Gone are the days when businessmen used to physically maintain records of day-to-day financial transactions using daybooks and lagers.
The dull and monotonous records of financial transactions i.e. bookkeeping, in earlier days, used to be done by mentioning details in daybooks, cashbooks, or journals which used to be transferred to the lagers.
With the arrival of sophisticated bookkeeping and accounting software, the cumbersome procedure of physical bookkeeping has been replaced in a more efficient digital form.
These bookkeeping software work on highly efficient and secured cloud-based bookkeeping technology that helps maintain all financial transactions taking place within your business.
Objectives of Bookkeeping
As a matter of fact, irrespective of the size of the business, big or small, bookkeeping is an essential component of finance management in every business.
Bookkeeping basically is the first step of initiating an accounting process and is of immense importance, especially for small or new businesses.
Bookkeeping is not just keeping a record of financial transactions as it encompasses classifying, reporting, and allows accurate analysis of financial data that helps keep your business in good financial health.
Bookkeeping activities
Bookkeeping is basically concerned with recording and classifying all the financial transactions of your business by keeping track of your business spending and business receipts and receivables.
Maintaining records of incoming and outgoing cash or cash flow for small businesses is extremely beneficial for keeping track of business growth, planning, budget, and fulfilling tax obligations.
Other bookkeeping activities include:
- Lager maintenance
- Making daily financial entries
- Managing accounts of payables and receivables;
- Payroll processing and maintaining entitlements and employee records; including employee termination accounts and superannuation related matters
- Inventory services
- Invoice processing
- Preparing and reporting BAS
- File tax returns
- Payment of taxes on time
- Bank account reconciliations
The most important activity performed due to accurate bookkeeping includes taking correct and timely decisions related to improvement in cash flow and future investments.
Bookkeeping also allows you to analyze your balance sheet, know profits or losses, and accordingly inform your stakeholders and investors.
Bookkeeping services include are not just limited to maintaining and evaluating financial transaction records in books of accounts for preparing income and expenditure reports or making profit and loss statements and trial balances besides making of statutory returns as per by law etc.
With efficient bookkeeping services, you can also take care of and fix up old unsettled and neglected accounts.
Since keeping track of all the above things for busy businessmen and it is beneficial for them to engage a qualified bookkeeper who is capable of providing all the bookkeeping services.
professional bookkeeping services
For businessmen who do not find the time or have adequate knowledge or confidence, may seek professional help for bookkeeping in Melbourne.
When businessmen hire professional bookkeepers, they will surely:
- Save a lot of time for you that you can be invested in other business development matters
- Removes your stresses pertaining to dealing with ATO
- Prepare and lodge accurate BAS with ATO
In addition, the professional bookkeeper will help you understand your business more closely and if you wish, you may learn more about bookkeeping services in Melbourne from the bookkeeper engaged by you.
Should you require to avail most efficient and advanced bookkeeping services or wish to learn more about bookkeeping services in Melbourne, contact Microchilli Bookkeeping and Advisory in Melbourne.
