Looking for AN accountant?

WE ARE YOUR EXPERTS

WE ARE YOUR ACCOUNTANTS

REQUEST A FREE QUOTE

Small business bookkeeping services

Whether you are in the early stages of running your company or are well established, you can always benefit from expert advice. Accountancy support is vital for companies of all sizes, and so is bookkeeping work.

With help from an expert who takes full responsibility for recording your financial reports, you can significantly reduce the risk you face. This is the sort of service provided by experts that help a small business prosper.

Auditox Accountancy offers a comprehensive range of bookkeeping and accountancy packages and support. If you want to make informed decisions and completely control your company's activities, we can help. Whether you need unlimited support or tailored expert advice, call on us.

Small-business-bookkeeping-service

Are bookkeeping services and accounting services the same?

Bookkeeping services are not the same as accounting services. It is important people understand the difference between the two options, especially if they pay for small business accounting services.

Are bookkeeping services and accounting services the same?

What services does a bookkeeper do for a small business?

If you are not entirely sure what a bookkeeper does or how they benefit businesses, don’t worry, you are not alone. Bookkeeping is a profession that some people know exceptionally well, and many people don’t know at all. We help your business fill a skills gap.

Focus on your core strengths

Below, you will find a bookkeeper's vital services for small businesses. All these services help firms focus on their core strengths while ensuring core components of their business activities are taken care of.

Manage business accounts on a daily basis

A vital bookkeeping service ensures a business stays on top of its daily transactions. A bookkeeper tracks every sale or purchase, which helps companies or sole traders better manage their cash flow.

This service helps save time. Many people find data entry laborious and an area where mistakes can happen. By employing the services of a professional, the company can complete it faster and with no errors.

Of course, some firms use accountancy software to do this and other bookkeeping tasks. For the remainder of this section, we will focus on a bookkeeper's jobs.

Maintain accurate and relevant business records

A good bookkeeper is vital in ensuring business records are up to date. The bookkeeper will also provide any inconsistencies between the small business accounts and books are highlighted.

This service helps to minimise problems and allows issues to be taken care of quickly.

Ensures the business complies with laws and regulations

Tax is challenging, and there are severe penalties for mistakes. Even oversights or accidental submissions can result in punishment. Companies who want to minimise their exposure to HMRC are advised to seek professional help for their business accounts.

A skilled bookkeeper stays up to date with new laws and ensures their clients are well-represented in this field.

Help a small business meet their tax requirements

It is difficult for firms to manage their tax requirements. Even meeting tax deadlines is a daunting prospect for sole traders, self-employed professionals and small companies. By employing a bookkeeper, you get professional help in recording and filing tax accounts. Not having to worry about tax deadlines is a great comfort for professionals and growing businesses.

Take responsibility for accounts payable

A significant responsibility for bookkeepers assisting many small businesses is taking responsibility for payments. Knowing you have professionals taking care of supplier invoices, businesses expenses, and even petty cash is good news for companies.

The time saved and peace of mind that comes with this service is worthwhile for many companies.

Take responsibility for sending invoices

When you send invoices is one of the most important tasks a company has. These need to be prepared correctly, sent promptly, and followed up on if they aren’t paid on time. Alongside sending invoices, a bookkeeper will manage the accounts receivable ledger. This ties in with them following up on unpaid bills.

Prepare financial statements

Financial statements are essential for a small business, and a bookkeeper is responsible for these. This work might include:

  • A balance sheet
  • A profit and loss statement
  • Cash flow statements

Annual accounts and financial reports are essential in ensuring firms manage their business appropriately. When you can manage money flowing in and out of the companies and acknowledge the balance of liabilities and assets, you can make more informed decisions.

While an income statement for the end of the financial year has a deadline in place, a lot of the work associated with these accounts can occur throughout the year.

Operate the payroll process for a small business

Not all bookkeepers carry out the same standard of payroll processing for their clients. Therefore, there is flexibility depending on the skills of the professional and the needs of the business.

Some bookkeepers are happy to undertake all payroll and even some HR functions that a small business requires. Other bookkeepers might focus on a limited number of payroll services.

A good bookkeeping and accounting service fits your needs

If all a company needs is for someone to process paycheques and manage the tax requirements of employees, there will be a bookkeeping service that fits the bill.

Manage foreign currency transactions if required

If applicable, bookkeepers can manage foreign currency transitions and accounts for firms. This service utilises current exchange rates and offers considerable convenience for a company.

With a growing number of firms venturing worldwide, having a professional manage foreign currency work is helpful.

This is an area where a lot of work is carried out online and digitally. There is a range of online accountancy software which assists with this work. However, many companies prefer to manage foreign transactions manually, and employing a bookkeeper for this work makes sense.

Carry out stocktaking services

Several small businesses employ bookkeepers to carry out stocktaking work for them. A bookkeeper produces an inventory report by reviewing stock levels, which allows for stock analysis to be undertaken. If there are any discrepancies, the company can act to resolve the matter swiftly.

With stock issues, the sooner it is highlighted, the sooner the company can resolve the matter. Whether there is theft or some other problem, time is of the essence. Also, employing an external party to review stock levels minimises the chances of a professional hiding stock theft or fraud.

Review money flowing in and out on an ongoing basis

The importance of your financial flow is fundamental for a company, especially a small business. This is why reviewing this flow of cash is one of the most critical services a bookkeeper offers to companies. No firm wants to risk running out of money, but it can happen. There is a need to stay on top of incomings and outgoings, or problems can quickly arise.

A bookkeeper who provides this regular service offers confidence to a company.

Prepare records and books for an accountant to analyse

Businesses should note that bookkeeping services are separate from accounting services. An accountant requires accurate books to do their work, and a bookkeeper is vital in ensuring accountants can do their expected role.

Any company that wants to make the most of hiring a qualified accountant will benefit from preparing books appropriately. A sensible way to achieve this is to employ the services of a bookkeeper.

What services does a bookkeeper do for a small business?

Do I need a bookkeeper for my small business?

Suppose you have skills and confidence in booking activities and the time to do this work, no. Someone in this position can undertake their bookkeeping activities themselves.

However, most sole traders and small businesses will benefit from outsourcing this work to a professional.

Monthly bookkeeping help boosts firms across all industries

At Auditox Accountancy, we provide an extensive range of bookkeeping services for companies in many industries and sectors. We support self-employed professionals, sole traders, small businesses and large companies.

If you are looking for bookkeeping services that allow you or your small business to flourish, we will assist you. Call us or complete a simple online registration form, and we'll be happy to assist you.

Do I need a bookkeeper for my small business?

Book a free consultation

We're available for queries and quotes 7 days a week, get in touch.

Bookkeeping basics for small businesses

Even if you plan on hiring a bookkeeper to assist your business, it is helpful to understand the bookkeeping basics. At Auditox Accountancy, we are more than happy to provide bookkeeping services for you and to talk you through our working process from start to end.

The following information provides you with an overview of managing bookkeeping activities for your small business.

Choose an accounting method

If you didn’t know there are different accounting methods, it is best to call on a professional to manage your books. If you are familiar with your options, you should choose between:

  1. The cash-basis method; is seen by many people as the simplest accounting method
  2. The accrual method; is a middle option for businesses looking to manage their accounts
  3. The modified cash basis, a sometimes-challenging approach that combines the accrual methods, and the cash basis system

You don’t need a lot of accounting knowledge to use the cash-basis approach. With the cash-basis method, you note transactions when money is passed over. When you receive a payment from a customer, you record it as income. When you hand over money to a supplier, you register the outgoing.

As the name suggests, the cash-basis method is based on cash accounts so that you will focus on expenses and income.

Do you have any accountancy knowledge?

With the accrual method, you will need some accountancy knowledge. This approach is often a time-consuming activity. Here, you note income as and when the arrangement takes place, whether money has passed. You should also take note of business expenses as and when they are billed, regardless of whether you have paid cash or not.

As this is a more in-depth approach, it requires an advanced approach to accounting. Also, firms can record longer-term liabilities with this method.

The remaining approach, sometimes referred to as hybrid accounting, utilises both methods.

How will you record all your transactions?

You also have several options to consider when it comes to recording transactions, including:

  • Recording your business transactions yourself, usually on a spreadsheet
  • Employing the services of a bookkeeper to record the transactions for you
  • Use online accounting software

There are pros and cons to all methods.

Recording weekly or monthly transactions yourself is the cheapest option, which will appeal to many businesses. Of course, this is time-consuming, increasing the likelihood of mistakes arising.

Your business deserves better

When you hire a professional to do the work for you, you pay more, but you enjoy free time. You also have a lot more confidence that your transactions are recorded accurately. This allows you to review your business better. This outcome also minimises the chances of you falling afoul of HMRC.

Cost effective solutions help companies

You also have accounting software (or online accounting software), an option that bridges the difference between the two methods for some small businesses. This is often a cost-effective way that speeds up the recording process.

However, if you are unfamiliar with accounting and bookkeeping practices, online accounting software can still be challenging, even for recording monthly transactions.

The pros and cons of accounting software

There is no denying that bookkeeping software and accounting software are a great help to their working practices for many firms. You don’t even need award-winning bookkeeping software to benefit, and there are bookkeeping software solutions for every budget.

Accounting software takes much of the guesswork out of recording. Accounting software is a good choice if you are pushed for time yet want to record quickly and accurately.

Of course, there are limitations with bookkeeping software and online accounting software. If you don’t know the principles of the work, you might not know when a mistake is recorded.

Genuine small business accounting services make a difference

It is best to swap online accounting software for professional services for complete confidence. When you have an expert undertaking accountancy services, you will feel relaxed and ready for anything.

Have a chart of accounts

It is best to be as prepared as possible with your bookkeeping process, and a chart of accounts (COA) is a helpful guide.

The COA consists of:

  1. Assets
  2. Equity
  3. Expenses
  4. Liabilities
  5. Revenues

While some small businesses will use sub-categories to delve deeper into these elements in greater detail, an overview is sufficient for many companies.

When you have these figures readily at hand, you’ll find it easier to review how your company performs.

Separate your finances with a company bank account

If you are a sole trader, self-employed or responsible for a small business, you must separate your personal and company funds. It is best to open a business bank account.

A business bank account allows you to maintain records, and you can better undertake an audit trail. If things go wrong, having a clear separation of personal and business money better allows you to resolve problems.

Please check with your chosen bank to know what items you need to open a business bank account with them. A good bookkeeper will assist with this activity.

Know how you receive payments

Receiving money from customers is vital for all businesses. It would be best if you had a well-defined payment policy, and this might include:

  • Cash payments
  • Cheque payments
  • Debit or credit card payments
  • Payment via mobile wallet

An increasing number of payment methods are available in the digital era, and it is helpful for your business to be as flexible as possible.

If your business provides credit terms for clients, you will produce invoices later after delivering the services or products. So, you will want to define the payment terms of the invoice. This should include when the payment is due, how the client should pay, what payment form is acceptable, and if there are any late fees.

Your business can better management payment issues

By defining these elements, you will be better able to manage your finances. This might reduce the risk of payment problems arising. You can also keep a closer eye on your incomings and when they are due.

Maintain an accurate record of your business expenses

As vital as it is to keep up to date with payments, you must also track your expenses. When the time comes to pay costs, you will be glad you kept thorough records.

Items that help you maintain accurate expenses records include:

  • Receipts
  • Bank statements
  • Credit card documents, if applicable
  • Invoices
  • Bills
  • Cancelled cheques
  • Proof of payment
  • Former tax returns

The more information you have to complete your books, the more accurate they are likely to be.

Set schedules and stick to deadlines

Even the most naturally organised person or people find remembering every important business activity daunting. Also, if you allow jobs to pile up, eventually doing them seems overwhelming.

Make business deadlines a priority

So, it is best to create schedules and reminders to carry out specific tasks. You will find it a more manageable task if you allocate time each week or month to update your bookkeeping process. Be sure to set a time in your calendar or schedule and stick to it. Before too long, you will develop a habit of doing this work, becoming more confident with the process.

Measuring business performance with a bookkeeper

Managing your business performance is crucial, and a dedicated bookkeeper can help your business grow. Your bank statements don’t always tell the whole story of your company, nor does your financial data. To help your business grow, you need to be proactive. You can manage your own bookkeeping or hire a dedicated bookkeeper as a business owner.

The important thing, as a business owner, is to prepare and manage your accounts accurately. You can turn to a small business accounting provider when your business finances are sound. Accountancy Services for small businesses build on the great work carried out by bookkeepers and help your business grow with accounting analysis.

Does the role of bookkeeping seem too much for you?

Given the importance of keeping accounts and records, it shouldn’t surprise you that it looks like a lot of work. It is. If you don’t feel you have the time or confidence to devote to this activity, it is best to call on a professional bookkeeper and accountant to help you.

Auditox Accounting offers an extensive range of services for small businesses, including specialist accountancy and bookkeeping services.

Take some of the stress out of your work by turning to experts you can trust. We help your business fill a bookkeeping and accountancy skills gap.

Bookkeeping basics for small businesses

Should you trust a bookkeeper with your bank account?

It would be best if you only worked with a bookkeeper you trust. Before hiring a bookkeeper, read reviews, and make sure they work with businesses like yours. A bookkeeper with a proven track record is a better choice than one who cannot point to working with satisfied clients.

Find a trusted professional to work with

If you would like added protection, you should be able to arrange “view only” access to your bank accounts. This will provide you with confidence while ensuring the bookkeeper can do their job adequately.

Should you trust a bookkeeper with your bank account?

Can a bookkeeper help small businesses with tax returns?

Tax returns are a daunting prospect for small businesses, small traders and self-employed people. Compiling a self-assessment tax return might cause some people to break into a cold sweat, but help is at hand. No matter the size of your business, it is vital to compile your tax returns accurately, and bookkeeping tax services can assist you.

Tax efficiency is within reach

Hiring a bookkeeper to prepare your accounts is a great way to be tax efficient. Even if you use an accountant to prepare and submit your tax return, the initial bookkeeping work is essential.

Don’t leave everything until tax season or the end of the tax year, which adds more pressure to the work. By calculating your tax bill in advance, you can better plan your outgoings. Knowing what you need to play is helpful information for all businesses, and this is why tax services are of great benefit.

Be prepared for Making Tax Digital

The Making Tax Digital campaign is a Government activity to simplify tax for people and businesses. The campaign aims to improve tax efficiency, the tax system's effectiveness and help taxpayers pay the right amount of tax.

Achieving tax efficiency is a worthwhile outcome for any individual or small business. No one wants to face a high tax bill, so if you can reduce the liabilities in your tax returns, all the better. To achieve tax efficiency, it is worth calling on a tax-efficient professional's services.

Better manage tax for your business

At Auditox Accountancy, we offer tax efficiency services that lower the cost of your tax bill. We will also help you prepare for Making Tax Digital. Our tailored tax services reduce your workload and stress while hopefully minimising your tax returns. Contact us today if you want to learn how we help small firms like yours be more tax-efficient, and to be ready for Making Tax Digital.

Limited company bookkeeping services

It isn’t just small businesses that benefit from bookkeeping services, a limited company will as well. If you are a successful business, it is vital you prepare and manage your accounts accurately. This is true for your annual accounts, as well as your day-to-day records.

If you need assistance in managing all your business transactions, get help from an extremely professional external source.

Need help managing corporation tax?

If you are a limited company making a profit, you are liable to pay corporation tax. However, some expenses are deductible, and there are tax allowances that help your limited company reduce their tax liability.

From setting up your corporation tax and managing the vital records, you’ll find bookkeeping and accountancy services beneficial. You will need an accountant to your corporation tax report, but other services can be undertaken by a bookkeeper.

Bookkeeping and your VAT return

If you are VAT registered, you need to prepare and file VAT returns. This is an area where hiring a bookkeeper makes sense, as a bookkeeper can prepare and file your VAT returns on your behalf. This isn’t an area you need to use accountancy services, a VAT registered firm can call on a bookkeeper for expert advice and recording.

Can a bookkeeper help small businesses with tax returns?

What services does a bookkeeper offer that an accountant usually won't?

There are several services that an accountant doesn’t offer, meaning you need to use bookkeeping services.

These include processing purchase invoices, processing expenses claims, issuing sales invoices and reconnecting with customers regarding due payments.

Our bookkeeping team will help

If these are tasks you require in your business, you need bookkeeping services.

What services do bookkeepers and accountants both offer?

There is some overlap in bookkeeping and accountancy services.

Some of the tasks where a bookkeeper or accountant can help include posting journal entries, preparing and filing VAT returns, and running your company payroll. Both accountants and bookkeepers can prepare sole trader accounts and prepare sole trader self-assessment returns.

Both bookkeepers and accountants offer basic tax advice, which is helpful for businesses of all sizes.

Can bookkeepers prepare management accounts?

You’ll find bookkeepers are ideally placed to offer a management accounts service, preparing management accounts. This is essential business information, which should contain a Profit and Loss Account and a balance sheet.

Management accounts are not dissimilar to year-end accounts but are not as formal. Also, management accounts can be better tailored to the needs of a company.

What services does a dedicated accountant offer that a bookkeeper doesn’t?

While the range of bookkeeping services are essential for small companies, they aren’t all-encompassing. Depending on the support you require, there will be tasks you need help from qualified accountants or an accountancy firm.

Small business accounting services drive your business forward

Accountancy services include preparing limited company accounts, filing corporation tax returns and calculating Capital Gains Tax. If you have a complex self-assessment tax return, opting for accountancy packages makes sense. Qualified accountants or an accountancy firm will ensure you receive the service you need.

Small business accounting minimises mistakes

You should also call on an accountant to prepare management accounts, a business plan, and cashflow forecasting services. If you need advice on your business structure, you are better off speaking with an accountancy specialist. Similarly, if you require specialist tax advice, this is a topic associated with accountants.

Do you need small business accounting services?

Having a dedicated accountant is appealing, but the cost of tailored small business accounting services might be prohibitive. Many qualified accountants offer great value for money, but the cost of hiring a dedicated accountant can still be expensive.

Find the right accounting service for small business owners

If you need more than just a bookkeeping service, Auditox Accountancy offers small business account support, including a dedicated accountant. To find out if an accounting service is exemplary for you, or if you need bookkeeping services, get in touch.

What services does a bookkeeper offer that an accountant usually won't?

A bookkeeping and accounting service you can trust

The exemplary accounting service works wonders for a business, from monthly reports to driving your business forward.

Whether you require off or on-site help, we can assist you. We also offer unlimited support with our bookkeeping and accounting service. We can tailor your package to meet your needs with optional add-on support perfectly.

Auditox Accountancy provides specialist bookkeeping and accounting service, and we are keen to hear from you. Call us or complete a simple online registration form, and we will help you.

A bookkeeping and accounting service you can trust

Why choose our accountancy services?

Accountants

Payroll

Accounting for small business

Year end accounts

Vat return services

Business start up services

Accounting for contractors

Business plans

Accounting for landlords

Accounting for freelancers

Bookkeeping FAQs

Does a small business need a bookkeeper and an accountant?

Do it yourself bookkeeping for small businesses?

Is bookkeeping hard?

Why do I need bookkeeping?

What is a bookkeeper?

Bookkeeping FAQs

Does a small business need a bookkeeper and an accountant?

Do it yourself bookkeeping for small businesses?

Is bookkeeping hard?

Why do I need bookkeeping?

What is a bookkeeper?

Contact us
Copyright © 2022 auditox-accountancy.uk
Privacy policy
Terms and conditions
Legal information and disclaimer