A bookkeeper is one of the most important people in your organization. It doesn’t matter what kind of product or service you are offering; this is the person that will keep track of the money going in and out of your business.
A business owner’s primary focus is on the development and growth of the business, not on the bookkeeping aspects. However, it’s essential to understand that a bookkeeper’s job is the key to your success. The lack of one could leave you scrambling to pay bills and your employees.
A bookkeeper isn’t responsible for the taxes and other substantial financial expenses business owners have to contend with. That’s the job of an accountant. However, a bookkeeper is responsible for the daily financial runnings of the business. You want to trust that your bookkeeper or the bookkeeping service you hire will give you an accurate idea of how your business is doing.
If you can’t afford to hire a bookkeeper or bookkeeping service, a freelance bookkeeper may be a cheaper, yet suitable option.
What Responsibilities Does A Bookkeeper Have
A bookkeeper has many responsibilities to contend with. The first of which is to organize receipts and carry out data entry. Every item impacting your company’s bottom line is appropriately marked and labeled. Your bookkeeper will pay your bills, and a record of receipts is made. You may also ask them to invoice and collect payments.
Of course, the duties of a bookkeeper goes beyond inputting numbers in a spreadsheet program. A bookkeeper should have a fair amount of analysis and legal knowledge to ensure that you’re making legal, financial decisions and can help you through an audit if necessary.
A reputable bookkeeper (booking service) will provide you with four vital reports:
- Income/Profit and Loss Statement – This shows you the revenues and expenses for specific dates.
- Balance Sheet – This provides you a glance at your financial statement for certain dates.
- Cash Flow Statement – This is a record of money flowing in and out of the business.
- Total Recognized Gains and Losses Statement – This shows you the changes in share capitals, retained money and reserves.
What Other Responsibilities Does A Bookkeeper Have?
There is a plethora of other responsibilities a bookkeeper may have including but not limited to:
- Tagging and tracking fixed assets
- Handling sales tax remittance
- Paying contractors/suppliers
- Handling debt payments
- Taking payments
- Making deposits
- Payment processing
- Account reconciliation
- Working with tax lawyers or accountants
A reputable bookkeeper may assist you with budget decisions, showing you how the business is faring from one month to the next (from season to season). With a professional bookkeeper, you can feel at ease that your company’s finances are in good hands. The time they spend on the work means more time for you to focus on other essential aspects.
If you’re tired of keeping track of the finances and feel it’s taking time away from other important tasks, a bookkeeper (bookkeeping service) may be just the answer you are looking for.
Article contributed by AD Bookkeeping Services – https://goo.gl/maps/a9uJC8rTgcXNU8LZ6