Bookkeeping is the process of keeping full, accurate, up-to-date business records. It involves making a record of the monies received by your business as well as the monies paid out. Bookkeeping covers money your company owes to vendors, employees, tax agencies, contractors, lenders, and any other individual or entity. Equally, accurate records of amounts owed to your company by outside individuals and organizations are also recorded in your company’s books.
Why Outsource Bookkeeping to One Source?
SAVES YOU TIME
The job of bookkeeping can be very time consuming. With no exceptions, every monetary amount that is paid or received must be recorded. Additionally, accuracy is of the supreme importance, making keeping the books in a quick manner a very bad idea. As business owners are often lacking in time like yourself, many choose to hire One Source for bookkeeping tasks to keep their company records well-maintained.
EASES YOUR FINANCIAL MANAGEMENT
Certainly bookkeeping is necessary and beneficial to any business owner. Proper bookkeeping can help your business effectively manage cash flow, stay well-informed on your company’s performance, and develop plans for your future. Moreover, accurate bookkeeping is required by both federal and local tax agencies.
PREPARES YOU FOR TAX TIME
Of the many reasons for keeping accurate records, business and income taxes are among the most important. Your company’s books are used to determine the amount of taxes that your company must pay. Having current financial statements can satisfy a lender who will certainly require them in order to evaluate your qualification for a business loan. Your accountant or financial advisor may need up-to –date, accurate financial statements in order to provide tax estimate payments or assist in financial planning.
SAVES YOU MONEY
Throwing data together without knowing the key elements of the bookkeeping process can create disastrous results. And those results may adversely affect your tax return. Not only that, but a subsequent IRS audit may result in additional tax liabilities as well as open up other years for examination. Your CPA bill can be drastically reduced because they will spend less time gathering information they need for your return. Having a second set of eyes on your books can also help detect bank errors or internal employee errors.