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The Accountants for Growth

Bookkeeping for your business

Bookkeeping for your business

Are you a business owner?


Most business owners are used to being pulled in a hundred and one different directions. You can only do so many things and do all of them well, there is one of you and hundreds of them and at some point, you have to decide which tasks you are willing to delegate. Many business owners therefore have to invest in a book-keeper to maintain he day to day finances of a company’s business transactions.


Bookkeepers are expected to be accurate, efficient, and knowledgeable about debits and credits, the chart of accounts, accounts payable procedures, sales and accounts receivable, payroll, and much much more. Each bookkeeper's specific responsibilities will vary by the type and size of the business.

 

5 Great Expectations of a Bookkeeper


1. Does your bookkeeper must have a basic understanding of bookkeeping/accounting terms?


They should understand the difference between the five basic types of accounts: assets, liabilities, equity, income and expenses.


2. Do they pay attention to detail?


Accuracy is key. Good bookkeepers pay attention and make sure that mistakes in the numbers are not made.They should be able to focus on the little things as this will enable big things to take care of themselves! One does not have time to babysit them so they need to be able to take control and take care of the things that need attention when it comes to your basic financial operations.


3. Do they have monthly or quarterly financial statements available by the 15th of the following month?


The two basic financial statements include the profit and loss account and balance sheet. This can be supported by a cash flow statement.


4. Do they have a basic understanding of your industry?


It is very useful if your bookkeeper has a general understanding of your industry. And while bookkeeping for many businesses have the same basic fundamentals, it's not exactly the same. Each industry has different terms and aspects and sometimes these can only be learned on the job.


5. Do they have good communication skills?


If your bookkeeper doesn't understand something, they've got to be willing to ask for clarification or help. Communication is critical so that you'll have a good understanding of what's taking place in the office without you having to be the one doing the day-to-day work.


Good financial records are fundamental to the success of your business. If you can't rely on your records or your bookkeeper then how will you know if your business is going in the right direction to achieve your financial goals? These expectations must be set before you bring a bookkeeper on board so that they’re a successful part of your team.
 


 

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Disclaimer

 

The information provided in all of our blogs reflects only a narrative of some elements to consider on the topic. The blogs do not contain considered legal or accounting advice and should not be relied upon as advice. Please see our website's terms and conditions for full details of our disclaimer. If you are interested in obtaining advice, please contact us and one of our accountants will be happy and able to advise you on your own particular circumstances.

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