Bookkeeping Tips for Small Business Owners
No matter if your business is product or serviced based, every small business is dependent on accurate and efficient bookkeeping services.
We’ve compiled a list of tips that you can follow, for accurate bookkeeping in your business!
1. Always keep a record of your business expenses
It is pivotal that you keep all receipts and invoices related to any business expense. These receipts will not only help you keep track of all outgoing payments but during tax time, you will have adequate proof for everything. It’s an ATO requirement to hold these documents for 5 years, so ensuring you keep them along the way means you’ll be compliant and prepared if you were to be audited.
2. Use automated systems.
Manual bookkeeping services can be tedious and prone to errors. If you miss a single digit or a decimal point, you will have inaccurate reporting data. It is best to practice automating your bookkeeping for efficiency. Using a software like Xero and Receiptbank will automatically run calculations and input data to prevent human errors. Xero also give you the ability to send quotes, invoices, and track bills for easy business management.
3. Use cloud-based timesheet/payroll systems.
It may be cumbersome to keep an accurate track of all overtime and leave. Using a cloud-based timesheet system (if you track staff hours), or a simple payroll system like Xero, saves so much time processing and tracking your employer responsibilities.
4. Keep track of your ATO deadlines and obligations.
Paying your taxation obligations on time is very important. It not only protects you from penalties and fines, it helps you manage your cash-flow. These claims apply to all your business finances, such as expenses, employee benefits, insurance, etc. As an Empire Bookkeeping client we help manage this process for you. We will ensure we give reminders for due dates and make it as easy as possible for you to stay up to date with the ATO.
5. Don’t mix personal and business finances
Always maintain separate business and personal accounts. If you mix the two, it could be challenging to segregate your business finances, which you can claim. It could also result in fraudulent business behaviour that has serious consequences. Not to mention it just makes for messy business books, making it hard for you to stay on top of your numbers.
6. Outsource your bookkeeping!
If your main focus is anything besides finance, it is best to delegate your bookkeeping services to experts. Professional bookkeepers are savvy financial managers who can help you maintain an efficient accounts all year long.
Bookkeeping Near Me
If you’ve been searching for the term “bookkeeping near me”, you must have discovered there are multiple bookkeeping services available in your state. Send a message to Empire Bookkeeping today for an obligation free quote. We will help you quickly and efficiently manage your business finances for optimal performance. Contact us today.