Why bookkeeping is essential for your small business

A bookkeeper deals with the organisation, the recording and the reporting of financial transactions of a small business. But most importantly, a bookkeeper clears the way for the accountant to work with your business strategically.

As a small business owner, do you need a bookkeeper, an accountant, or both? Bookkeepers can seem a little mysterious. In fact, they deal with the organisation, the recording and the reporting of financial transactions of a small business. A well-run business is likely to make use of both accountants and bookkeepers.

Simply put, a bookkeeper clears the way for the accountant to work with your business strategically. This means: keeping track of daily transactions, sending and managing invoices, handling the accounts payable ledger, keeping an eye on cash flow, and preparing the books for the accountant.

When you’re hiring, make sure you ask whether a bookkeeper has an area of specialisation. Some bookkeepers may be able to help train staff in using online accounting or POS systems or give you advice on business processes.

Want help setting up bookkeeping for your business? Get in touch for help from us.