If you own your business then it means you run things with passion and enthusiasm and perform the tasks you love doing with utmost concentration. But like so many other business owners out there, recording the details of every financial transaction is probably not one of those tasks.
If the people you contract jobs to throughout the year are only a handful or maybe you work at home or you have no employees with minimum expenses made then you can attempt to handle your bookkeeping yourself by using software such as Xerox or simply by using Microsoft Excel.
But if your business is bigger than what has been described above in any way then you shouldn’t think about doing the paperwork yourself in order to save cost. This is because in reality what will happen is that you spend more money with your business accountant at tax time because he will have to sort out any oversight errors and correct what hasn’t been done right. Also, you risk making mistakes that may incur penalties and fines in the future or your account set up may just not give you an accurate representation of how your business is faring.
Aside having a business larger than what was described earlier, there are other signs that you need a bookkeeper and they include;
Being too busy to invoice: When you are too busy to send invoices then your cash flow may suffer and you risk missing an invoice altogether.
When your customers are late to pay or do not pay: This is another sign that you need a bookkeeper. When customers don’t pay on time it is wise to separate the face of the business from the process of debt collection to avoid any hitch to the relationship you have with the customer. The client relationship is maintained and the cash keeps coming in.
The question of if you are behind in your paperwork: In this case you are potentially missing claiming GST paid back from the ATO or deductions on your tax returns. Many people don’t realize there are time limits on how long after the event you can actually claim. As well as missing claims, being behind in your bookkeeping can result in you making decisions based on figures that are incomplete or wrong, meaning you can’t make educated decisions that your business depends on.
Another sign is when you’re hiring staff: When hiring staff members the regulations also increase. Due to this, some business owners decide to higher contractors and not employees wrongly believing that the rules won’t apply. Every situation needs to be evaluated on a case by case basis – especially if your contractor only provides labor. Professional bookkeepers can advise you what your legal obligations are as they are required to be up to date with the ever-changing rules of business.
If you are experiencing any of these signs with your business then what you need is a business tax agent or an accountant; you can find them in Melbourne. Opulent Accountants are the best Business and Business Tax agents in Melbourne who are highly qualified to provide your business with its specific solution from years of experience in the business and relevant IT skills.