Many times as business owners are just glad someone likes to deal with “the numbers” other than themselves. That being the case, do you have a way to check their work? Is there anyone else you can call to look at your books to make sure errors will not end up costing you cash flow problems in the future? Here are the reasons why bookkeeping tasks are a struggle for many business owners:
- Not recording and posting transactions regularly leaves you with a mountain of bookkeeping to deal with. Plus, the time lag can act like a vacuum, where transactions disappear and never are recorded.
- Having the wrong legal structure for your taxation needs.
- Not keeping proper records: Are you not keeping receipts or conducting a lot of cash transactions with no backup? Not keeping records for time periods per IRS/State guidelines: A good rule of thumb … keep 9 years, or if it’s accounting/payroll … keep forever.
- Not tracking and filing sales tax or payroll taxes: Have you missed a filing date? Do you know the important state and national filing dates?
- Not filing income tax on a timely basis.
- Not recognizing revenue appropriately: Cash basis vs accrual, deposits, progress billing, and more.
- Not reconciling bank statements and mistaking cash for profits.
- Co-mingling personal spending with business expenses.
- Not hiring a payroll service: The minor cost of hiring out this task provides a huge benefit for your company. It can free up your time and help avoid the financial penalties that go along with late and incorrect filings.
- Lastly, you need experienced help who will give you confidence in keeping your records. If your business experiences growth or a cash-flow problem, it’s important that you have a reliable and trusted partner that can handle complex accounting functions.
That’s why we’re here for you, set up a FREE consultation with us today to learn more.