ARTICLE SERIES: KEEPER OF BOOKS
Recently, a new client came to me to consult about issues with his existing accountant who, after not being able to comprehend the logistics of the business, eventually left. After some initial discussions and reviewing the company’s Xero, I attempted to clean up the mess and provided him with all the detailed instructions to follow to ensure the accuracy and consistency of the company’s financial records.
However, he called me last Thursday telling me that one of his staff had quit and was having difficulty working out the termination payments and needed my services urgently. After a one-and-a-half hour Zoom meeting, we eventually fixed the payroll. Unfortunately, he ended up losing $12,000 and had a trained staff member leave because of missing details in the Employment Contract and improper setting up of payroll.
For most SME business owners, I can understand doing it yourself would save money while you are still working to build up your business. But as you get busier and your business grows, that valuable bookkeeping time gets smaller and smaller… Until suddenly you find that your business numbers no longer make sense and the software is now confusing or maybe you have completed your bookkeeping for the year, handed it to your accountant and they have come back with a list of numerous adjustments to make. All are signs that it is the right time to outsource your bookkeeping.
When it comes to building and maintaining a well-managed bookkeeping system, you may find more pain than gain. Whether it be under-trained or over-worked staff, or incorrect, inefficient bookkeeping procedures; both lead to similar results – inaccurate financial data, delayed financial reporting and financial uncertainty. As a business owner, you need accurate, timely and actionable financial information to make data-driven decisions to avoid making serious mistakes.
Yes, you have to pay for bookkeeping, but a certified and experienced bookkeeper is going to be much quicker than you. It usually takes 2.5 times faster than doing it yourself in-house. I have found that most small business owners can save at least 20 hours each month by outsourcing their bookkeeping to Gilligan Sheppard, while some mediumsized businesses can save even more from the bookkeeping solutions we have specially designed to fit their business. They are likely to have an accounts manager that takes care of their financials, with any internal operation or taxation issues being resolved instantaneously by the professionals have. Most importantly, the added value from having quality, reliable data to make informed decisions is priceless.
If you are looking at placing your accounts in the hands of a professional bookkeeper who knows the best and most current practices, whilst making your job more effective, efficient, and easier – we are currently offering free evaluations on our clients’ bookkeeping. We will review your business processes and identify activities you can outsource to boost your bottom line. Our pricing ranges from $400 to $3,500 a month plus GST depending on the number of transactions and the complexity of service requirements.
Please feel free to talk to either your accountant, or alternatively get in touch with our front desk and ask for me.