter small errors or glitches along the way. The best computer program won’t work when human error is involved. So, these reconciliations are essential to evaluate the accounts and make sure that everything lines up in the right way.

Most new business owners aren’t comfortable with these tasks because they don’t have a professional background in finance or accounting. These responsibilities never end, and it can be a heavy task to manage these expenses while you are overseeing the other aspects of running your company. There is no reason why you should try to manage these activities by yourself! Instead, hand off the responsibilities to an experienced accounting team so that you can free up your time and resources.

Bookkeeping and Accounting: Do You Need Both Services?

Even though the terms “bookkeeping” and “accounting” are sometimes used interchangeably, there is a distinct difference between these two services. Bookkeeping is a service that focused on the daily systems that are needed to document the transactions that move through your company. A bookkeeper tracks and categorizes all incoming and outgoing transactions, ensuring that the data entry accurately reflects the money that is spent.

Another aspect of bookkeeping involves regular bank reconciliations. You need to make sure that your accounting software lines up with the numbers that are showing in your bank account. So, these reconciliations are essential to make sure that you are staying on track every month and year.

Implementing a good bookkeeping system is essential if you are going to manage your cash flow. At the same time, cash flow management is critical to ensure that you can keep up with the ongoing costs that come up to keep your company running.

You might have the best bookkeeping system in place, but you shouldn’t overlook the necessity of hiring an accountant as well. An accounting team looks at more than just the daily financial tracking. Accounting services help you forecast future possibilities for your company, implementing tax strategy and other financial plans to support the anticipated growth that you desire.

As you can see, there are differences between bookkeeping and accounting services. If you are starting a business, then it is essential that you have both of these services available to get your company started on the right foot.

Choosing Bookkeeping and Accounting Services

Cash can be tight when you are starting a company, so it makes sense that you should skip the burden of bringing on more employees. Instead, you should consider the benefits of outsourcing these services. You need an experienced team that can assist with your business finances, but it doesn’t mean that you need to carry the responsibility of having a few more salaries that need to be paid.

Before you hire anyone, you need to first consider the needs of your company. Do you already have a bookkeeping system in place? Do you need to bring in an experienced team to set things up from the beginning? Evaluate your needs and then find an outsourced accounting and bookkeeping team that can accommodate your preferences.

Ideally, you should find an outsourced team that can help with everything that you need. For example, it will reduce your stress levels if you can outsource tax planning and payroll processing to the same team. Then, you always have a single point of contact if questions arise regarding your tax strategy. A good outsourcing service will offer ongoing support to answer your questions throughout the year.

Tracking Expenses and Maximizing Tax Write-Offs

As you learn more about bookkeeping and accounting, it is easy to see how these services go hand-in-hand. If you have a good bookkeeping system to track and categorize every expense, then those details can be used for your tax plan. An accountant needs to understand the ongoing expenses that are accrued for your company, giving you the benefits of writing off as much as possible to minimize your tax burdens.

If you are still trying to handle bookkeeping or accountant tasks in-house, then right now is a great time to hire a good team. You can avoid the headache of issues with your financial tracking. Also, accurate financial reports will help you make quality decisions regarding the future of your company.

These outsourced services are essential to build the foundation that you need to expand and grow. Whether you are trying to bring in investors or you want to evaluate the profitability of your company, you need to have detailed reports that show a real snapshot of the financial health of your business.

Local or Online Accounting Services?

Most business owners turn to local accounting services. While it can be nice to work with someone face-to-face, there is no reason why you need to be limited based on physical location. We live in a digital world, which opens up a wide range of services that are available through online resources. You can find an accounting team that specializes in the services that you need, with the convenience of skipping an in-office visit.

Online accounting services offer a powerful, affordable way for you to manage your business finances. If you are starting a business, then you need to make sure that you are using a cloud-based accounting software. Then, everything can be accessed from anywhere in the world. You can oversee the success of your company without the need to pull out a pen and paper to crunch the numbers.

If you are looking for an online accounting service, then we invite you to talk to our experienced team here at Easier Accounting. We understand the nuances of small business financing, and we are happy to offer the ongoing services that you need. Call today to learn about the options that are available for your new start-up: (888) 620-0770

Is it Time to Hire an Accountant for Your Small Business?

Having a strong financial plan for your small business is one of the most important aspects of creating a foundation for the future. If you ignore financial tracking, tax strategy, and bookkeeping, you might be able to get by for a little while. But, eventually you will face the harsh truth that your business growth will be limited without a solid financial system. The best thing that you can do is hire an outsourced accountant to oversee the details in the early stages of your business growth.

Why Accounting Services?

Small business owners are always looking for ways to save money. One mistake that is often made is hiring an entry-level administrative employee to help with financial tracking. Instead of bringing on an experienced team, it seems like a cheaper solution to pay someone who can handle the data entry.

While the daily data entry is important, it never replaces the strategy that comes from working with an accounting team. These accounting services encompass much more than simply tracking the transactions that move through the bank account. A good accounting service will incorporate everything from basic bookkeeping to full tax strategy and planning for the future.

Working with an accountant is a strong addition to your business strategy. You have the benefit of a team member who understands the nuances of small business finances. Lean on their expertise, so that you can apply the proven principles to your own business practices.

Benefits of Working with an Accountant

Is it a big deal to hire an accountant? Yes! As you learn about the benefits that come from these services, you will wonder why you didn’t make the investment earlier in your business efforts. Having a great accounting team might be the difference that you need to overcome cash flow problems and set your business up for future growth.

Here are some of the benefits that you can expect when you hire outsourced accounting services:

  • More Time for Business Development: Stop wasting your time on number crunching and data entry. As the owner of a business, you carry the heavy responsibility of overseeing every aspect of your company. The best thing that you can do is outsource some of the busy work so that you can focus your efforts on other activities that will bring in more revenue. Hiring an outsourced accountant is an essential step if you are still involved in data entry, invoices, payroll processing, tax filing, and more.
  • Save Money on Overhead Expenses: When you see that you need financial services, it might seem logical to hire another employee. But, you need to think about the costs that will be incurred by bringing an employee into your company. Not only do you need to carry the responsibility of another salary, but you also need to pay for expenses such as office space, benefits, time off, and more. Save your cash by hiring an outsourced accountant instead. You can tap into the expertise of an professional in the industry, without the need to carry the weight of a full-time salary for another employee.
  • Maximize Tax Write-Offs: You are probably leaving money on the table if you are doing your own taxes. Tax strategy can be complicated, especially since the laws have changed recently. You can’t read a few short articles online and think that you understand tax strategy for small businesses. Instead, you need an experienced CPA who understands the nuances of tax law, helping you maximize your write-offs while staying within the legal guidelines at the same time. Implementing a good tax strategy could save you thousands of dollars each year. Many business owners find that they save more money on taxes than what they spend on the accounting services.
  • Categorizing Assets: Does your company own assets? Whether you have an office full of computer equipment, or you have bigger assets for real estate or vehicles, you need to have a financial expert help with the categorizations for these assets. The way these items are categorized can impact your tax filing. Plus, you can use the assets as collateral if you need to borrow money in the future. Another benefit of proper categorization is to know how much the business is worth, so that you always have a snapshot of the profits and successes of the company.
  • Ongoing Reconciliation and Audits: Even if you are diligent with data entry and other financial practices, it is common for mistakes to be made along the way. Seemingly small issues can add up over time, resulting in bigger problems in the future. So, you need to take a proactive approach to identify the errors and correct them in the early stages. Regular reconciliations and in-house auditing can be invaluable to ensure that you are staying on track for the future. Plus, you will have the peace of mind to know that there is nothing to worry about if you are audited by the IRS.
  • Efficiency with Cashflow: It can be a stressful situation if you feel like you can never stay ahead of the cash flow for your company. Inefficiencies in your financial system can be identified and corrected by an experienced accounting team. Correcting these issues can improve daily, weekly, and monthly systems. As a result, the money will be there when it is needed, giving you the flexibility to manage your business without feeling like you are running out of cash. An accountant will oversee the ongoing strategy and forecasts to ensure that you always have the cash that is needed for accounts payable and payroll.
  • Planning for the Future: Not only can you keep up with the current needs of your company, but you can also think about the future possibilities that can be achieved. If you want to be ready for expansion, then you need to make changes right now to set yourself up for success in the future. Set goals for the revenue growth that you want to experience. Then, talk to your accounting team to design a system that can accommodate the growth as it occurs. You need to think about various options such as tax strategy, business entities, and more.

Start with an Accountant Right Away

If you don’t already have the services of an accountant for your small business, then right now is a great time to get started. You can have the support that you need for the upcoming tax season. Plus, you will be able to lean on the financial expertise throughout the year.

A good accounting service encompasses more than one conversation a year for tax strategy. You need to have someone who watches your business trends throughout the year, giving you the professional advice that will keep your business on track for the success that you desire.

It is amazing to see the difference it can make to hire the services of a professional accountant. Not only will you have someone who can answer your financial questions at any time. But, you will have access to accurate reporting and information when it is time to make big decisions about your company. There is no way to put a price tag on the benefits that you will receive from outsourced accounting services!

Don’t Hire a CPA; Call for Outsourced Accounting Services Instead

Save the money that you would spend on an outsourced CPA and bring in an experienced outsourced accounting team instead. You will have a full range of experience in the industry, plus you can save the cash that you would have spent if you hired a CPA.

What will you do with the extra cash? Saving thousands of dollars will give you the options to invest in new office equipment, consultations with experts in your industry, or a company retreat. Or, you could use the money for business development, helping to expand the products or services that are available for your customers. These investments can have long-term benefits for your company, helping to maximize your profits in the future.

Outsourced accounting services offer all of the benefits of having an in-house CPA, without the expense of another employee. You can call your outsourced team at any time if you have questions about your tax or financial strategy. We are always available to answer your questions and support your needs, giving you the expertise that you need to manage the stressful side of running a business. Instead of crunching the numbers and trying to navigate financial reports, you can focus your efforts on other business tasks. We will do the heavy lifting to ensure the financial health of your company.

Are you ready to learn more about hiring an outsourced accountant? Our team is here to assist with anything that you need. We encourage you to call us to learn more about the services that we provide for small businesses and entrepreneurs. Contact us at Easier Accounting to see if our services match your needs. We are happy to cater your accounting plan to make sure that everything is in alignment with your business goals. Call for more information: (888) 620-0770

8 Things to Consider When Hiring a Small Business Accountant

Have you decided that it is time to hire a small business accountant to help with the financial tracking for your company? It might be a big step to bring in a financial professional. But, this decision is an important decision to move your business forward in a positive way. Managing the financial records will set the foundation that is needed for success in the upcoming years.

DIY accounting is one of the biggest mistakes that can be made for a start-up or small business. Even though it might seem simple to track transactions and income, the truth is that important details are often overlooked along the way. Instead of trying to save money by handling the accounting and bookkeeping in-house, it is better to spend the cash on a professional team to help. In fact, it is likely that you will save more money because of the tax write-offs and other financial benefits that come from an experienced accounting team.

If you want to move forward towards financial success, then you need to have an accountant that you can trust. Follow these important tips to help you choose the right small business accountant:

1. How Much Experience Do They Have in the Industry?

Not only do you need to consider the length of time that they’ve been working in the industry, but you also need to think about the type of experience they bring to the table. Just because someone has been working in finance for many years, doesn’t mean that they have the understanding to navigate tax laws that relate to small businesses.

Your best bet is to choose an accounting team that specializes in the types of services that you need. For example, if you are launching a start-up, look for accounting services focused on small businesses, instead of hiring a big, corporate accounting team.

2. Does Your Accountant Have the Right Education and Accreditation?

Anyone can say that they are a financial professional. But, knowing how to do data entry in an accounting software isn’t the same thing as analyzing reports and putting together a financial strategy. Ask your new accountant about the education they gained to be qualified for the position.

Knowing information about their education and experience is a great way to ensure that they have the skill set the is needed to boost the success of your company. You need to hire someone that is familiar with all types of bookkeeping systems and is willing to learn more about the nuances of your company.

3. How Often Can You Ask Questions?

Some accounting services only offer communication once or twice a year. You talk to your accountant at tax time, and then the conversation is over until the next tax season. While it is important to have an accountant who can help with taxes, you shouldn’t overlook the benefit of ongoing accounting and bookkeeping services to help your company throughout the year.

The best solution is to choose an accounting team that is always available to answer your questions. Ongoing support will make a big difference to your tax strategy, helping to minimize the amount of money that you need to pay in taxes.

4. Is the Accountant Honest and Trustworthy?

When you are handing over the financial information for your company, you need to make sure that you have a team that you can trust. Never provide password information for your financial system unless you know that you are working with a reputable team.

There are many scams in the business world, with thieves who are just trying to gain access to your bank accounts. So, it is important that you do your homework to learn more about the company that you are planning to hire. Research the business, look for online reviews, and ask around to make sure that you are picking a reputable team to help with your bookkeeping and accounting.

One way that you can determine the reputation of the company is by asking for references from other clients. Testimonials and reviews can shed light on the quality of service that you can expect if you hire the accounting team.

5. Will You Receive Reliable Services?

Ongoing accountant and bookkeeping services are essential so that you can stay ahead of the cash flow for your company. If you hire someone that procrastinates the work, then you will likely be facing a messy financial situation in the future. A better solution is to hire a team with a proven system in place.

The ongoing services depend on the needs of your company. You should have a consultation with the accounting team to discuss the services that are necessary. Then, a schedule can be designed to match your preferences. This schedule should include all of the important aspects of financial tracking, such as data entry, reconciliations, payroll processing, tax payments, tax filing, and more.

Reliability is also important to give you access when questions come up. Will you be able to get on the phone with your accounting team if you have questions about a financial situation? Reliability is not only consistency with the tasks that need to be completed. It also means that your accountant will respond when you contact the team for more information.

6. How Much Transparency Will Be in the Reporting?

If a mistake is made along the way, it is important that you have transparency in the reporting to identify the problems. Accuracy is one of the most important aspects of an effective accounting system. So, you need to make sure that you have the information readily available at any time.

Transparency means that you will be able to see the work that is being completed. You can also pull financial reports to understand the current cash flow standing of your company. Plus, the accountant will be available to explain the reporting and transactions so that you can be sure that everything is on track for the future.

This openness for communication is essential so that you have all of the information that is needed for the financial health of your company.

7. Do You Have Credit and Cash Flow Management Strategies to Use?

Instead of just tracking the transactions that move through the company, your accounting team also needs to look at the strategy that will impact the financial health of your business. Most companies have credit cards and lines of credit that are used to keep the business going. Debt can be an effective way to push through slower times. But, these balances can quickly get out of hand, making it hard to get on top of the cash flow once again.

Instead of spending a lot of money on business debt, you should talk to your accounting team to look for solutions to minimize spending and pay down the balances. These strategies will contribute to the financial health of your company. Not only will you be able to manage your cash flow more effectively, but you will also be able to stay ahead of future costs that might be incurred.

A healthy business will have an emergency savings account to cover any unexpected costs that might come up. Plus, there will always be enough cash flow to stay current with the anticipated bills that come through every month. Many business owners have a hard time putting together a system to stay ahead of bill payments and credit management. So, it is a good idea to hire an accountant who can help with managing these details.

8. How Much Do the Accounting Services Cost?

The cost of the accounting services needs to be analyzed, to make sure that you can support the payments that will be needed. If you are hiring an employee to manage in-house accounting work, then you will be facing expensive costs for the salary, benefits, office space, and more. For small businesses, it probably doesn’t make sense to bring on another employee.

Instead, a better solution is to find an outsourced accounting team who can help with your business finances. You will see that the costs of a small business accountant go down when you bring on an outsourced team instead of hiring an employee. Not only will you access the skills and services that you need, but you will be able to save money at the same time.

The great thing about outsourced accounting is that your accountant can be located anywhere in the country. Instead of being limited to a geographical location, your accountant can use technology to manage your bookkeeping online. Then, you have instant access to the reporting system so that you always have a current picture of the financial health of your company.

Do you want to learn more about the benefits of outsourced accounting? You need to talk to our team at Easier Accounting. We have been working hard to build a great reputation in the industry. You will see that our services are leading the industry, offering the best options that are needed for small business accounting. Call today to see if our services match the needs of your company: (888) 620-0770

What to Look for When Hiring an Accountant

Hiring a small business accountant is an important step to prepare your company for future growth and development. There are many benefits to having an experienced financial professional who can offer advice to manage the finances of your business.

When you are ready to hire an accounting team, take some time to evaluate your options and find the services that are the right match for your needs. Here are a few qualifications that you should consider:

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  • Online Bookkeeping Management: We live in a digital world, which means that you should take advantage of the online tools that are available for bookkeeping management. Ask your accountant about the software programs that will be implemented for your company.
  • Proactive Business Strategy: If you are going to spend the money on an accountant, then you deserve to work with someone who is proactive to help by improving the profitability and financial health of your company. Look for an accounting team that will assist with managing business deductions and tax strategy to maximize profits as much as possible.
  • Consistent Financial Reporting: One of the biggest advantages of working with an accountant is that you have up-to-date financial information about your company at all times. Talk to your accountant about the frequency of financial reports such as Profit and Loss, payroll, and more.
  • Accessibility and Communication: It can be frustrating to send a message to your accountant and have to wait for weeks before hearing a response. A good accountant will be available to answer your questions when they arise, and the accountant will manage phone calls and email inquiries in an efficient way. Ask about anticipated response time and the best form of communication.
  • Reconciliation to Protect Your Company: Ongoing reconciliation helps to avoid theft and fraud. Look for accounting services that will reconcile the books on a regular basis. Set up a schedule for reconciliation and auditing if necessary.
  • Trustworthy and Reliable: When you are handing over the financial details for your company, it is essential to be sure that you are working with a reliable and trustworthy accountant. Look for information about the accountant before you provide financial information about your business.

If you are looking for all of these requirements in an accounting team, then you have come to the right place! Here at Easier Accounting we offer high-quality services to every customer that we work with. Contact us today to learn more about the way your company can benefit by working with our team: (888) 620-0770

Hiring an Accountant vs. Do-It-Yourself Tax Filing

Every dollar counts for small businesses and start-ups. If you are getting your company off the ground, then it is likely that you are looking for ways to conserve cash flow and save money. Many small business owners fall into the trap of working long hours because they are trying to handle everything on their own.

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It is smart to be careful with your spending. But, there are a few areas where it can be beneficial to outsource the tasks that need to be handled. Accounting is one area where you can reduce your stress and busy work by letting a professional handle it for you.

Before you decide that a do-it-yourself tax filing is a right solution, consider some of these factors:

Time and Busy Work

If you don’t have a thorough understanding of tax law, then it can take a lot of time to sort through the necessary paperwork. Tax filings get more and more complicated each year, and most small business owners don’t put in the necessary time to understand the changes.

You don’t have to read through the current laws and sift through mounds of paperwork. These tasks are often a waste of time because they pull you away from other important responsibilities within your business. Instead of trying to manage everything on your own, it is better to hire a professional accountant to help.

Mistakes and Overlooked Paperwork

The risk of a tax mistake goes up if you handle the tax filing on your own. It is much easier to avoid the potential problems by getting the paperwork done right. When these mistakes occur, you might receive information from the government later on that you need to fill out additional paperwork or pay more in fines and fees.

Missed Deadlines

There are several tax deadlines throughout the year that needs to be addressed. Sometimes payments are required, other times tax paperwork needs to be submitted to the government, your employees, or contractors that you have hired.

Do you feel confused by all of the deadlines during the year? Missing these deadlines can result in stressful penalties and other problems. Instead of overlooking the problems, it is better to hire an accounting team who will manage the deadlines for you.

Here at Easier Accounting, we offer affordable tax filing and other types of accounting services. Our goal is to make it easy and affordable for you to outsource your small business accounting needs. Call our company today to learn more about the services that we offer: (888) 620-0770