Bookkeeping is vital in the running of your business. Ensuring that you are keeping track of your cash flow keeps you in a stable position and ensures you know exactly what is going on. Working with a professional team like us will benefit you hugely, making sure this information is accurate and precise!
What exactly is bookkeeping?
Bookkeeping is the method that records your financial information. When done correctly, it gives you a clear overview of your business’s financial situation. It represents your incoming and outgoing finances whilst providing you with a clear view of the balancing of your books. The knowledge of your situation means you can pay for things such as stock, tax payments, and suppliers. Every company has its own approach to how it does its bookkeeping process. Here at Know Your Numbers Bookkeeping, we have finely tuned our approach over many years and now have a system that has been serving businesses across Townsville for years. When you work with us you can be assured of exacting and accurate information presented to you clearly!
Why do I need bookkeeping for my business?
Bookkeeping provides you with an accurate and precise understanding of your financial position. Every business needs to know exactly what is going on at all times, ensuring you are financially stable and able to pay your outgoing costs every month. Our team will provide you with regular unbiased financial reports to keep you informed. The information also helps you to keep track of your earnings and plan for the amount of taxes you will need to pay at the end of the year- this means you can save adequate funds if you need to. Our experts will also help you to assess your business by analysing your financial information, noticing trends and successes; organizing the information to understand what works for your business.
Understanding bookkeeping vs accounting
Accounting is a practice that compiles regular reports of your financial position. Bookkeeping is the more detailed stage before that, providing an organized record of all financial transactions that have taken place. Put simply, bookkeeping is the accurate recording of all financial information and accounting is the organizing of this information which will help you to make your next move. As a highly qualified company, we can support you with both of these processes as we move through the financial year.
How to help yourself
There are several things that you can do to make your life easier when it comes to keeping on top of your bookkeeping. These are our top two tips that will help; if you are doing it yourself or outsourcing to a pro team like ourselves! Number one- make sure that you are on top of recording all financial transactions, set aside an hour each week to make sure it is done. Number two- use a business credit or debit card to pay for everything related to your business. Do not mix up with personal finance cards!