Tips to Save Time and Money on Accounting and Bookkeeping for Your Small Business

Accounting and Bookkeeping

February 15, 2021

The year 2021 though off to a rocky start thanks to the persistence of COVID-19 still retains some semblance of hope. Business owners have shown a resilience and touch of bravery that has helped keep the economy from crash landing. In the current scenario cash flow is something that businesses would want to protect. The prime focus of businesses now would be on cutting down expenditure and saving money. But how does this apply to accounting and bookkeeping services?

With all the changes in the legislation, it is no surprise that business owners are finding managing accounting and bookkeeping services this year a bit of a challenge. Business owners often feel that by opting to do the accounts themselves they can save money. However, in the long run considering all that they have to manage in running their business – taking out time becomes increasingly difficult. And with accounts you cannot just grow bored and end the task.

Taking out the tedium

Accounts need not be a tedious or time taking activity if you follow the points listed. If you still find yourself uncomfortable then you can consider hiring an accountant on an hourly basis. This while proving time saving will also be effective on the cash with accuracy. But before considering it, you can have a look at the listed:

  1. 1- Ditch the Paper

Documents storage while physically space consuming also is difficult when it comes to locating something amidst a stack of files. For tax documents you need to keep records for a minimum of 6 years (though 7 would be better. Thus, the issue that crops up is space – where do you store stuff? An easier to categorize, lock up and file option would be on drive with necessary backups in place. Online data storage too is an option you might want to consider as then you can save your documents on the go, view and review too!

  1. 2- Pro GDPR

Storage of documents and details is not enough. Safe storage is also a factor to consider. When saving documents on a drive you can protect them or add additional security features to make their accessibility difficult. All this certainly wouldn’t be that easily done with hardcopies. GDPR is hardly something that can be sneezed at. As it is part of the compliance process, it makes sense to be able to kill two birds with the same stone by storing your documents wisely and effectively. Bookkeeping services would save you the bother of the above but if you feel that you can have things settled you could try your hand at it.

  1. 3- Petty cash woes

Cash payments are much more difficult to get written off and so like it or not they get written off. By using your debit and credit card at least you make things easier to keep track of.

  1. 4- The business and personal do not mix

Business and personal accounts should be separate as by mixing the two you risk making bookkeeping even more complicated. Not only will the number of transactions increase but also you will need to spend time in their bifurcation. The same rule of thumb applies to business and personal finances.

  1. 5- Don’t let go of those receipts

Receipts though irksome to keep a tab on – need to be kept as proof so as to provide validation to the transactions shown in a company’s account books. Entries may at times be considered invalid if there is not sufficient proof to substantiate the same. Also, in case an expense has been booked wrong or erroneously. Receipts help in being a double check in case an error creeps in during bookkeeping.

  1. 6- There is no room for inaccuracy

Accounting is based on accuracy which is why accounting services are very important. It is not enough just to have the work done and complete. The quality of the work done is what matters versus the quantity. One rogue mistake can start a chain reaction and then before you notice the spark there is a fire and poof! – the whole conflagration goes up in smoke.

In the long run

If you do not feel up to the process because you do not have the time or find it difficult; then having an expert looking after the accounts and bookkeeping will prove to be a real investment. Had you been doing the accounts in-house or assigning a particular member of the staff for it – things would have been much more challenging and expensive.

Doshi Accountants can prove to be your ideal accounts and bookkeeping partner. With a motto of quality work delivered on time and an open channel of communication with clients – be it telephonically, via email or Skype – you are guaranteed the best accounting services with a dedicated consultant to boot. So, if you ever come around to considering a change – consider Doshi Accountants. We’ll help in not only simplifying the accounting process but also provide you accurate data that will aid in managing your finances better. In business one of the most important resources is finance and thus, its proper planning will keep your business afloat in these difficult times.