Small business owners are, in our view, creative geniuses with exceptionally high levels of tenacity and resilience. We know how brave you are to sacrifice a steady income to follow your dreams.
Now that you have done it, as a small business owner you have better things to do than keep your books. We take care of the paperwork and legal compliance, so you can get back to the job of running your business and generating a profit.
Unsure whether your business is small or medium? It depends on your industry. Check the business size classification here.
Regular Accounting Services
Each month or quarter, we will do this for you…
- Reconcile your bank and credit card accounts
- Tidy up your general ledger
- Produce an income statement
- Generate a balance sheet
- Provide consultations
These duties are the foundation of your small business accounting tasks. You can customise the package of services you receive by adding payroll, tax planning, tax preparation, or any of our other services.
Bank Reconciliation
Reconciling your business bank account each month allows us to keep your accounting processes, financial reports, legal compliance and taxes up-to-date.
Monthly reconciled bank accounts allow you to:
- Identify lost payments, deposits and unauthorised transactions.
- Detect and prevent excessive or unnecessary bank charges and ensure your bank transactions are posted correctly.
- Detect and prevent fraudulent transactions within your company.
- Know how your business is doing. Unless all accounts are reconciled, and money is properly accounted for on your financial statement, you can’t really know!
- Manage your cash more effectively. Proper management of funds both saves you money and makes you money.
- Protect yourself by reconciling and promptly objecting to your bank about unauthorised transactions. This point alone is reason enough to reconcile monthly. Crime happens.
- Sleep snug! You will sleep better when you know your accounts balance, your finances are in order and payments, and receipts are accounted for.
Income Statement
An income statement is also known as a profit and loss statement. It adds a detailed list of all your income and subtracts a detailed list of all your expenses to generate a profit or loss statement for the period.
An income statement allows you to…
- Track revenues and expenses to judge the performance of your business.
- Check which areas of your business are over-budget or under-budget.
- Identify specific expenses causing unexpected or excessive costs like phone, internet, or cost of sales.
- Track extraordinary increases in product returns or the cost of goods sold as a percentage of sales.
- Determine your income tax liability.
Balance Sheet
A balance sheet, often underrated and regularly misunderstood, gives you a snapshot of your business’s financial position at a particular moment in time.
A balance sheet helps you to:
- Quickly get a view of the financial strength and capabilities of your business.
- Identify and analyse trends, particularly in the area of debtors and creditors. For example, if your debtors’ term is lengthening, you should concentrate on collecting your income more emphatically!
- Determine if your business needs to adapt or is ready to expand.
- Ascertain if your business can tolerate the normal financial ebbs and flows of income, costs and losses.
- Consider whether you need to take decisive steps to boost cash reserves.
- Determine if your business has slowed down payables to avert an inevitable cash shortage.
Balance sheets and income statements are the most basic elements in providing financial reporting to potential lenders, such as banks and investors, when considering how much credit to give you and at what interest rate.
Maintaining your General Ledger
The general ledger is the centre of your company’s financial records, and these records constitute the “books” for your business. Because every transaction affects the general ledger, a problem in your general ledger means a problem with your bookkeeping.
Having us tidy up your general ledger each month allows us to hunt down discrepancies such as double billing or unrecorded payments. We will find and fix the issues, so your books are always accurate and kept in tip-top shape.
Consultations
We are always available to spend the time with you until you fully understand how to interpret and utilise the financial information we provide. Please call us whenever you have a question or concern.
Complete this form, and leave a short message, and we will contact you about our business accounting services.