Don’t worry, almost everyone starts off their business with just a spreadsheet. It seems easy enough to create the columns and formulas, and enter your data manually. And it usually works for a little while…until it doesn’t anymore. As your business starts to grow, it’s time to find a good bookkeeper.
Spreadsheet bookkeeping is prone to errors.
Entering in data manually may work at small volumes, but as your business picks up, so does the number of entries. Manually entering in data, including using the copy and paste function, leaves you vulnerable to simple errors that could cost you down the road. Pasting into the wrong columns, overwriting existing data, transposing numbers – all of these errors are easy to make, especially when entering in your numbers at night after putting in a full day in your business.
Professional bookkeepers know what to look for. For example: did you know that when you use services like Stripe or Square, their basic reports show your net income by default (the payment your client made minus the processing fee)? But you’re required to report your gross income on your taxes – and an experienced bookkeeper will know where to find the full information that you need for a clear picture of your financials, and to keep you out of hot water.
In the end you know your bookkeeping is important. It is important for so many reason hundreds more than listed above. As business owners we cannot do it all and really bookkeeping can be complicated and even classify transactions can be confusing and unclear. If you do not feel, want or have the knowledge of bookkeeping, accounting principles and how those relate to your tax returns consider trying our bookkeeping Balanced Office Solutions offers. You would no longer have to work additional time, worry about whether things are done on time or coded correctly and would have year end reporting without the worry or hassle!
Contact me today for a free consultation!