Most small and mid- size business owners are out shopping- shopping for online bookkeeping services providers; who wouldn’t? They are cheaper, more efficient, productive and most importantly, relieves you of the headache of maintaining your books, which means you can focus on core business functions.
However before you decide on an online bookkeeping services provider, you need to understand that there are three different types of such service providers. Understanding these types will leave you in a better position to decide which one best suits your needs.
- USA Based Online Bookkeeping Services– Companies that are entirely based in the US fall in this category. Such companies are reliable and have strong business foundations. They are generally quick to respond to queries, provide good customer service and quite efficient.
- USA Based Stay- At- Home Bookkeepers– You will find that quite a number of bookkeepers and accountants run their businesses from home; all that they need is a sturdy internet connection, a laptop and a phone. Stay- at- home bookkeepers are preferred by numerous business owners because they are cheaper since they don’t have overhead costs. The only problem here is that since it is mostly a one- man show, the bookkeeper can get bogged down and in case your bookkeeper falls sick, you have no one else to turn to.
- Offshore Online Bookkeeping Services– There are numerous offshore online bookkeeping services available nowadays. While there is a lot of scepticism about the wisdom in outsourcing financial records to offshore services, they are preferred because they are cheaper than US based service providers.
Outsourcing your bookkeeping to any online bookkeeping services is risky business. The only thing you can do is do your research, talk to your peers and analyse your options before taking a decision. What works for one may not work for another, so choose wisely- know your business and your bookkeeper. Remember that it is vital that you can trust your bookkeeper.
A lot of business owners are turning to QuickBooks for accounting and bookkeeping help. QuickBooks is probably one of the most popular accounting software to turn to for small and mid- size business bookkeeping and accounting. Here is why numerous companies turn to QuickBooks for accounting and bookkeeping.
- Time Saving– With QuickBooks you save a lot of time as the software allows you to automate numerous simple bookkeeping and accounting tasks.
- Affordable– Investing in QuickBooks will only require a fraction of the resources needed if you hire a bookkeeper or accountant for your business.
- Fewer Errors– QuickBooks greatly reduces the incidence of errors in your books. Human errors can be eliminated especially since calculations are done by the software itself.
- Customizable– QuickBooks can be customized to meet your business’ requirements and needs. This software is designed to be flexible and adaptable for individual businesses.
- Reliable and Efficient– QuickBooks is reliable and efficient. The software is capable of maintaining your books accurately and keeping it up- to- date.
- Facilitates Growth– Using QuickBooks frees up a lot of resources and automated processes, which means that you are in a better position to grow your business. One of the benefits of using a bookkeeping and accounting software like QuickBooks is that you have a system in place that supports scaling. When you scale you won’t have to worry about your bookkeeping for small business not being able to catch up.
There are numerous benefits from using a software like QuickBooks for accounting and bookkeeping for small business. Add to this the fact that it is also relatively easy to master and you have a winner, so give QuickBooks a shot. You may find that it is just what your business needs and you will also see for yourself why numerous businesses turn to QuickBooks for accounting and bookkeeping.
You start off wanting to run your own small business, but what you are actually dreaming off is the day your small business becomes a big business. Nothing wrong in being ambitious; in fact that is the only thing that will get you through in the cutthroat world of business. The thing is in the hurry to expand their business, most business owners don’t take the time to actually analyse whether they are ready to expand, whether the business can keep up with the demands of a growing customer base. From your small business bookkeeping to your inventory, everything needs to be in order. So how do you know whether your business is ready to expand? That is what we will cover today.
- Where Does Your Business Stand Today– Now this is to be done in the light of your first business plan, so obviously your business plan is the first document you should consult when you think of expanding. You will then know where your business stands operationally and financially, whether it is performing as expected. Examine your decision to expand in the light of all this to understand if you can handle it.
- Do You Need To Open Another Office– If your current office is getting more business than it can handle, it might be a good time to consider expanding. Now whether you should open a new office or not depends on a number of things- whether your current office has sufficient space, whether your old customers will find a new location convenient or inconvenient, whether delays due to increased demands will frustrate your old customers and result in you losing them. Think carefully before you make a decision.
- Do You Have the Money– Now who would think of an expansion if they don’t have the money; you will be surprised at the number. Existing debts, pending payments- the thing is you will find that you need hard cash and not credit for numerous things, so it will not do if you don’t have the money to use if needed. Make sure your small business bookkeeping is in order.
- Do You Have the Right Personnel– A very, very important question; your business is only as good as the people you have. You need people you can rely on running the show so that you can focus on setting up the new part of your business. Whether it is the bookkeeper handling your small business bookkeeping or the foreman, you need people you can trust.
Watching the business flourish is what every business owner dreams of, but if you are not careful with your choices and their timing, you will end up watching your business plummet.
Does your small business have debts? Well if it does, there is nothing to be ashamed off. Most small business owners have debts on their business and most often than not, feel quite uncomfortable it. So, you have small business debts; big deal. What matters is that you find a way out of it soon, so how do you do that? We have some suggestions.
- Assess Your Debt– The first thing you need to do is assess your small business debts and find out how much you owe the lenders. So sit down with your bookkeeper who takes care of your bookkeeping for small business and go over your debts. Decide how much of cash you can allocate to clear the debts and accordingly prepare a monthly budget. Identify ways to keep the cash flowing so that your debt is cleared as soon as possible.
- Re-structure Your Debt– Look for ways to re-structure or reduce the loan as much as possible. Identify loopholes in the terms of the loan. Negotiate with your vendors on the payment terms and see if it makes a difference.
- Clear Monthly Dues When Payments are Received– As soon as you receive payments, make sure you send the amount set aside for clearing the debt says bookkeeping for small business gurus. This is simply because the more you wait before making the payment, the higher the chance of you using it elsewhere. If you don’t have the money, how will you send it?
- Generate Greater Income– Easier said than done! But it is true, the more you make, the sooner you will be debt- free. Revisit your market strategy, increase prices, diversify, tap into newer opportunities, utilise bookkeeping for small business- you will be able to find a way to generate more incomes so that you can address your business’ needs.
No one likes being in debt and it is normal to feel overwhelmed by your small business debts. What you need to do is make sure that it doesn’t stop you from doing all you can to reduce your debt. And once you have cleared the debt, try your best not to get into debt again. You know how hard it is to get out.
Accounts Receivable is vital to managing and keeping your business afloat, but it is also quite a difficult task as you rely on your customers to make accurate and timely payments. Besides, most often than not you depend on these payments to clear your payments. So what can you do to make sure you get your payments? Here are some tips from reputed receivable management services providers for increasing collections from receivables.
- Effective Communication– Effective communication is an important aspect of any business. Make sure you have a good rapport with your customers and communicate regularly with them. All invoices should be clear, concise and sent out on time. Any clarifications from the customers must also be addressed immediately.
- Clarity– It is your responsibility to be clear with your clients from the beginning and set expectations so that no one is disappointed eventually. Make sure invoices carry all the necessary information and the due date is mentioned clearly. You should also explain consequences for delayed payments to your clients to avoid future problems.
- Confidence– Collecting money from individuals for any reason is never an easy task, which is why it is important that the person with the duty of collecting the money be confident and sure of himself. Now how can anyone be confident if they don’t possess the necessary knowledge? So make sure you have all the pertinent information.
- Good Customer Service– A happy customer pays on time and accurately, which is why customer service is important. If you offer good customer support, your customer will want to maintain the relationship and use your service in the future as well.
- Facilitate Easy Payments– No one likes long and annoying payments, so try to keep the process as smooth and simple as possible. This also increases the probability of customers returning for your service as their last contact will be a pleasant one and thus, the memory that stays in the forefront.
Collecting AR is annoying, painstaking and time consuming. If you want to concentrate on your business, it would be wise to invest in Receivable Management Services for increasing collections from receivables. They are more effective and lesser trouble.
Non- profit organizations are an important part of our society today. They cater to the unfulfilled needs of society and provide numerous valuable and in some cases, life saving services. The whole point of a non- profit organization is that the focus is on the cause and not on the profits, but that is not to say that they completely ignore their finances. In reality, they need to be more careful with their finances to ensure that funds are not misused and for compliance with funding requirements and regulations.
But why are non- profits outsourcing their bookkeeping? Wouldn’t it be cheaper to do have bookkeeping for non profit in- house? That is what one would think, but the truth is:
- Relieves In- house Staff– It is common knowledge that most non- profits run on a tight budget, which means that most often than not, the number of staff is limited and most of the employees handle multiple tasks. The thing about bookkeeping is that it has to be handled with the utmost care and is time consuming; now when your staff are hard pressed for time, it doesn’t seem likely that they will be able to do justice to your bookkeeping. So by outsourcing your bookkeeping, your in- house staff is free and can attend to other tasks and your bookkeeping gets the attention it deserves.
- Reduce Costs– Let’s say assigning the bookkeeping to your in- house is not sufficient and you have work enough for a part-time or full-time bookkeeper; now in that case, hiring a bookkeeper might prove to be too expensive. You will not only have to pay their fees, you will have to clear office space, take care of infrastructure like internet, furniture and other bookkeeping and accounting software that they need. And don’t forget about the costs involved in recruitment and training. Outsourcing to organizations involved in bookkeeping for non profit means you won’t have to worry about any of the above and so lesser costs.
- Filing Tax Returns– While most non- profit organizations don’t have to pay taxes, they still have to file their tax returns on time and unfortunately for them, tax returns for non- profits are the most complicated to file. Every penny entering and leaving the organization has to be recorded accurately. All this means that bookkeeping for non profit is not an easy task, which is another reason non- profits prefer outsourcing their bookkeeping; it makes their life a lot easier.