Starting a new business venture is always extremely demanding work, and we often have to take on multiple roles as we grow our workforce.
Whether you’re the bookkeeper for your own company for the time being, or if you’re fortunate enough to have your own, it’s important to make yourself aware of some issues that can arise through just a few mistakes that anyone can easily make.
Here are some tips to avoiding common mistakes small business bookkeepers can make.
Don’t Feel You Have to Do It Yourself
Your small business becomes your baby as it largely consumes all of your time. It makes it difficult to bring in new people, and to work with others, when in your mind it’s only you who has the true vision of where your company is headed!
But the fact of the matter is there are bookkeepers out there who have much more valuable experience than you, and they’ll do the job and save you lots of money and worry in the long run.
Don’t be afraid to be honest with someone, and relinquish the books unto them. It’ll allow you to focus your energy on what you’re really passionate about with the company!
Always Ensure Your Books Are Consistent with Your Bank Statements
As you update your books and keep track of all the income and expenses in and out of your business, it’s important to ensure that this correlates with what’s coming through on your bank statements.
This is an easy way to check for errors, as well as analyze the effectiveness of your bookkeeping techniques. If there are consistent errors one way or another, you may be miscataloging certain aspects of your accounts, and you’ll need to restructure how you work these.
Not Knowing Where to Start
Sometimes it’s just a case of not knowing where to start with a process like book keeping. Ultimately it can be organized relatively simply and done digitally nowadays.
Regardless of where you are in the world, you can always pass your books onto a separate company who can handle all of that side of things for you, taking an extra weight off your shoulders.
For instance, there are reliable Melbourne Bookkeepers at www.bookkeeperco.com.au who are more than willing to help your business by handling that side of things.
Lack of Communication
If you’ve decided to hand over the reins of bookkeeping to someone else, it’s important to note that this is only an effective solution if you keep open, honest, and regular communications between yourself and your bookkeeper.
If any transaction comes through the business, if you know about it – so should they. It really is as simple as that.
Keep a Backup
We’ve all lost an important file at some point or another, and if you haven’t – you will!
With bookkeeping however, this can be an absolute nightmare. In the digital world there is no reason to not have an extra back up held somewhere online in the cloud.
Additionally, if you are very prepared, you can keep spare paper copies in a separate and organized location. This can keep you covered against a hack or if you lose the right to access your bookkeeping files.
Whether you decide to do the bookkeeping yourself or you can spare the budget to have someone else handle it, be sure that you’re clued up on what to do to avoid some common mistakes.
Share these with whoever handles the accounts and you’ll have comfort knowing your business and its accounts are safe. Never let bookkeeping let your business venture down.