Why A Good Bookkeeper Is Important For Your Business

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An accountant is a financial expert, who is there to provide advice on all financial aspects of your business. Your accountant should assist in filing your tax returns with HMRC and create financial statements used for making business decisions.

A bookkeeper is a data-entry professional, responsible for recording and managing your business’ financial records. 

WHAT DOES A BOOKKEEPER ACTUALLY DO?

Apart from simply keeping and maintaining accurate financial records for your business, bookkeepers are responsible for:

  • Customer invoicing and receipting – Also known as “Accounts Receivable”
  • Supplier payments and expenses – Also known as “Accounts Payable”
  • Reconciliation of financial statements – Bank Accounts, Credit Cards, Loans, Lease Payments
  • Credit Control
  • Financial Data Management
  • Produce Financial Reports
  • Prepare and submit VAT returns

And some bookkeepers can also provide:

  • Payroll processing
  • Processing foreign exchange transactions
  • Forensic or Rescue Bookkeeping
  • Prepare and submit VAT returns
  • Process and reconcile CIS transactions
  • Submit CIS returns

A bookkeeper is responsible for many financial tasks to keep your business in good financial shape. As a business owner, we know you are working hard to run a successful business, you shouldn’t be worrying about keeping your financial records in order. 

However, without good financial record keeping, it is impossible to make informed business decisions and submit accurate tax returns to HMRC. And, that’s why a good bookkeeper is vital to your business.

So, what makes a good bookkeeper and,

WHAT SHOULD YOU LOOK FOR WHEN HIRING OR OUTSOURCING A BOOKKEEPER?

There are many factors you can take into account when searching for a good bookkeeper.

Today, we are going to go over the four things you should consider when searching for a good bookkeeper. Remember, at this stage, you should be scouring the internet for a bookkeeper that can meet your bookkeeping requirements.

Here are the 4 things you should consider:

  • Objectives

A good bookkeeper should help you focus on your financial goals and business growth.

  • Experience

Look for a bookkeeper that has provided services for businesses in your industry or across many industries. This is because a manufacturing business has different bookkeeping requirements from a service or retail business. 

  • Positive Reviews

A good bookkeeper should be able to prove their work through positive testimonials and reviews.

  • Software

Professional bookkeepers should use cloud-based accounting software for their business. This allows you to monitor your business’ financial status on the go and potentially save money.

If you find a bookkeeper that fits the five considerations, you should book a consultation with them, sometimes bookkeepers offer a free initial consultation to find out more about your business and give you an accurate quote.