Role of a bookkeeper and how a virtual bookkeeper can help you grow your business
Most small businesses are borne out of their owners’ passions - and unless you’re in the Finance or Banking industry, you’re probably not a fan of dealing with the financial admin side of starting a business. In fact, it’s likely to be an after thought or one of the most overlooked aspects of your growing business which could be costing you more time and money than it should.
What exactly does ‘Bookkeeping’ refer to?
Without getting into the technical details, bookkeeping refers to the management of all documentation relating to financial dealings. Their key job is to ensure accuracy and compliance. Typically, this includes:
Bank reconciliations
Management of bank statements
Performing operational tasks relating to accounts payable and receivables
Preparation of financial reports (e.g. income/profit and loss statement, balance sheets, cash flow statements)
What’s the difference between an in-house bookkeeper and a Virtual Bookkeeper?
They are both professional bookkeepers and essentially perform the same core activities.
In-house bookkeepers are typically onsite and are an employee of the business. Hiring an in-house bookkeeper would mean coverage of their salary, superannuation and other company benefits.
Virtual Bookkeepers on the other hand, work remotely and could be based anywhere in the country (or globally, but you would need to ensure that the bookkeeper you hire is well versed with your country’s compliance and regulatory obligations). Virtual Bookkeepers are not employed by the business but is a service provider for the business. They use cloud-based bookkeeping software to reduce the need for manual intervention.
How can a Virtual Bookkeeper help your grow your business?
Cost Savings. You only pay for what you need - that means paying a weekly/monthly/annual fee rather than a full salary and employee benefits. You don’t need to pay for their desk at your office, because they can perform all their activities remotely.
Subject Matter Experts. Leave the bookkeeping with the experts - you don’t have to spend hours every week or month trying to perform bookkeeping activities if it does not interest you or if it’s not one of your strengths.
Flexibility and availability. Since Virtual Bookkeepers use cloud-based accounting softwares, you will have the ability to provide and access your financial data 24/7, and from anywhere as long as you have internet connection.
Scalability. You can adjust the services that your Virtual Bookkeeper provides based on your needs. That means potentially ramping up or down depending on the time of the year. You may even find that your business grows so much that you require more services such as the addition of a Virtual CFO.
Ready to grow your business?
Let’s have a chat about how Refresh Advisory can help you reach your business goals through the use of our Virtual Bookkeeping services!