Most people believe bookkeeping is all about knowing how much money is coming in and how much money is going out. However this is far from the truth. Although that could be true to a little extent, it however isn’t what bookkeeping is all about. Yes knowing how much money is coming in and out of your business is an amazing start and could help determine how much profits or losses your business is making.
- But will this balance your accounts?
- Will this prepare a trial balance report for you?
- Will this prepare a balance sheet report for you?
- Will this reconcile your bank accounts?
- Will this spot your creditors and debtors easily?
- Is this enough to complete you year end tax return?
Bookkeeping is essentially keeping track of all the money coming in and out and within your business. You keep chronologically ordered records in account books of all transactions, including debit and credit transactions, and record the value of assets, liabilities, incomes, expenses and sales. If you are VAT-registered, you also need to keep records of VAT. And if you have employees then you are also thinking about adding payroll to the picture.
First and foremost, keeping records of your business finances is a legal requirement. But from a business-owner’s point of view, it’s also absolutely crucial for staying in control of your budget and financial happenings, and being able to measure and forecast how you’re doing and how much you can spend – or how much more you need to sell.
No Hassle Accounting offers amazing bookkeeping packages to suit startups and SME’S. We understand the pressures that business owners are under and we are committed to helping the SME’s and business start-ups in the UK succeed by offering a range of packages to suit all budgets and requirements.