Hiring a great bookkeeper should be your main focus when you start a business. We at Shah Legacy believe in teaching our Entrepreneur students about the need for doing your Life’s best work. We run on this principal! Do what you love and you will love what you do.
We do not try to fix our light bulbs or fix our server problems. We work with specialist who are good in this field. What we are good at is Bookkeeping, Accounting, Complex Tax Structuring and Business Growth. This is what we love to do for our clients!
Although it might seem like a good idea to do the bookkeeping yourself or get your partner, children or a family member to do it, it might not be one. Let’s first consider how many hours it will take a non-professional person to do all the following bookkeeping tasks?
– Putting all your sales invoices together
– Putting all the supplier invoices together
– Keeping all the business tax records in a safe manner for ATO purpose
– Paying employees
– Paying suppliers
– Sending payslips to employees
– Sending remittance advices to suppliers
– Reconciling trade debtors and trade creditors
– Prepare BAS statements (if applicable)
– Lodge TFN Declarations with the ATO
– Be Super Compliant
– Prepare Group Certificates for employees
– Submit the group certificates to the ATO and provide a copy to the employees
– Liaising with the Accountant
A single late lodgement could incur a penatly from the ATO of anywhere between $170 to $1,700. But it does not finish at the fine.
Bookkeeping is one of the single most important function for any organisation. Have you ever tried to do the plumbing yourself? or build a house yourself? or build a computer yourself? Then why bookkeeping? While it is tempting to save some money towards your bookkeeping costs, you are probably not saving any money in the end.
Imagine having no clarity on your targets, imagine paying an Accountant $400/hour for work that a bookkeeper could perform for $80/hour, imagine the extra hours spent on performing bookkeeping that could instead be put towards expanding your business and generate extra revenue, imagine overpaying suppliers in error and not finding out or not receiving payment for your invoices and not having an appropriate follow-up procedures.
Successful business owners learn what their skill sets are and they focus on improving on them and expanding their business. Good business owners focus on building a successful team rather than doing everything themselves. Build a highly focused and interacting team and see what wonders your business can achieve.
Take time in recruiting the right bookkeeping team but when you do hire a good one, clarify and set the targets around your business model. Invest your time in studying reports, analyse the numbers and make changes to make your business fly high.
If you have not got a great bookkeeping system then invest some time in learning about the options – Xero, QuickBooks and MYOB are the preferred software for us if you are a SME. If you are a larger enterprise, you can look at MYOB Exo or SAP.
Talk to our team of Experts to see how you can improve your bookkeeping systems and processes. First 30 mins consultation is FREE!