Back to Blog
Your business is doing pretty well and seeing profits, you're keeping fairly accurate records on what you're spending and what you're earning....so why take the plunge and add the extra expense of a professional accountant/bookkeeper. I hope to resolve some of those questions here:
1. You are (more than likely) not highly skilled in bookkeeping or simply loathe bookkeeping in general. How much time a month are you spending on bookkeeping....1 hour, 5 hours, 10 hours....or even more common 0 hours. How can you possibly know if your business is profitable or if you're making money without a tracking system? On the flip side, how much money could you EARN in the hours you're spending on bookkeeping if you focused your attention on you clients. To be clear, money in the bank does not necessarily equal a profitable business. Which leads me to point 2...
2. Ever wonder if a particular client or particular job was actually profitable to your company? Of course you have, every small business owner has. This can often be such a blind spot to business owners...job tracking is fairly common among construction companies, but what about your web design business, for example. After your paying for the software, images, subcontractors, hosting, etc.... is that $1,000 you asked for from your client actually making YOU any money? It's crucial to know this, and most business owners quite simply have no idea.
3. The ever dreaded tax time. You get to tax time and have 100's of receipts, transactions from your business account, personal account, credit cards, cash, etc. and you have no idea where to start. The importance of accurate bookkeeping for tax time is two fold: 1. You want to make sure you receive every deduction you deserve when preparing your taxes...that's a given. 2. You want to make sure all your ducks are in a row should you ever receive the dreaded letter from the IRS that you're being audited. For these two reasons alone, accurate bookkeeping is invaluable.
If any of this has made you consider hiring a bookkeeper, please contact me so we can discuss your business and get things rolling!