We know all of the hard work you do as a business owner and entrepreneur. We know the long days that you work, all of the time and energy that you’ve put into finding clients, hiring staff, and perfecting your services. That is why today, we want to talk to you about business accounting services.
As a generalization, most small business owners did not start their business because they wanted to work on the financial back end of things. They started their business because they had a dream, a vision, and often expertise in a certain field. At best, taking care of all the accounting and bookkeeping tasks to run a business is seen as a necessary evil. At worst, it can be a tremendous time-suck, a headache, and a cause of enormous inefficiency and stress.
But the good news? There is a way to streamline the financial side of your business by outsourcing your bookkeeping and accounting services.
In this article, we will talk through reasons to seek outside help with your small business accounting issues. Plus, we will review some of the telltale signs that should tip small business owners off to begin looking into options for business accounting services.
We will also go over the details and logistics of what exactly you should look for and expect from accounting services for businesses. Each small business is different and has distinct needs. Luckily, business accounting services are very customizable and will be able to work with you to help provide the services that suit your company best.
Why Should Your Business Hire Accounting Services?
First, we will review the reasons that lead many small business owners to begin to think about hiring outside business accounting services. Business owners are often pressed for time; they have a lot on their plates. At some point, it can begin to feel like something needs to change.
If you are feeling this way, bookkeeping and accounting services can be just the thing that you need to take off of your plate. If bookkeeping and accounting are not your specialties, having to manage the financial side of your business can be a major headache, drain on your time, and source of stress. Hence, hiring professionals who are dedicated bookkeepers, tax preparers, and accountants is often the best way to free your time to allow for running and growing your company instead.
In addition to saving you time and stress, hiring outside financial services can also go a long way to increasing efficiency in your business. Since dedicated bookkeeping and business accounting services are experts in their fields, they will be able to perform these tasks much faster.
Not only will this save you time, but it will also save you money in the long run. It usually does not make sense for small businesses to have a full-time employee solely dedicated to bookkeeping and accounting. Hence, companies that have other staff members performing these services can free up their staff to focus on the specialty services that they provide or were initially hired to perform.
What Are Business Accounting Services?
Now let’s talk about what exactly business accounting services can do for your company.
There are many different ways to outsource accounting and bookkeeping services for small businesses.
You can find accounting software, or you can find firms that have specialists in these fields:
- accounting software
- virtual bookkeeping
- online accountants
- business bill pay services
- personal bill pay service
Below we provide a broad overview of the services provided by both bookkeepers and accountants.
In a nutshell, accountants analyze data about your business and use that data to generate:
- cash flow reports
- profit and loss statements
- balance sheets
- income statements
They also use this data to perform any necessary audits and prepare your businesses’ tax returns.
Accountants will also verify that all of your data is accurate, which should give you peace of mind that your business financial statements are accurate. All of these services are extremely necessary and helpful, but perhaps the more important work of an accountant is the big-picture items.
Accountants will help you:
- find growth opportunities for your business
- predict market and industry trends
- effectively manage your cash flow
Bookkeepers, on the other hand, are much more focused on your business’ day-to-day financials. They will keep track of any financial tasks that arrive on a daily basis and will provide monthly financial statements regarding your business.
They also collect, organize, and perform any necessary analysis of your purchases, sales, payments, receipts, and any other financial paper trails.
In performing all of these duties, bookkeepers can analyze the financial data going in and out of your company. They can therefore use it to help you reduce your tax bill, increase your profit margins, and effectively scale your business.
Hiring or outsourcing dedicated accountants and bookkeepers means that you won’t have to worry about complying with all of the necessary tax codes and regulations. And it’s because you have experienced professionals taking care of that for you.
What to Look for When Hiring Business Accounting Services
Now, let’s focus more on the specifics that you may want to look for when considering hiring business and bookkeeping services.
These services can be as detailed or general as you need. You can even look into CFO services if you are considering outsourcing the work of your Chief Financial Officer, or perhaps looking into hiring that kind of service for the first time.
One of the more common services that business accounting services provide is bill pay. Obtaining a personal bill pay service can end up being a huge time and money saver in the long run.
Depending on what you are looking for, business accounting services can provide a myriad of specific results. They can help you with credit card management, bank reconciliations, and can even assist you in figuring out how to increase your collections rate.
If you require debt counseling, you can seek out business accounting services that specialize in debt planning and reduction.
If you are particularly confused about how to make your payroll as efficiently as possible, this is another area in which business accounting services excel. Labor cost management is something that small business owners frequently look for when considering business accounting services.
And, as mentioned above, one of the most important areas in which business accounting services can provide support is tax preparation. They of course can perform the basic services of filing your taxes but are able to do so much more than that depending on what your business needs.
Accounting services can offer IRS representation for your business, entity creation and organization, support in audits, and general tax strategizing.
We Can Help with Business Accounting Services
There are a lot of financial services out there.
It’s no surprise when you consider the vast range of different financial needs people have. Investment management, retirement planning, estate planning, tax planning, business accounting, and everything in between.
Luckily, there are professionals available whose expertise lies in helping the less knowledgeable. If you take your finances seriously and want to be sure they’re in the right hands, consider seeking professional guidance. Whatever your specific needs are, there’s a service you can benefit from.
We know it’s hard work to own a business, and we’re here to help. Our team of business financial advisory experts are ready to work with you to figure out the best plan for you.
At Saddock Advisory, we can help determine if your business is financially healthy. Get in touch with us here to find out more.