Bookkeeping Services for Small Business

 How Can Records Be Kept?

Why Do Small Businesses Need Bookkeeping?

Every business needs to be on top of their financial position and performance to make better decisions.

For example, how would you know if you could afford to invest more money in extra equipment? Or if you can you afford to expand your business to another city? Are you cash flow positive?

Getting all of this financial data starts with bookkeeping. That’s why it’s a crucial part of your operations.

But do you really need bookkeeping services? Why not do it yourself?

Yes, that can be an option. But the process of bookkeeping is quite complicated and time-consuming.

How many hours will you spend collating your financial information? Do you have the time to study international accounting standards?

What Kind Of Bookkeeping Is Used By Small Businesses?

There are different kinds of bookkeeping used by small businesses. The most common ones are:

  Accounting software

  Cloud-based accounting software

  Manual bookkeeping

  Digital bookkeeping

How Much Does It Cost To Outsource Bookkeeping?

Most small business owners can’t afford a bookkeeper. On average, hiring a traditional bookkeeper in Australia costs roughly $65,000 to $75,000 annually.

Because of the cost, most small enterprises don’t have the budget to keep bookkeepers on retainer.

Fortunately, it’s quite affordable to outsource bookkeeping services to the Philippines. At Remote Staff, the average cost is around $1,451.14 to $2,303.41 per month, depending on the talent’s expertise.

What Does A Small Business Bookkeeper Do?

Your outsourced bookkeeper can do a lot for you. Here’s a list of services perfect for small businesses.

  Standard Bookkeeping

Your outsourced bookkeepers can offer standard bookkeeping services for your businesses, which include:

• • • • Accounts Payable And Receivable

        Need help managing your accounts payable and receivable? Your outsourced bookkeeper can record your invoices, process payments, maintain records, and conduct reconciliation and aging reports for your business.

      • Record Keeping

        Your outsourced bookkeeper can also keep track of your other financial accounts. This includes inventory, payroll, tax records, and more.

        • Keeping Track Of Each Transaction 

          Maintain accurate financial records by monitoring transactions and recording them in your bookkeeping system.

      • Reconciling Every Transaction 

        Your bookkeepers need to ensure the integrity of your financial records. That’s why they reconcile transactions via various sources such as bank statements, invoices, receipts, and more.

        • Daily Account Reconciliation 

          Your bookkeeper can verify monetary transactions on a daily basis. They can match receipts and invoices as well as reconcile inventory movement and more.

        • Bank And Credit Card Reconciliation 

          Businesses need to reconcile company bank accounts daily to verify that all deposits, withdrawals, issued checks, and bank fees are correctly recorded. Also, credit card transactions are matched with the accompanying statements to ensure that all charges are accurate.

Other Small Business Bookkeeping Duties

Aside from standard recordkeeping, your bookkeepers can also do other financial services for you. Here’s a list of other small business bookkeeping duties.

• • • • Payroll Management
        

        Your bookkeeper can calculate your employee wages with the proper taxes and benefits, and other deductions.

      • Budget Management
        

        Having a hard time managing your budget? Your bookkeeper can help you optimize your spending to reach your financial goals.

      • Tax Support
        

        Need help handling your taxes? Your bookkeeper can assist you by providing key financial information, preparing financial statements, and securing compliance requirements.

        • Filing Taxes
          

          You can also delegate the preparation and lodging of your taxes online to your bookkeeper. This is a great option for those who don’t have the time or expertise to do their own taxes.

      • Monthly Financial And Management Reporting
        

        Want to know how your company’s finances are doing on a monthly basis? You can request a financial and management report from your bookkeeper for your business operations.

      • GST Accounting

        If you need to prepare your GST (goods and services tax), your bookkeeper can offer GST accounting services for the past operating months.

      • BAS Lodgement

        Aside from GST accounting, your bookkeeper can also assist you in lodging your BAS (Business Activity Statement) to report and pay your tax due.

      • Setting Up Business Systems

        Most small enterprises don’t have structured business systems in place for their operations. Your bookkeeper can suggest industry-standard practices, depending on your field.

      • Xero Account Setup And Management

        Want to integrate the Xero accounting system into your business? Your outsourced bookkeeper can set up the software and configure it based on your needs.

Do Companies Outsource Bookkeeping?

Sure, you can opt to do all the bookkeeping yourself. But the process is too time-consuming and complicated.
So why not get a professional to do it for you?

Benefits Of Outsourcing Bookkeeping Services Over In-house Bookkeeping

Generally, outsourcing your bookkeeping services to the Philippines is more cost-effective because the exchange rate is in your favour.

This also gives you access to expert bookkeepers without incidental costs like fringe benefits and payroll management costs.

But out of all the agencies out there, which one should you outsource your bookkeeping needs to?

Our Bookkeeping Process

Remote Staff has a thorough bookkeeping process to ensure that you will have reliable and accurate financial data.

Provide Access

Your bookkeepers assess permissions and authorized parties where we get the financial information. This access is essential for the accuracy, security, and ease of collaboration between you and your remote staff.

Data Analysis

Your bookkeepers systematically study, interpret, and evaluate the financial data before it’s recorded and processed.

Understanding Requirements

There are different compliance requirements and accounting treatments for specific industries and business models. We take time to understand your necessities and deliver bookkeeping services accordingly.

Processing Of Data

Your bookkeepers process data by organizing, recording, and managing financial information. This also involves detecting errors and discrepancies.

Delivering Reports

Finally, you can request financial reports like financial statements, budgets, forecasts, taxation reports, compliance requirements, and more.

Frequently Asked Questions

We have gathered several frequently asked questions for your reference:

Do I Get My Own Dedicated Bookkeeper?

Yes! You’ll definitely have your own bookkeeper for your business.

Should I Hire A Bookkeeper For My Business?

If you want a cost-effective way to free up time for other core business activities, you can hire an expert bookkeeper to handle recording and managing your financial records.

Do I Need A Bookkeeper If I Use Xero?

Xero is a powerful accounting tool. But some functions can be confusing.

Why not hire an expert bookkeeper instead to handle your Xero accounting with ease?

Can I Be The Bookkeeper For My Own Business?

Yes, you can – as long as you can allot time for the tasks and for learning accounting concepts.

But if bookkeeping isn’t part of your skill set, you can outsource this function to an expert bookkeeper.

What’s The Difference Between Cash And Accrual Bookkeeping?

Cash bookkeeping is recording transactions when cash is received or disbursed.

On the other hand, accrual bookkeeping accounts for income and expenses when they occur. And it doesn’t necessarily mean that cash is received or disbursed at this point.

For example, let’s say you paid a $100,000 advance for rent worth 2 years. In cash bookkeeping, you will record the whole $100,000 as an expense for the first year.

But in accrual bookkeeping, it recognizes that the $100,000 isn’t fully used in the first year. So only half ($50,000) will be recognized as an expense for the initial year. While the other half will be recorded as a current asset (prepaid rent).

Generally accepted accounting principles (GAAP) require businesses to use the accrual basis of accounting.

But even if you use cash bookkeeping, your expert bookkeeper can convert it to the accrual basis when they prepare financial
statements and other regulatory requirements.

Will Remote Staff Pay All My Bills For Me?

You can ask your bookkeeper to schedule and manage your accounts payable and other bills for you.

How Often Do Bookkeepers Work On Your Accounts?

You can hire a bookkeeper on a part-time (20 hours a week) or full-time (40 hours a week) basis.

If you need to finish some urgent bookkeeping tasks, you can ask them to do overtime.

But we recommend hiring two or more bookkeepers if you need someone to work more than 40 hours a week.

What Is The Difference Between A Bookkeeper And An Accountant?

A bookkeeper is primarily responsible for recording and organizing transactions. While an accountant’s job is to analyze, interpret, and summarize financial data prepared by bookkeepers.

Sure, some bookkeepers can do certain accounting tasks. But if your accounting needs are more complex, hiring a Certified Public
Accountant (CPA) might be best for you.