When opening a small business, the very first thing you need to worry about is getting a small business accounting software or hiring an accountant. While both offer great benefits, they can also come at a very high price.
If you decide to get an accountant, you might be looking into several firms near you or spending tens of hours on the internet to find the right one for your company. On the other hand, if you choose to go with a small business accounting software, you may realize that they are more complicated to manage than updating a spreadsheet,
So, what gives? On the bright side, you will have your finances in check, but on the not so bright side, you will be spending a lot of time learning to learn a new platform or paying a lot of money for an accountant. Fortunately, there is a middle ground called bookkeeping, or even better, virtual bookkeeping.
Bookkeeping is fundamental to any business, and you shouldn't forget to do it. It can be done in many different ways - both offline and online. Hiring a virtual bookkeeper will free up some of your time so that you can focus on more important, strategic tasks! Moreover, it will cost only a fraction of what an accountant costs and can be available for you 24/7. Below, you can find some of the most common tasks a virtual bookkeeper does. These tasks go above and beyond getting a small business accounting software.
Virtual Bookkeeper's Tasks
Keep your Inventory Tidy
Virtual bookkeepers can help track company cash flow and inventory changes. They can log your purchases, business supplies, and even your warehouse's extra stock. When your retailer stocks a product, a bookkeeper will input the movement into their ledger with its monetary value. This process can also help you apply discounts to individual products in order to have better stock management in holiday periods.
Provide and Request Invoices (Even in Payroll!)
Preparing invoices and collecting money can be a time-consuming process. As a result, it's essential to have employees that are qualified enough to deal with this. Virtual bookkeepers can ensure everything is appropriately done, like, for instance, having all the information on an invoice, ensuring that the cash payments from clients come in on time, and making sure you get paid at all.
You can also use this system for your employees. One of the most practical uses for a virtual bookkeeper is to help you handle employee payroll. With administrative and legal regulations varying from state to state, many regular bookkeepers might have difficulty meeting those requirements. A virtual bookkeeper will help you choose a payroll frequency that matches your needs, whether it's monthly or every two weeks. They will also make sure you have all the necessary accounts in order so you or they can pay your employees on time.
Manage Your Company's Cash Flow
One of the most important tasks for a bookkeeper is to monitor how much money is coming in versus how much the company is spending. Virtual bookkeepers can measure this variance by comparing purchases from suppliers and other general expenses to total revenue. If need be, your bookkeeper will take action or provide advice, so you don't cross your planned budget's limits.
Update and Secure your Ledgers
Accounting software is now more automated, which means you'll need to make sure your files are up-to-date by doing regular maintenance. Following the basic principles of cybersecurity, a virtual bookkeeper will help protect your sensitive information. They will never reveal any of their passwords and keep your company's antivirus updated.
Keep Track of Daily Transactions
With a virtual bookkeeper, you can easily keep track of everything that's happened in the past day - from transactions to simple updates. They are beneficial if you're able to use accounting software and automatically update them each day through bank feeds. Bookkeepers have many different roles to fill, but the central part of their job is organizing and recording financial transactions.
Virtual Bookkeeping as an Alternative to Small Business Accounting Software
Virtual bookkeeping assistants have to go through an in-depth screening process before they can come in contact with actual clients. They are available for you, but this is not their only qualification. Our approach ensures your VA will handle any of the tasks listed with success. Plus, you can take advantage of their expertise to redesign your budget and get more revenue in your pocket.
You can count on our VAs to create invoices, establish pricing and make sure everything is up-to-date. This expert will free your time to focus on the other aspects of your business, such as reaching out to new clients, designing engaging marketing strategies, or rolling out new features for your app or website.