Should I do my own bookkeeping?
Bookkeeping isn’t simply putting numbers in a spreadsheet. It’s a complex financial tracking system that accounts for every dollar that flows in and out of your business, categorising every transaction for a clear picture of where your money goes. If you have not had training and experience you are most likely making mistakes you unaware of. Mistakes that will need to be cleaned up by a bookkeeping professional.
Your business accounts need to be maintained regularly and in a timely manner. You may need to submit financial statements to a lending institution or business partner, sometimes with very little notice. If your accounts are non-existent or messy it could cost your business valuable opportunities. Other businesses will trust your business is running efficiently and cost effectively if you can present financial statements on demand.
Lets face it, you probably don’t like bookkeeping, if you did you’d probably have started your own bookkeeping business. You probably don’t know how to do the bookkeeping properly and are constantly googling and trying to lookup how to do things. What could take you four to five hours takes a good bookkeeper one. All this time spent on administrative tasks you are not trained to do could time you spend growing your business and taking it to the next level.
Every time an ATO deadline disappears in your review mirror unattended you will be slapped with a penalty from the ATO. Every time you miss paying an important bill you receive late fees and/or your credit rating plunges. Avoid paying unnecessary penalties and fines by submitting obligations on time.
An important step in making decisions for the future is understanding where you are currently standing. To understand your current financial situation completely you must have MEANINGFUL, TIMELY reports. You can not manage what you do not measure.