It’s difficult enough to keep up with your hectic schedule just to stay afloat so sometimes, managing the books gets put off or doesn’t happen at all until tax time. Bad small business bookkeeping can damage your business and actually, can put your business out of business. It doesn’t have to be that way though.
Benefits of Small Business Bookkeeping Done Right
When managed properly small business bookkeeping can run smoothly. It can keep you out of legal trouble and keep you in good graces with the IRS. The benefits of bookkeeping efficiently are many. Here are a few:
As a small business owner, you have your hands full, no doubt. When you do tasks that are not in your field of expertise, you waste time. It takes you forever to just get your feet wet in things such as learning to balance the books or getting ready for tax season. Think of all the time you waste when you could simply hire a bookkeeper to do it for you. Sure. It costs money. But it saves money too.
One of the biggest benefits of small business bookkeeping, when done by a pro, is that you won’t be subject to losing revenue like you are when you do the books as an amateur or have them done by an employee who is not a bookkeeper or accountant by trade. By correctly tracking receivables, you are likely to find where any areas are losing money. You can track money that is owed to you. Any disruption in your cash flow can be identified. It is only when you are aware of a problem that you can solve it so correct bookkeeping is a saving grace.
It’s the small things that will get you. Hidden fees, forgetting about little service charges here and there, small purchases, and payments that recur are all areas that can easily be overlooked or forgotten. They add up. When your bookkeeping is done by a pro, those things will be addressed. You can plan for them and give them their fair spot in your budget.
Believe it or not, the oversights you are making in your bookkeeping and in your business taxes would probably pay for a professional small business bookkeeping expert. Taxes are complicated and you may be seriously overpaying and not claiming deductions you could be. Furthermore, if you are mixing your personal and business records and transactions, you are most likely hurting yourself. Hiring a pro will eliminate overpaying taxes.
Have you ever gone through a tax audit without a professional bookkeeper? You don’t want to. You could end up in serious legal trouble and at the best, it takes a toll by way of stress. Professional small business bookkeepers are trained to handle audits and to make sure everything is in order and correct in case there ever is one. What a relief that is!
Payroll and state tax penalties are no joke. They happen…a lot. As the owner of a business, it is your responsibility to keep track of sales taxes and payroll taxes so you don’t land up in a world of trouble with penalties mounting, sometimes more than you can scrounge up to pay. Be on the safe side. Hire a bookkeeping service.
If you are finding you need some help with your small business bookkeeping, simply conduct an online search for “hire a bookkeeper near me” or “business CPA near me”. Then, you can narrow the choices down to find a professional that practices good work ethics and has the integrity as well as a great knowledge of bookkeeping. Do be sure to include “hire a bookkeeper near me” or “find business CPA near me” because it is crucial to find one in your locality so you can meet up in person when the need arises and of course for the initial visit.