Is my business ready for a bookkeeper?
This is a common question asked by small business owners and startup businesses alike. The short answer to this question is “yes, your business is always ready for a bookkeeper”. But this doesn’t necessarily mean you need to outsource your entire business bookkeeping function.
In our experience as small business advisers and bookkeepers in Melbourne, your business can always benefit from the assistance of a good bookkeeper. The level of assistance that you require from a bookkeeper will depend largely on where you’re at in your business journey and your specific business needs.
This article will outline the specific ways an experienced bookkeeper can add value in your business without you having to outsource the entire bookkeeping task.
A bookkeeper can help your Startup Business
Startup businesses are often operating on a stringent budget in the early days, and some may find it difficult to afford the services of a bookkeeper.
However, the business startup phase is the most opportune time to engage the professional guidance of an experienced bookkeeper to assist your startup with these critical tasks:
- Set up your cloud accounting software system, such as Xero, to ensure you’re working with an appropriate chart of accounts and relevant tracking categories
- Use your business plan as the basis for developing a sound business budget
- Assist with developing standard operating procedures, particularly in respect of your startup’s financial management
- Recommend tools and apps that will integrate with your cloud accounting software to enable greater efficiencies within your business. Hubdoc, Slack, Asana and Xero Projects are among our favorites.
- Provide you with cloud accounting Xero software training to ensure that you are correctly performing the day-to-day bookkeeping tasks required in your business
A bookkeeper can assist your growing small business
If your small business is past the startup phase and is experiencing some steady growth, this is the perfect time to engage the services of a bookkeeper with a management accounting flavour.
You may be handling the standard day-to-day data entry tasks within your business, such as sales and supplier invoicing, perhaps some inventory and some bank account reconciliations; but a bookkeeper who’s experience and knowledge extends well beyond that of your standard ‘data crunching’ bookkeeper is well placed to guide you during this growth phase of your business.
At this point of your business journey you should be interested in:
- A bookkeeping health check to ensure your accounts are accurate and represent the true financial position of your business
- A review of your standard operating procedures to ensure that your financial management systems are ready for growth
- Budgeted cash flow forecasting to anticipate the impacts of continued growth patterns
- A payroll health check to ensure adequate processes and procedures are in place to minimise risk of non-compliance
- Assistance with the preparation of Business Activity Statements and
- Ongoing quarterly/monthly reviews of your financial data
A bookkeeper can help you ‘Know your numbers’
The single largest contributor to business failure in Australia is financial mismanagement; and it’s responsible for 32 per cent of all business failures. Yet this kind of failure can be prevented. If you’re struggling to make sense of your financial information then a CPA-qualified bookkeeper is an excellent resource for your business. They can help bring clarity to you numbers through:
- Break-even analysis
- Cash flow forecasting
- Business budgeting
- Identification of the Key Performance Indicators that will drive your business towards bigger profits and better cash flow
- Business planning and pricing strategy
- Job costing and management reporting
- Business structuring
- Tax planning (provided they’re a Registered Tax Agent)
- Xero software courses and training
- Xero payroll courses and training
- The list goes on…
No matter the financial help your business needs, a CPA qualified bookkeeper can provide it.
How can a CPA-qualified bookkeeper at The Number Ninjas Bookkeeping help your business?
We’re so glad you asked! We know we can help you, because we have the years of experience (13 years plus) working with small (and large) businesses just like yours, across a range of industries.
Moreover we have the degree qualifications (B.Comm) and professional standing (CPA, Registered Tax Agent) you should expect of a bookkeeper if you’re business requires any of the services and assistance outlined in this article.
Quite often your tax accountant will be too busy to deep-dive into your figures like we do. And unfortunately many standard bookkeepers don’t have the educational or experiential skillset to help at this level.
Our approach to working with our business clients is very practical and centred around client education. We simplify the numbers and present information to you in a way that we guarantee you’ll understand. There’s no jargon here; just simple, bite-sized pieces of valuable information. And plenty of ‘ah-ha’ moments!
Whether you need Xero training, the know-how to get your cash flow back on track, our full suite of bookkeeping services – or just a fresh perspective on any business roadblock – we are here to help you.
Book your FREE 15 minute discovery call to find out how we can help you and your business.