When you’re working in a small business, there are times when you need to save money, cut costs and do some things yourself. Hiring an external team member or service can be costly, so we can’t blame you when you opt to do something like bookkeeping yourself. After all, you’ve done your research and bought the most intuitive bookkeeping software you can find.
For a while, this can be a viable option. Bookkeeping software like Xero or Quickbooks can do almost everything for you – why would you ever need to hire a bookkeeper?
But before you know it, it’s Christmas and you need more staff, you’re looking at expanding your products and services, your office lease is nearly up and you’re dying for a holiday.
Bookkeeping generally falls by the wayside as your software is doing all the work for you, right? Just add in your receipts, payroll and invoices after a 10 hour day of running around and you’ve got it covered.
Unfortunately, this is often not enough, and its how mistakes are made. And before you know it, the ATO are auditing your business and you’re overwhelmed by the stress of financial penalties.
Hiring a bookkeeper for your small business can not only relieve some stress, but it can actually save you money, rather than costing you more.
1. Save Money & Minimise Taxes
The process of filing your taxes at the end of the financial year is stressful, not to mention time consuming. Getting it wrong can end in paying more tax than you need and even financial penalties!
A professional bookkeeper knows everything there is about lodging your tax and can deliver an accurate report of all your business expenses, salaries, budgets and deductibles. Looking at your accounts and structure, your bookkeeping team will be able to know how to avoid paying unnecessary taxes – saving you hard earned money!
And when you’re not poring over your financials, you can be working more on the business and increasing your profits!
2. Get Some Perspective & Plan Ahead
A bookkeeper can review your business overall from an outside perspective. You’ll know better than anyone that when you spend all your time working on one thing, it can be hard to see simple changes and strategies that can save you money and expand your services.
The fresh eyes of a bookkeeper can notice new details that you may not have seen before. A bookkeeper can also put together completely custom financial reports and analysis of your business so you can see everything in one place and know exactly what it all means.
Make the right decisions with the help of a professional bookkeeper for your business.
3. Avoid an Audit
When you’re doing things that you haven’t done before and you’re not devoting a lot of time to it, things can go wrong. When you’re lodging your tax or inputting a lot of numbers into your bookkeeping software it’s easy to make a mistake.
Bookkeepers are professionals. They can handle your day-to-day data entries without making mistakes (and know how to fix them on the rare occasion they do happen).
No bookkeeping errors means no problems.
The ATO perform a number of different kinds of audits for small businesses so you could end up on an audit list for something you haven’t heard of! Our professional and experienced bookkeepers know exactly what’s required for every type of audit and how to get you through it with minimal financial repercussions!
4. Get Some Sleep
When you take something off your already overflowing plate, you can relax! Save yourself some time and get to bed earlier knowing that your books are in good hands with an experienced bookkeeper.
5. Improve Cash Flow
Going beyond simple filing and data entry of your day-to-day expenses and incoming payments, a professional bookkeeper can give you a much better overall picture of what you’re actually spending your money on and if you have any outstanding payments to be made by your clients.
This means that you can look at areas of the business that you can improve. You’ll learn what areas you can save money on and can develop a system to follow up and ensure that the money you’re owed is being paid on time.
And when you know exactly how your money is being spent, you naturally become more aware of it, which will improve your cash flow.
Less time gets spent reviewing receipts and overdue invoices, and more time can be spent earning money for your business!
6. Get the Attention of Investors
When you have a report that can be fully customised and clearly shows your value and future projections, you’re more likely to get a positive response from potential investors. It’s a clear and concise demonstration of not only what your business is worth, but how efficiently and productively your company runs. Clear and complete finances are much more appealing than something that’s messy with pieces missing!
These are just a few areas where an experienced and professional bookkeeper can help you save money and get peace of mind. Learn how our bookkeeping team can create a custom service for you so that you can achieve your business goals.
Get in touch online or give us a call on 1300 803 134.
