6 Signs You Need to Hire a Bookkeeper for your business

A growing business indicates you cannot handle the bookkeeping needs of your business anymore. Here are the five signs you need to hire a bookkeeper for your business.

While handling all the bookkeeping tasks and accounting needs yourself might seem like a great idea, you will be shocked to know that it's harming your business. Even though you have mastered accounting software and know your way through the numbers, as your business begins to expand and the financial needs of your company grow, hiring a bookkeeper becomes necessary.

To help you recognize when your company needs a bookkeeper on an urgent basis, we have put down a common sign that indicates you so. So keep reading the article and see if your company is struggling with the following issues or not.


Your books are never up to date

Do your business books no longer reflect the current state of your business’s finances? Are you unable to understand the cash flow in your business anymore? This means you are no longer aware of the amount of money you make and what steps you can take to boost your profit.
All these signs indicate you need to hire a skilled bookkeeper who can handle all the bookkeeping needs of your business.

Your accountant handles your books

Have you never realized the need to maintain your books for a year-long and then expect your accountant to do it at the end of the year when it's high time to file the tax return? While you might think of it to be the best way to handle the bookkeeping activity, we strongly recommend not to do it. Keeping your books untouched for the entire year keeps your business in a vague state since you do not have access to any financial records to back up your business decisions.

You miss the tax write-offs

Suppose you just realized that you’re your house and office distance is more than 50 miles, and you never deduct any cost spent on the commute. Similar to this, you forgot to file several deductions in the previous years which could have saved you a whopping amount of money.

This means it's high time to hire a bookkeeper who can note down all the business expenses incurred over time and then classify them properly.

Your experience unpredictable cash flow

Do you always keep expecting payment from your clients but unfortunately, you do not have a clear idea how much that amount is and when they will be paying you? Are you short of money when it's time to clear the dues of your freelancers or contractors?
If these are the signs you keep facing constantly, you need to access the cash flow statements of your business. This statement will let you have a clear idea of how much payment other people need to make to you. Similarly, you will also have the details of people who you have to pay in the future. This way, you will have a clear idea of your business’s financial health.

Also Read: What is Virtual Bookkeeping

Paying estimated taxes is a hard task

While underpaying the taxes will make IRS impose a fine on you, overpaying the taxes means you are giving away the interest amount to IRS. This indicates that you should never rely on guesswork when it comes to clearing your quarterly taxes.
While there are many tricks to calculate the estimated amount for taxes, if you cannot make your way around them, you should hire a bookkeeper to help you out.

Increased sales but no profit

Do you feel that your business is seeing an increase in the number of customers, but you do not see the cash flowing in? In this scenario, you need to push up your profit margin. Don’t worry, your company’s financial statements made by an experienced bookkeeper will help you understand where are the places you need to reduce your expenses to enjoy a huge profit.

Conclusion

Hope now it’s clear you can need to hire a bookkeeper to handle your business’s books efficiently. Hiring an experienced bookkeeper may cost you a fortune. So outsourcing your bookkeeping needs to an experienced bookkeeping business will be a smarter idea. 

Professional Accounting Solutions, Inc offers timely and cost-effective accounting services including bookkeeping, catch-up bookkeeping, accounting, payroll, tax, and QuickBooks consulting from their Miami and Fort Lauderdale offices. 

Get free 1-Month online bookkeeping services from Professional Accounting Solutions, Inc., one of the best-reputed accounting firms in Miami, USA.

Comments

  1. Diyana Parkar29 April 2024 at 03:29

    Very nice post, impressive. its quite different from other posts. Thanks for sharing.
    real estate bookkeeping services

    ReplyDelete

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