Numbers aren’t the most glamorous side of owning a small business, but they are among the most important. Without proper accounting, you could miss out on profits and savings. Even worse, you could face tax and legal issues. If you don’t want to keep up with your own books, you can always look into Cloud Ledger’s accounting services, as well as heed the following accounting tips.
The average accountant makes over $65K per year. Depending on the size of your business, you may not have the budget to spare for a dedicated staff member — and you’re certainly not alone in this.
Instead of spending on an in-house accountant, most small businesses choose to invest in small business accounting software that fulfills a business’s day-to-day bookkeeping needs. The ideal software streamlines receipts and expense tracking so you can easily pull reports come tax time. This software should also seamlessly integrate with other tools like inventory management and payment processing apps to make managing your overall cash flow more efficient. Having software to help with routine accounting operations can save you time and serious costs.
You may also want to enlist the help of a certified accountant, especially when you’re ready to file tax returns. Virtual accounting services through Cloud Ledger make your taxes less of a hassle. They can also assist you with other bookkeeping tasks, like payroll.
One of the most tedious parts of small business accounting is keeping up with the myriad financial documents that your business encounters. This includes receipts, mileage, and invoices (to name a few). Ensuring all this paperwork stays organized can take up much of your time — that is, unless you use apps to take the hassle out of handling everyday paperwork. If you drive quite a bit to take care of business, for instance, you may want to use a highly reviewed mileage tracker app to record your mileage in real-time.
Another must-have is a receipt scanner that lets you scan and upload your expense receipts to the cloud in mere minutes. This way, you’ll never have to worry about accidentally throwing away or ruining important receipts. Again, look into seamless integration with your accounting and other software.
So why all the fuss about mileage, cash flow, and receipts for your small business? There are many reasons why being meticulous with these records and processes is essential. However, one of the most pressing ones is that you are going to need detailed records to file your taxes correctly and maximize your potential tax savings.
When you combine the right apps with accounting software, it should only take a few moments to download the information you need to complete your taxes. If you decide to stick with paper records and receipts, you could end up spending hours or even days gathering the same info — not to mention that you run the risk of having your financial records lost or destroyed and have more windows for errors.
Accounting doesn’t have to be dark and mysterious if you own a small business. However, it is extremely important to take steps to streamline your efforts if you want to protect your business and maximize your profits. Your time is important! By using the latest technology to manage your books and working with an experienced financial services company like Cloud Ledger to complete your taxes, you can make quick work of your returns and find deductions many businesses miss. Plus, you’ll have peace of mind when it comes to audits. Schedule a call with Cloud Ledger today to get started.