When you are running your own business, bookkeeping is an essential task that you need to keep on top of. This is as true for a sole trader as it is for a larger, limited company. Naturally, it can get more complicated when you have a limited company and there is extra pressure to keep your financial records in good order.
HMRC can ask to see your company’s books at any time and you need to be ready if this happens. Even without the fairly low chance of this occurring, it is still perfect business sense. Not only does it mean you always have your records up to date but you always have a handle on how your business is performing.
For many business owners, doing their books is a necessary evil that they don’t really enjoy. Here are a few tips to make it all a bit easier!
1. Do them regularly
Many business owners have fallen into the trap of leaving their bookkeeping for year end or for extended periods of time. This just heaps pressure on you when you need them and also makes it a much more time consuming process. Instead, set time aside at the end of each week or month to do all the necessary work and get your financial records updated.
2. Get organised
Of course, when it comes to claiming expenses back for business purposes you will need your receipts as proof. Get into the habit of saving your receipts at the time you get them or printing any email receipts you get for online business purposes. When you have them, file them away safely so that you know where they are. This way is much simpler than having to find a year’s worth of receipts from around the office!
3. Use the cloud
Accountancy has undergone a real sea-change in recent years thanks to cloud computing technology. The latest cloud-based software packages give you an innovative way to do all your bookkeeping online. Compared to the old-fashioned ways, using superb cloud-based software like Xero will save you time and money.
Let Cornel Accountants help instead
Even with all the above tips in mind, most business owners would rather leave their bookkeeping to professional accountants. Not only does it save the hassle of doing it all yourself but you have the peace of mind that an expert in the field is keeping on top of it all for you.
Here at Cornel Accountants, we help businesses of all sizes with a whole range of accountancy services, of which bookkeeping is just one. We use the latest cloud-based software and technology to deliver the best results.