Do it now rather than later to give you more time for your business.

AccountingDay to day accounting is an important part of running a business. It should be done with care and on a regular basis to ensure that everything is up to date. If you disregard the importance of accounting and finances, your business may not survive. As a business owner you need to constantly know where the business is at financially and if proper records are not kept this will be difficult. It is much better and easier to track your finances from the start of the business operation and everyday afterwards. Of course there are many different balls you need to juggle as a business owner. To help make it easier, here are some tips that will help you to be able to manage your accounting and finances and save you time that can be spent working on other things that need to be done in your business.

Get an accountant. As a business owner, you could do your own accounting and bookkeeping. But most people find this takes them away from doing what they love working in their business and interacting with their customers. There are many Auckland accountants available to do the numbers for your business. You can pass them the burden of managing your bookkeeping and finances. They can also set you up on a cloud accounting system such as Xero or MYOB Essentials which are conveniently based online. Hiring an accountant to help manage the finances of your business will not only reduce your workload but also provide professional service and financial advice for the company. 

Keep separate records. Ensure that payables are kept separate from receivables. Profit is only profit after you have paid expenses, like rent and electricity and other creditors. All should be properly recorded and separated from income earned. 

Keep all receipts. Sales invoices, grocery receipts, account statements and other types of official receipts for the business should be stored properly. If possible, photocopy receipts as they can be worn out over time. Receipts and statements are critical in terms of accounting for your business' expenses and accurate filing of GST and annual tax returns.

List daily expenses and income. It is a good practice to detail sales and expenses daily. It will help you and your accountant to track your business performance and ensure the end of month or end of year reporting can be completed on time. 

For assistance with your daily accounting and bookkeeping please don't hesitate to contact us and we'll advise based on your particular situation.