Bookkeepers can help your business with day-to-day accounts through recording sales and other transactions. Aside from that, they can do a lot more too. So why do you need to hire a bookkeeper?
First, let us know about what are the tasks of a bookkeeper. They are the one who records the financial transactions of your business. They also do the following tasks:
- keep track of sales, purchases, payments and invoices
- review of internal business processes and do the design maintenance
- organise, collate and record financial data on a daily basis and store this information in general ledgers
- record the financial data of your business in a standard way, in order for accountants to also access it.
In this article, we’ll tell you what a bookkeeper can do for you, and when you might hire one for your business.
Why do you need a bookkeeper?
If you started your own venture, it’s likely that you’re passionate about running it and concentrating on the tasks you love doing. Yet, if you’re like other business owners, you’re not that interested in recording all the details of every financial transaction you have in your business.
For example, imagine you’re a restaurant business owner. You might have:
- a simple business model
- a high transaction rate with many customers
- A lot of sales per day – perhaps dozens or more
- supplier invoices for ingredients products
- sales recorded through cash registers or other POS (point of sale) systems
- staff wages to record and pay.
Those are a lot of information to track and record. Hence, bookkeeping might not be something you enjoy or have time to understand.
If you don’t have a proper bookkeeping, it would be easy for transactions to go unrecorded, left to pile up until the end of a financial period. Mistakes could be made and important information could be off-track or forgotten.
That is where the they come in. They will lighten the load on your business. They can take away the daily recording of receipts, invoices and other transactions.
What do a bookkeeper actually do?
They are trained and use the same financial recording methods as accountants. Bookkeepers do this so that your accountant can immediately and easily process your financial data. They will:
- Take all your receipts, invoices and other transaction information.
- Record the details in accounting software using proper accounting methods.
- Work with you to make sense of the numbers, like assigning costs to specific clients.
However, there’s more to bookkeeping than recording day-to- day transactions. Those who do this work are usually highly skilled at using accounting software. And these are the things that they will be able to advise you on:
- add-on solutions to streamline your business workflow, such as POS tools
- payroll services to simplify the way you pay your staff
- bookkeeping rescue work, tidying up mistakes made by inexperienced staff
- training for small business on using accounting software.
They can also offer daily support for small business owners. As a matter of fact, a good bookkeeper is your partner in keeping things running seamlessly within your business.