Small business owners like to do things themselves. Doing so helps to minimize costs and run a tight ship. If your business is successful, it will grow. When your business grows so will your responsibilities. There are lots of tasks you need to get done with limited time. This is when a DIY approach can become impossible. Let’s talk about your company’s bookkeeping. It was easy when you first started your business and it was small. You probably only needed to use Excel or accounting software, but as your business grew, so did the paperwork. The time probably came when the last thing you wanted to do is manage your books. Mark Dicus & Company outlines some of the signs it is time to hire a professional bookkeeping service to do it for you.
Outdated Business Books
Do you have paperwork piling up? All that “accounting” may feel like a daunting task and cause you to continue putting it off. That all leads to outdated books. The problem with outdated books is that you never really have control of your finances. This makes it difficult to gauge the financial health of your business. Hiring bookkeeping services can do the work for you and help you better understand your financial situation.
Overlooked Tax Deductions
Many business expenses are tax deductible. These deductibles can be overlooked but can be used to offset your total business income and reduce taxes owed. It can be easy to miss deductions year after year because you never tracked them. It can also be hard to find all these deductions if you are trying to update you books at the last minute, just before tax season, as many businesses do.
No Time to Do Business Accounting
Your to-do list will continue to grow as your business does. If you find yourself in the position of not having enough time to get everything done, you need to reprioritize and focus on what’s important in your business. You may realize that hiring bookkeeping services will free up your time and help you focus on the more important aspects of your business. Plus, you may just be overworked and tired of doing it all yourself.
Unpredictable Cash Flow
There are many factors that can lead to unpredictable cash flow. Bookkeepers can track your accounts payable and accounts receivable. They will also follow up on overdue invoices. That means you don’t have to do it and you can be aware of cash flow at all times.
Bookkeeping Services & More in Walnut Creek, Daly City, San Mateo, Palo Alto, Mountain View, San Jose, Pleasanton & Greater San Francisco, California
Trying to do your own bookkeeping might be taking you away from tasks you can do that might grow your business. This includes any tasks that can impact your businesses revenue like marketing and client work. If you’ve always taken care of your books you probably don’t even realize that you’re removing yourself from these important areas. Consider tracking your time for a month or two to see just how much time you’re spending on bookkeeping and how outsourcing this task can be beneficial. DIY bookkeeping can become counterproductive when a business grows. When you discover that it’s time to hire bookkeeping services, contact Mark Dicus & Company.