Bookkeeping

Not too long ago, I got a call from a client who was in full-on panic mode. “Barbara,” she said, “I don’t understand what’s going on. Our bookkeeping report shows a profit this month, but our checking account took a huge hit. How can we be profitable if our bank balance is so low?”  ...

Outsourcing bookkeeping services can offer several advantages for your business, including cost savings, accuracy, and time efficiency. Here are some key reasons to consider outsourcing:   Cost-Effectiveness Hiring an in-house bookkeeper comes with expenses like salaries, benefits, and training. Outsourcing allows you to pay only for the services you need, reducing overhead costs. Time Savings...

I got a great question from a client recently that I think many business owners have wondered about at some point. She asked, “How can I have a negative net income this month when I have such a large balance in my bank account?”   It’s a great question—and the answer comes down to understanding...

Finding the right bookkeeping service for your business depends on your needs, budget, and industry. Here’s a step-by-step guide to help you choose the best option:   Identify Your Business Needs Do you need basic bookkeeping (transaction recording, bank reconciliation) or full-service accounting (financial reports, tax preparation)? Do you require industry-specific expertise (e.g., e-commerce, construction,...

The main difference between a bookkeeping service and an accountant lies in the scope of work and responsibilities they handle for your business.   Bookkeeping Service (Focus on Recording & Organization)   A bookkeeper manages the day-to-day financial transactions of your business, ensuring that records are accurate and up to date.   Key Responsibilities: Recording...

Bookkeeping services involve recording, organizing, and managing a business’s financial transactions. These services ensure accurate financial records, which help businesses track income, expenses, and overall financial health.   Common Bookkeeping Services: Recording Transactions – Logging all financial activities, including sales, purchases, receipts, and payments. Bank Reconciliation – Matching business records with bank statements to ensure...

Outsourcing bookkeeping services can offer several benefits to businesses, especially small and medium-sized enterprises. Here are some of the key advantages: Cost Savings: Outsourcing bookkeeping can often be more cost-effective than hiring an in-house bookkeeper or accountant. Businesses can save on employee salaries, benefits, office space, training, and equipment expenses. Expertise and Specialization: Outsourcing firms...

The level of detail required for your bookkeeping depends on various factors, including the size and complexity of your business, industry regulations, and your specific reporting needs. Here are some general guidelines to help you determine how detailed your bookkeeping should be: Legal Requirements: First and foremost, your bookkeeping must meet legal and regulatory requirements....

Whether you need a bookkeeper depends on various factors, including the size and complexity of your business, your accounting knowledge and skills, your time availability, and your willingness to manage financial tasks. Here are some considerations to help you determine if hiring a bookkeeper is necessary for your business:   Business Size and Complexity: If...

Bookkeeping is the process of recording, organizing, and managing financial transactions of a business. It’s crucial for tracking the financial health of a company, making informed business decisions, and fulfilling legal requirements. Here are some basics of bookkeeping:   Double-Entry System: Bookkeeping typically follows the double-entry system, where every transaction is recorded twice, once as...