Reasons every business needs a Bookkeeper.

                                                      Running a business is quite different from owning one. While your business may have huge capital amounts, it won’t thrive without the proper and effective bookkeeper skills. Bookkeeping is to be thought of as an essential role that every business (especially new businesses) should have incorporated into their plans for success. Now you know you need bookkeeping for your business – what are some reasons to hire a bookkeeper? Sure, you could DIY it, but would that be best for your long-term success? Let’s look at reasons to hire a bookkeeper that fits your business goals.

Division of responsibilities

Every business should stick to what they excel in. Most business owners aren’t skilled in bookkeeping which is all the reason why hiring a bookkeeper is necessary. This allows you to remain focused on growing your company. Additionally, if you have many friends or family working in your business, hiring an impartial third party as a bookkeeper removes any suspicion of related-party transactions or “book cooking” going on behind the scenes. 

Streamlined business planning 

Accurate business planning is very important when starting a new business and for year-over-year growth. It is needed to provide accurate forecasting of revenues along with current data of expenses. Having a bookkeeper provides accurate, powerful, and updated data helping you to make the best informed decisions.

Knowing the ins and outs of finances 

A bookkeeper has specialized experience in accounting and tax principles. You can rest assured that your monthly, quarterly, and yearly accounting is being handled in a professional manner that meets all regulatory standards is key to regulating a business. They are to be entrusted with regulatory duties. That way, you can focus on the skills you possess concerning your business. As the business owner, you are the responsible party when reporting sales and payroll taxes. You also must maintain exact records of your purchases, payables, receivables, sales, and income tax owed.   Failing to report business sales and income taxes can jeopardize what you’ve worked so hard to build. The importance of this is one of the main reasons to hire a bookkeeper. Would you rather bear this responsibility yourself, or delegate it to a bookkeeping and accounting expert? This ties into knowing who you owe and who owes you. All businesses must frequently deal with payables and receivables. A bookkeeper will be able to keep all your these said records and financial statements updated. (along with financial statements). Which can assist you with collections and negotiating debt.

Improved business image

Bookkeepers can serve as an impartial third party relationship between you and your clients. This preserves business relationships when payable and receivable issues are presented. For instance, if your client opens a dispute about payment or is delaying paying you for some reason, having a bookkeeper who can send collection letters for you can be a godsend. This will save you the image of having to be the “mean bill collector” and preserve a better client relationship.  and must be resolved. Directing clients to speak with your bookkeeper is a very good way of deflecting difficult conversations. This can be especially helpful if your personality isn’t equipped to deal with such situations in a positive manner.

Having a bookkeeper is useful when communicating with other business partners as well. When owning and running a business, impressions do count. Especially, when expanding your business to the next level. Creating a positive, professional image is also important when it’s time to take your business to the next level. Bankers and investors are impressed to see that you have a good business sense to hire a trusted and reputable bookkeeper who manages your accounting requirements. In most cases, your bookkeeper represents your interests and can speak directly with lenders and investors. A bookkeeper will typically know in advance and have ready all the financial information required to make your expansion happen.

Everyone knows that most business owners wear many hats and have to know a little bit about many duties. A dedicated bookkeeper will lighten your load, and enable you to keep doing what you do best. Bookkeepers can provide a clearer financial picture of your company, enhancing your decision-making capabilities. A bookkeeper can also provide unbiased financial opinions. Bookkeepers also help manage client, business partner and legal relations. Having this professional relationship in your back pocket can mean better relationships with otherwise difficult customers, and the ability to make impressive new business connections to expand your operations. Finally, a bookkeeper can lower your business costs. The key component of running any business is to keep a firm grasp on the overall costs incurred. Every business owner’s goal is to reduce the total costs of operation. Every owner of a business should really consider the tools that will make their company more profitable. A bookkeeper is definitely an important tool for running a highly successful company. 

Joy’s Money Angle bookkeeping team is specialized in day-to-day bookkeeping, quarterly and yearly financial statements, and tax preparation. We maintain the highest degree of professionalism in our work. If your business has special needs, we will be happy to conduct an initial consultation to see how we can best serve your needs, whether that is one of our standard service packages or something built just for you. We serve businesses in the greater New York City area and beyond. Contact us today at info@joythebookkeeper.com.