In the determination of a business’s prosperity and success in the financial sector, management of the accounting books is indispensable. Unfortunately, bookkeeping and accounting are not considered as enjoyable tasks. It is because of complexities and intricacies of terms and tiresome record-keeping that make it one of the most challenging aspects for a small business owner. However, those who try these tasks spend hours and days to understand the financial standing of their businesses better.
To avoid wasting time in dealing with aspects you have no clue about, it will be vital to outsource bookkeeping functions to an online bookkeeper. A professional bookkeeper will be helping you deal with daily accounts transactions and will provide you with sufficient time to focus on the key business aspects. Furthermore, an online bookkeeping professional will be assisting you with a number of tasks such as:
– Keeping the record of each and every business transaction, including sales, purchases, receipts, and payments.
– Assist you in maintaining business structure and design, along with reviewing internal business procedures.
– Recording, collection, and organization of daily financial records and data and later producing up to the mark ledgers and financial reports.
– Make it easy for your accountants to access and understand the financial information.
Now bookkeeping is not limited to recording daily financial records and figures. The duties of a professional bookkeeper now go beyond it. A bookkeeper is a professional who is highly skilled and is familiar with financial recording methods and making clients understand and sense the financial numbers. With the help of state of the art accounting software, a bookkeeper is efficient enough to:
– Provide expert advice on the best business solutions and can help you simplify the workflow of your business.
– Advise you on the simple yet best payroll systems based on the scope of your employee database.
– Go through the data and records entered by other employees and identifying mistakes, and resolving them with an immediate effect.
– Train you to use implemented accounting and bookkeeping software efficiently.
– Offer assistance in the day to day function of your business by acting as a partner in ensuring that everything is working smoothly.
Core Modules and Features of Bookkeeping Services in the UK
When you hire online bookkeeping services in the UK, you are mainly looking for professionals who can help you with recording and processing financial transactions for your business. And for that, hired bookkeepers must be experts at using the accounting information system that include multiple modules. To make a perfect decision while choosing accounting software, you should be familiar modules it contains. The most frequently used modules are:
Accounts Payable Module
This comprises the money that your business owes to vendors. The functions of this module are:
– Tracing all the money that is due to vendors, payments in terms of all invoices, and offered discounts
– Providing vendors with computerized printed checks
– It holds a master file that keeps all the details about vendors, including name, contact details, and address
– It makes sure that all the transactions and payable balances are aligned with invoices and other such internal documents counting P.Os and GRNs
Accounts Receivable Module
This entails all the money that customers and other stakeholders owe to the business. This module contains aspects:
– Invoicing consumers and handling all the payments received
– The information and records from this module are used in the generation of invoices and bills for sending to clients
– It also treats the payment transactions through the business’s bank account and automatically uploads the details on account of the particular customer
– It helps in keeping customer information updated and has the capability of displaying all the money that a customer owes the business and how long the balance is outstanding
– It also has a major file that entails all the customer particulars, including name, contact details, and address
Balance Sheet Module
A business sheet normally highlights the financial conditions of the business. The characteristics of this module are as:
– It summaries the assets, equities, and liabilities of the business
– It is majorly used to formulate reports on cash flow, budget, and other key financial analysis of a business’s financial standing
Charts Accounts Module
It contains a list of accounts utilized by the business in the accounting process and has the following features;
– It utilizes a series of codes for determining the information collected or tracked through the information system comprising income, expenses, assets, and equity
– It also determines the level of tracked information and which reports the information system should create
– Based on the business needs, the chart module can go for sub-coding for department, location, source of funding, projects, and activity with the objective of collecting all essential information
Inventory Management Module
This module is for the effectual management of the flow of inventory within the company. It is utilized to opening and closing balances for a given time and entails the following attributes;
– It uses multiple costing models defined by the business
– Assists in stock management through numerous units and pricing parameters
– Keeps records of receipts, issues, and stock transfer
– Generates and upholds bill for materials
Payroll Management Module
The payroll management module helps the business’s Human Resource department in wage making and payments. Professional bookkeepers can help you customize this mechanism as per your business’s needs. Some of the common and important features of this module are;
– Time administration
– Consolidated and automated key procedures
– It provides authorized end-user accessibility that strengthens the security level of the system
– It has the ability to run complex payroll system proficiently
Point of Sale Module
The point of sale module represents the location where any sales transaction may occur that might be online, retail store, or any of other places. It allows you to link devices at multiple checkpoints in order to monitor unit changes, analyze inventory, and to track the needs for reorders. It is beneficial as it helps you record every single as it happens and also helps you keep your inventory up-to-date.
In-House Vs. Self Employed Bookkeeping Services: Which One Is the Better Choice
The success of any small business mainly depends on the accuracy of its financial accounts. Facing errors in accounting records can make you vulnerable to lose the faith of business shareholders in the organization. However, this is avoidable by having the assistance of experienced bookkeeping services in London for your business.
101Accountant is the accountancy and bookkeeping firm, which has made it easy for all big and small businesses to have customized bookkeeping services. 101Accountant is a well-established, independent, and cost-efficient firm offering online bookkeeping in Glasgow, Leads, and York other Major cities in the whole UK. Consideration of the following factors while searching for self-employed bookkeeping services can help you make the right choice.
The Firm’s ReputeBefore hiring a firm, make sure that it is to offer the service properly. This confirmation gives you the confidence that you can rely on the firm to cope with all of your business’s bookkeeping needs.
- Competency Level
Ensuring that the firm that you are going to hire for your business has competency in dealing with critical aspects like payroll, taxes, costs analysis, and other bookkeeping functions also gives you the confidence that your accounts are in the right hands.
- Level of Experience
Before going for a particular service provider, you must be aware of the level of experience of the respective firm in dealing with bookkeeping services in the industry. Also, ensure that they are capable enough to offer specialized services to meet your business needs.
- Cost of the Service
Being a small business, you may have limited resources and funds, and it makes it more crucial to check the affordability of the bookkeeping firm that you want to hire. In this regard, making a choice among the amount of work that your firm is offering, the number of working hours, and pricing mechanism, is your need.
If you are not confident about where to start to find out the right fit accounting and bookkeeping firm for your business, you can ask your attorney, banks, financiers, and people you may know in the industry for authentic referrals. The major benefit of going for referrals is that they will be offering you to experienced firms and can provide you with benefits and drawbacks of outsourcing bookkeeping services.
Advantages of Outsourcing Bookkeeping Services
If you are still not sure about outsourcing the bookkeeping services for your small business, the following advantages of doing so can convince you further.
It Helps In Saving Costs
When you hire in-house and dedicated bookkeepers, you are required to set aside your time and money for conducting interviews, providing them with training and massive salaries, and to bear other infrastructural costs. You have to do so to ensure that your books are being managed in a professional way.
On the other hand, outsourcing bookkeeping services can help you save on all such costly aspects of in-house bookkeeping. You do not need to bear costs for interviews, training, and infrastructural, along with the implementation costs of the latest accounting tools and software. Outsourcing accounting firms hold certified and well-experienced professionals who are equipped with state of the art accounting tools. They have the aptitude to provide you with customized services and prices based on the needs of your business.
Access to Skillful Professionals
As accounting firms work and interact with multiple types of businesses of different sizes and from different industries, they grasp a lot of professionalism in providing bookkeeping services. Even if you take your in-house bookkeeper to train from time to time, his skill level will never meet that of the outsourcing service providers.
While working with in-house and dedicated bookkeepers, you are needed to monitor them to guarantee that the work is done on time. Every time you cannot linger on him, or he may also face multiple other distractions that can prevent him from fully concentrating on work. Alternatively, outsourced bookkeepers are supervised by the respective firms, and going for them can help you save plenty of time and to focus on the other critical business aspects.
In-house bookkeepers are protected by law in multiple ways, and it may become difficult for you to fire them at the time you want due to legal bounding. Knowing this aspect, in-house bookkeepers can un-derperform intentionally. Unlike them, self-employed bookkeepers and employees are aware of the tough market competition and their chances of remaining employed mainly depend on their performance. This encourages them to perform better and deliver on time. It also provides you an upper hand that if you are not satisfied with their performance, you are not bounded to keep them with you. You can replace them any time you consider them not performing up to the mark.
Why You Should Hire Us
101Accountant is the leading cloud bookkeeping in London and Bristol offering services for small and medium-sized businesses around the UK. The firm is well-known for offering a vivid range of bookkeeping services to distinguished businesses from various industries. If you are in search of double-entry bookkeeping in the UK, you cannot find any better option despite us. Our team of bookkeeping and accounting experts comprises of highly qualified and well-experienced professionals. They always make sure that the financial transactions of the client businesses are properly recorded and are processed in a way to come up with authentic statements to empower stakeholders’ faith in the respective organization.
On top of bookkeeping services, we also offer other accounting services as well that might a business look for. When you get your finances and bookkeeping managed by one firm, it becomes quite easy to grasp that where is your business standing financially. With this familiarity, you can make better business plans and come with strong and practical policies to make it stand out. Using 101Accountant small business bookkeeping services to cope with your business needs makes it easy for you to have better control over your finances and getting authentic and timely reports to come up with well-versed business decisions.