You may think that bookkeeping is something you can just do yourself but there is immense value in bookkeeping services. Here are 5 signs that you need to hire a bookkeeper so you can concentrate on what you do best.
1. You’re too busy to do your invoicing
When you get too busy to send out invoices on time, if at all, your cash flow will obviously suffer. You also risk the possibility that invoices may be completely missed altogether if you fall too far behind.
2. Your customers aren’t being chased for money
When customers aren’t paying because you either – don’t have time to chase them, or you feel uncomfortable asking for money (out of fear of affecting the relationship) – it’s a good idea to separate the face of the business by using booking keeping services to deal with the debt collection.
3. When things become too complex for you
When hiring new employees/contractors it creates a whole new domain of paperwork for your business, and basically all administration tasks become more complicated. Qualified bookkeepers will be up to date with all legislation in regards to your employees and will be able to advise you on your legal obligations.
4. You’re behind on your bookkeeping
Being behind in your bookkeeping can result in making decisions based on figures within your accounting system that are incomplete or inaccurate. Therefore, you are not able to make educated, informed decisions for the future of your business. Also, the money in the bank (if you have some) may not be yours to spend if you have bills and payments to make.
5. You’re consistently lodging BAS or tax returns late
The ATO apply fines for each late lodgement, this fine can be up to $850 each time. If you always lodge your statements late, hiring a bookkeeper will pay for itself by avoiding these late penalties. Also, fines/penalties are not tax deductible – professional BAS agent’s fees are.
The need for good accounting or book keeping is a must for all businesses as it’s the core of your business, the engine room; it’s what makes everything else flow.
With a good, structured and accurate back office procedure; from invoicing correctly to collecting money to paying your suppliers (so they keep supplying), you will need a skilled book keeper or accounting person. Do not underestimate the support and freedom that they will give you to do what you are good at, your core skill.
With the opportunities you have now with outsourcing try to look at it as part of your core strategy as you will reap the benefits tenfold with your mind and time freed up to focus on moving your business forward rather than yesterdays invoices.
All information is sourced from the Business IT Website
For further information on how we can help you, please don’t hesitate to contact us, book an appointment or reach us at [email protected] or 02 9407 8700 where one of our Australian team members will gladly help you . . .