As a small business, your platform for operations is mostly oriented around your service or product being sold. Things like managing personnel or accounting tend to be areas built out after the fact as the business becomes more complex and documentation as well as compliance needs to be met for financial assistance, labor laws and taxation requirements.
However, while the traditional routes have been mainly do-it-yourself with accounting software or to hire a certified public accountant, the Internet has changed the nature of how accounting services can be obtained.
And much of that change works to the favor of a small business that doesn’t want to hire a full-time accountant but needs regular accounting services.
Bookkeeping Versus Accounting
A large amount of accounting work that has to be done daily is generally known as bookkeeping. This is the processing of receipts, transactions, changes, timesheets and more. Most of it involves inputting the data involved correctly into accounting software so that summary accounting reports reflect the latest changes accurately. The accounting aspect comes in the preparation and review of the reports to make sure everything adds up correctly and changes since the last report can be seen and understood. This in turn gives the small business what it needs for financial decisions going forward, whether in operations or seeking financial support such as a loan.
With the right software approach, most of the bookkeeping can be done online. Being receptive to that concept opens up the door for being able to bring on board services like Remote Quality Bookkeeping, which provides robust support similar to what a local bookkeeping service or staffed person would. And, even better, the digital approach makes it far easier to retain records and keep copies in case something gets lost and needs to be redone. The same can’t be said for paper processes.
Online Support Makes a Difference
With an around the clock support system, VOIP communications and an IT consulting approach in terms of tools leveraged, many competent bookkeeping services can handle large transaction workloads timely and provide them back as comprehensive outbound data sets easily uploaded with a local small business’ accounting software. This makes it easy for companies with lots of daily transactions to stay on top of their financial activity as well as run reports without delays. For companies that work with tight margins, the difference in responsiveness is huge and oftentimes faster than in-person support working on a day shift only.
If you’re ok with a phone call or virtual meeting in lieu of having someone on staff in your office that you can consult in person, then cost for value, I think you’ll find that a remote solution is the more favorable route.
So, while online bookkeeping isn’t going to take over the world anytime soon, it has established itself as a viable accounting support option for small businesses, especially those without a dedicated accountant or bookkeeper on site. And with a digital format for everything involved, movement and transfer of data is extremely easy and cost-efficient as well.