Many small business owners get into difficulty with their accounts, as they do not have a bookkeeping system in place, and this can be a very costly mistake to resolve, as the accountant must delve through the many receipts and try to record the transactions correctly.
Basics of Bookkeeping
If you ask the local bookkeeping services in Woking, they would be happy to advise you on a good system that comprehensively covers all income and expenditure. Many small business owners put their bookkeeping spreadsheets on the cloud, which allows them to update from any location, plus their accountant can access the data whenever they wish.
Essential Data Fields
The following should be included in your spreadsheets:
- Startup Costs – Itemised and categorised.
- Running Costs – Daily records of costs incurred.
- Income – Cash, cheque or credit card payments received.
- Credit – Details of all lines of credit issued to customers, with due payment dates.
Sourcing a Local Accountant
Many people do not want to spend their time bookkeeping, and your local accountant would offer a bookkeeping service, which allows you to focus on other aspects of the business. This makes it very easy for the accountant when the time comes to submit your tax returns, and if the files are on the cloud, your accountant does not need to bother you.
Start as you Mean to Continue
Setting up a bookkeeping system at the very outset will help you avoid any accounting problems, and a few minutes per day is all it takes to keep accurate records of all business transactions.