“Just a Bean Counter”, a way in which owners of businesses both large and small see their bookkeepers, is not uncommon. Those same “bean counters” or Bookkeepers can often provide the businesses with a wealth of information and assistance in key areas of your business. In fact people who work in bookkeeping services say that thanks to modern computer software, they can produce any piece of data you may require and help you put that data to good use.
The following five areas of your business are areas that your bookkeeper should be able to help you with.
- What is your Cash Flow Like? Understanding cash flow is vital to the survival of your business. You can be bringing in plenty of business, but adverse cash flow. Your bookkeeper should have a grasp of your current cash flow situation and be able to advise you on how to improve it if needed.
- Are you making a Profit? You are in business to make a profit. Are you? You need to know if you are making a profit, how much, and if you aren’t then what can you do to remedy the situation. Your bookkeeper will be able to provide you with all the necessary information.
- Are you Owed Money? Unless you are running your business on a cash only basis, then you must have a handle on who owes the business money. This is of prime importance and gets many small businesses into trouble. Ensure that you are receiving your funds within 30 days or less, if possible, to ensure a healthy cash flow. If you don’t have the time to chase payments, then hire someone to do it. Your bookkeeper should be able to provide you with a list of people who owe the business funds and how long it is since they have paid.
- Are you Overpaying on Tax? It’s only right that companies pay the tax they should. A good bookkeeper working with you and your accountant should be able to help you reduce your tax bill and help improve the financial outlook of your company.
- Is Everything Ship Shape? If you’ve done your homework, then you should have a business plan and budget drawn up for at least the next 2 to 3 years. But having a plan, adhering to it and making adjustments based on the reality of the situation are very different things. Your bookkeeper will be able to help you monitor the situation by providing you with the reports necessary to help you make the adjustments.
At TAP bookkeeping, we provide quality bookkeeping services to help business owners make better financial decisions. Contact us for a free consultation to learn how we can help you.