Running a small business is a lot of work. There are a lot of things you need to take care of as a business owner – especially if you have staff – and it can be difficult to juggle it all while still trying to focus on your business’s objective. Accounting for small business is one of those things that can pile up as you attempt to do everything yourself. Keeping the books in order is daunting for most people and can really devour critical time that you should be dedicating to other areas of your work.
If you are the sole employee of your small business, then it is even more stressful when you begin to realize the scope of demands your business has. If you are lucky enough to have a few employees you can rely on then you may have decided to delegate your accounting for small business to one of them. While delegation is great, it is also entirely unreliable. Accounting is a very important business component and generally requires some measure of training to do. While bookkeeping may seem like an easy task to assign someone with no accounting experience, it is easy to make mistakes. Incorrectly documenting purchases or being unable to reconcile accounts can cost a lot of time trying to sort it out and discovering where mistakes were made. This means that a task that you were prepared to budget a few hours a month for is now taking much more time and you are having to pay an employee to for more time spent on the accounting than doing their designated job. It’s not good for the bottom line.
Bookkeeping isn’t the only aspect of accounting a small business has to worry about either. You have to consider your year-end tax filing, payroll (if needed) and things like financial statements if you need to secure business loans. It can be a lot. Accounting for small business is one of the easiest things to outsource today. Professional accounting firms can handle your books, make sure your quarterly taxes are filed or paid and keep you informed on the state of your businesses finances. Oftentimes it’s as easy as transferring all your financial data to a transportable device like a USB stick and dropping it off – or even couriering it to your accountant. Many accounting firms today have the added feature of direct portal access where you can upload your accounting data right to them online – there is no fuss, no need to schedule time out of your day or anything. It’s almost too easy not to outsource.
One of the biggest reasons that accounting for small businesses should be left to professionals is confidentiality. Allowing an employee to do your books or handle the payroll, gives them access to sensitive company information. They will know your profit margins, what other employees (and yourself) are making each week and they will have access to account numbers. If you have a designated on-sight accountant, that is one thing – but giving a general employee access to all this information can be harmful.
If you are concerned about your accounting for small business needs, look into outsourcing your accounting in Alpharetta today.