Bookkeeping in Nottingham
Bookkeeping
What is Bookkeeping?
Bookkeeping is the practice of recording and tracking the financial transactions of a business. Bookkeepers regularly summarise this activity into reports that show how the business is doing. They may also perform wider tasks such as invoicing, paying bills, preparing tax returns, monitoring key performance indicators and providing strategic advice.
Why Bookkeeping Matters
While it may seem obvious, detailed, thorough bookkeeping is crucial for businesses of all sizes. Seemingly straightforward, bookkeeping quickly becomes more complex with the introduction of tax, assets, loans, and investments.
Tracking the financial activities of a business is the truest purpose of bookkeeping, meaning it allows you to keep an up-to-date record of the current incoming and outgoing amounts, amounts owed by customers and by the business, and more.
bookkeeping and accounting
The difference between Bookkeeping and Accounting
Bookkeeping traditionally refers to the day-to-day upkeep of a business’s financial records. Bookkeepers used to simply gather and quality-check the information from which accounts were prepared. But their role has expanded over time, and we’ll look at how in the next chapter.
Accounting refers to the analysis, reporting and summarising of the data that bookkeepers gather. Accounting reports give a picture of the financial performance of a business and determine how much tax is owed.
Benefits of Bookkeeping
What are the Benefits of a Bookkeeping?
Detailed Recording
A dedicated bookkeeper will always keep detailed records up to date. This complete recording will not only assist you in supervising your business accounts but will also be of great assistance once you need your financial statements, or audits, as this process will be much faster and cheaper.
Compliant with the Law
A good bookkeeper will always comply with the latest legal regulations and will make sure all your accounts and books are up to date with any recent legal changes. This saves time and effort for the bookkeeper, which in turn saves money for the company.
Instant Reporting
Even though you will need to wait for the accountant or the auditor to finish their reports to conclude official financial statements, you will always have an updated balance sheet to inquire about the current state of the accounts. You will be able to present these data to any interested party.
It Is Easier to Plan
Once you have a detailed recording, it is much easier to plan and predict the future. When you are confident in your data, you can solve issues quickly and you can grab any opportunities that present themselves, without having to fear miscalculations in the accessible data.
Better Relations with Banks and Investors
Banks will be more willing to provide you with more affordable loans once they can see how your company is thriving. Any time an investor is interested in your company, you can just show the current detailed sheets and prove that the company is making major success.
Easier Audits
You will have a much easier time conducting an audit than you would if your accounts are messy, disorganized or even slightly outdated. Any auditor can look at their report quickly and any mistakes will float to the surface.
How can Seagrave French help you?
How can Seagrave French help you?
“Stressed out with the paperwork?”
Let us take it off your hands…
- Drop off your invoices, bank statements, etc;
- We do all the processing;
- We can then easily prepare for you…
- Management Accounts;
- VAT Returns;
- Key Performance Indicators;
- End of Year Accounts;
- Estimated Tax Liabilities as you go along so there’s no end of year surprises;
- You pick up the records (neatly filed and organised!) and all the information we’ve agreed to provide you with.
It also makes it easy for us to handle any VAT inspections.
Contact Us
Whatever your ambitions, we will commit to them wholeheartedly and deliver the premium service you deserve. Get in touch today to book a chat with the experts at Seagrave French.
