Over the years I’ve learned how to efficiently and effectively assist many small business owners with their bookkeeping. Today I want to share a few tips with you to help you streamline your process and potentially reduce the fees paid for bookkeeping.
Send All Paperwork at One Time
Paperwork submitted in incomplete batches can result in unnecessary lag time. Stopping tasks in progress to request missing paperwork creates an increased probability of mistakes and missed deadlines. Create and follow a check sheet to ensure all paperwork is sent to your bookkeeper together and on time..
Submit Time-sensitive Documents Early
This tip applies to all bookkeeping but more specifically to bill-pay services. Forward all bills/statements consistently with adequate time to process payments. Delayed paperwork can result in late fees or discontinued services. If this isn’t a viable option, reach out to your service providers and update your contact information to “in-care-of” your bookkeeper.
Be Systematized
Avoid submitting your paperwork in a large box for the bookkeeper to sort through. Ideally, organize statements and receipts by month, or all information related to one account in a single folder. If submitting paperwork electronically, make sure items are stored in a logical format and not placed haphazardly forcing your bookkeeper to do extra work to decipher what is being sent.
Provide all Necessary Details
Eliminate time spent on research and corrections by providing details on your expenses, especially unusual or large expenses. The more familiar your bookkeeper is with your business processes and transactions the less time will be needed to complete your postings.
Provide Deposit Information
If you’re offloading your accounts receivable, forward all sales information in a consistent and timely manner. Doing so can greatly improve your cash flow. Also, make sure to disclose deposits that aren’t income to prevent paying on money not subject to tax.
Provide Petty Cash Receipts
Many businesses lose the opportunity to claim deductible expenses because cash receipts aren’t given to the bookkeeper. Disclose purchases made with petty cash or outside money by saving purchase receipts or by creating a spreadsheet tracking your balances and transactions.
Have the Bookkeeping Done Consistently
Avoid waiting until tax time to deal with your books. During busy seasons CPAs are more likely to hire a bookkeeper to get you caught up. Extra charges from your CPA will be higher than using a bookkeeper throughout the year.
If you don’t have a bookkeeper but recognize now is the time to start, contact us today at 310-534-5577 or [email protected] to begin the process. We look forward to assisting you!
