When most people set up a small business, they usually have spent months, or even years, gaining all the possible knowledge and information on their particular product or service. Whilst you might therefore be the resident Guru on your business offering, can you say the same about the financial aspects of running a successful business?
Many people can feel a bit daunted at the thought of managing their finances and can often get bogged down with worrying about if they are doing everything correctly – or not doing anything at all and then ending up in a mad panic when their accounts need to be submitted.
Have no Fear – A Bookkeeper is Here (or can be employed to help!)
So, how can a Bookkeeper help your small business?
A Bookkeeper can provide a monthly update of how your business finances are doing. They are experts at recording financial information in a standardised way – which all goes towards helping keep your finances on track and identifying any potential issues, such as debt, lack of sales or cash flow issues. Tasks that can carried out by a Bookkeeper include:
- Bank Reconciliation
- Posting of Purchase Invoices and Expenses
- Sales and Purchase Ledger Reconciliations
A Bookkeeper can help with reminders on key deadlines such as:
- When your Self-Assessment Tax Return is due
- HMRC Monthly Payroll Submissions
- Tax Bill Deadlines
Which can be pretty handy as missing deadlines can result in fines from HMRC.
A Bookkeeper can help with Accounting Software, such as Sage, Quickbooks and Xero. These can appear to be quite scary pieces of software to a new business owner. A Bookkeeper can input all of your figures for you and provide you with regular reports on your finances, including Profit and Loss Statements, Balance Sheets and Cash Flow Statements.
If you don’t know what you are doing with the particular piece of software, you can sometimes do more harm than good, and any errors can be time-consuming and expensive to fix down the line.
A Bookkeeper can also act as an Intermediary between you and your Accountant. The knowledge they have on your business’ finances means they often act as the first point of contact when the Accountant is preparing to file your accounts – leaving you free to concentrate on other important tasks, such as marketing, business development, customer care and keeping your business moving forward.