Many business owners find doing the bookkeeping too time consuming or a bit of a bore and a chore. It can be hard for our team to relate to, but we get it. If your passion lies elsewhere, the last thing you feel like doing is putting your passion on hold for a day to catch up on the number crunching. If you’re finding your bookkeeping is always on the ‘to do’ list, or it could use a little help, read on for our six tips for tackling your business bookkeeping challenges.
1. Freshen up
Bookkeeping software apps have come ahead in leaps and bounds in recent years. If you’re operating a bookkeeping system that’s was set up when the business started, it’s likely there’s something better out there for you now. There are some great basic cashbook programs out there that are very cost-effective, and they can adapt with you as your business grows over time. Just remember when making your choice, if you employ staff it is critical that any payroll packages are SuperStream + Singe Touch Payroll compliant.
2. Get on the Cloud
Cloud-based bookkeeping software has revolutionised the industry. If you are not working in the cloud, you are now in the minority. What’s so good about cloud-based bookkeeping software? You and team members with approval can access your business books on any internet enabled device. That means you and your team can invoice, take payments, check a quote and more from just about anywhere. It also means you can give your trusted professional bookkeeper remote access to your records without anyone having to leave their place of work.
3. Set it up right
An experienced bookkeeper can set up your cloud-based accounting software and train you in how to use it. During installation and set-up, your accountant can handle the implementation for you to ensure it is structured to maximise efficiencies from the get-go. This includes setting up the chart of accounts, review of tax codes, plus setting up automatic bank feeds and bank rules. Great bookkeeping software, set up well, can save you a lot of time by streamlining and automating otherwise time-consuming tasks.
4. Accuracy is key
Having an effective bookkeeping system is critical in ensuring the accuracy of financial data. Naturally, your cloud-based accounting software will only ever be as good as the data that’s entered into it. It’s vital to ensure data entry and other administrative procedures are followed by everyone using your system. AMG and other professional accountants provide accurate data entry and administration services if you prefer to have your bookkeeping handled by professionals.
5. Read the reports
Technological advancements to accountancy software packages in recent years have made the bookkeeping role more efficient than ever, opening up endless possibilities on financial reporting. Familiarise yourself with the reporting capabilities of your software and ensure you regularly consult your figures. The greater your familiarity with the fluctuations of your business’ finances, the easier it becomes to plan, handle cashflow, and recognise an inconsistency in the figures.
6. Ask for help
If you’re finding you don’t have time or the bookkeeping is falling behind, it’s worth having a specialist handle it for you. Even if you can’t afford anything fancy when it comes to bookkeeping, we can help. One solution we offer small businesses, for example, is Excel templates that utilise the power of formulas to make your life easier. Most people already have Microsoft Excel on their computers, so there’s no added software costs to the business. With clever use of formulas it can be a great tool to manage basic financial records, however, not everyone considers themselves ‘spreadsheeting gurus’. That’s why small business owners find our templates so handy. The Excel templates can be for traditional bookkeeping work (e.g. dissecting bank statement items) or other purposes (e.g. calculation of service fees based on patient billings) – and remember, if it involves numbers we can help you with it.
AMG Accountants and Advisors take the time to understand your business and your bookkeeping challenges. Our hands-on, thoughtful team can help you with implementing these bookkeeping changes and more.