Most small business owners have an entrepreneurial spirit and a love of independence. But even those who enjoy the freedom of owning their own business may need to work with outside advisers from time-to-time. While doing your own taxes and bookkeeping may seem more cost efficient, the amount of time it takes to prepare and manage this process can be overwhelming. Here are five reasons why hiring bookkeepers and financial professionals can save you time and money.
• Missed Incentives and Deductions
Tax incentives and deductions change every financial year, so you may be missing out on rebate opportunities you aren’t aware of. A bookkeeper can help you figure out exactly which credits and deductions your business is entitled to.
• Expertise and Efficiency
Time is money and when you hire a bookkeeper, you’re getting the best bang for your buck. With expertise in areas like tax law, accounting software and payroll management, bookkeepers are prepared and ready to go. For example, a task that may take a small business owner five hours to learn and implement can be executed by a professional in 30 minutes with a high rate of accuracy. With flexible scheduling and customised scopes of work, you will only pay a bookkeeper for your specific needs.
• Timely, Secure Payments
A bookkeeper can manage monthly vendor payments, transactions and payroll in a timely manner, freeing up time for business owners to spend on other priorities while keeping employees and vendors happy. Additionally bookkeepers can also keep track of sales, purchases, payments and receipts, allowing you to have an accurate picture of your company’s profit margins and up-to-date expenses. Bookkeepers also serve as an objective third-party expert which allows for secure and confidential payments.
• Accounting Software Flaws
While it may be enticing to try managing your finances with new technology, most accounting software isn’t a one-stop shop. Data will still need to be entered, records will still need to be kept and errors can still easily be made. Bookkeepers are certified in the accounting software they use, meaning they are skilled, efficient and less prone to make mistakes.
• Less Tax Stress
Having a finance adviser manage your taxes can lift an enormous amount of pressure off of any business owner’s shoulders. For instance, if the ATO ever audits your business and finds significant mistakes or insufficient records in your bookkeeping, you could face outrageous fines and penalties. Even minor and honest errors like forgetting to save a receipt related to a business expense or forgetting to log write-off expenses in the correct manner could put your business at risk. Sleep soundly at night knowing you’ve entrusted professionals to meticulously manage these details.
Learn more about how our bookkeeping service can enable your business to operate smoothly by contacting us