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Bookkeeping
Bookkeeping involves organizing and managing all business transactions in a company. Also it involves in the recording, retrieving and storing of financial transactions for a business, company, nonprofit organization, individual etc. It is the recording, on a day-to-day basis of the financial transactions and information pertaining to a business. It is concerned with the ensuring that records of those individual financial transactions are accurate, up-to-date and comprehensive.
Bookkeeping includes these financial transactions and tasks:
- Billing for goods sold or services provided to clients and customers
- Recording of receipts from clients and customers
- Verifying and recording invoices from suppliers
- Paying suppliers
- Processing of employee’s pay and related governmental reports
- Monitoring of individual accounts receivable
- Recording of depreciation and other adjusting entries
- Providing financial reports
Today, bookkeeping is done with the help of computer software. There is a lot of software available for your accounting needs. Bookkeeping requires knowledge of credits and debits, and basic understanding of financial accounting, which includes the balance sheet and income statement.
Tax Services
If you expect that accountants can do the taxes, you may be in for a shock. Not all accountants are specializing in doing tax returns, while others are experts.
Tax accountants provide you the services of supporting quarterly and annual tax provision calculations, validating tax balance sheet accounts and implementing new accounting standards. They also help you in tax function performance – improving operating strategy and organization design, tax process and controls, and data and systems effectiveness. They also help in reducing risk regarding tax issues. They can identify and prioritize key risks and assisting with controls monitoring and remediation.
Update Books
Small to medium business owners should know that some accountants will update your books and computer programs. They will even backup your computer system, files, and documents every few hours so that there is a minimal chance to lose important information. These services will give the owners reassurance that records are in order and nothing will be lost.
It is good if your accounting service provider offer this kind of service. You will be sure that all data and information you need are on the desk, safe and backed-up.
Business Credit Management
Accounting firms can also establish and manage your credit file. It is a must that business credit is separated from personal credit. Your accountant may monitor your business credit and report actions t business credit bureaus. This is important in maintaining good credit.
Credit management is the process of controlling and collecting payments from customers. This is a function where-in the company will take control on credit policies that will improve revenue and reduce financial risks. Your accountant may manage the credit department and make decisions concerning credit limits, acceptable levels of risk and terms of payment to their customers.
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