Small Portland businesses, even at the start, need to be sure to maintain good bookkeeping practices. Although it may seem like a cost you can avoid, a professional bookkeeper is going to bring a level of expertise in financing that your business sorely needs. The benefits far outweigh the cost.
If you're still wondering if hiring a bookkeeper for your Portland business is a smart move, here are five more reasons a bookkeeper is important to your business.
1. For Planning Purposes. Good bookkeeping helps track the past financial performance of your company. Knowing your past performance is crucial to planning for the future. Bookkeeping will give you a clear picture of what exactly works or doesn’t work. In addition to helping with planning for strategic purposes, bookkeeping also plays a major role in tax planning. It gives your CPA the necessary information to properly categorize revenues and expenses. Bookkeeping allows you and your CPA to structure certain expenses to be more favorable. For example, if you have regular meetings with your clients, you might decide to provide lunch during your meetings, which has favorable tax benefits for your business.
2. Easy Reporting To Investors. Having easy access to financial statements for your Portland business is crucial to courting potential investors. Naturally, investors want to know the financial performance of your business to be assured that their investment in your Portland business is beneficial to them as well as you. A good bookkeeper can provide the necessary numbers easily. The balance sheet, income statement, and cash flow statement all present the value of your business. Bookkeeping allows investors to have up-to-date and accessible information. Investors will be able to make better, well-informed decisions.
3. Financial Management. Bookkeeping allows you to take control of your business’s finances. With good bookkeeping, you’ll have a clear picture of what money is being spent, what money you owe or are owed, and so on. Your bookkeeper’s ability to manage financials allows you to pay your bills on time as well as receive payment for your products or services on time.
4. Peace Of Mind. Portland business owners need a clear, level head to successfully lead their business. The last thing you need is to be worrying over is disorganized books. With quality bookkeeping done by a professional CPA, you can rest easy knowing that your company’s financial information is review ready. Banks or the IRS no longer have to give you anxiety. Instead, you’ll find your mind at ease and more focused on other elements of your business.
5. Track Profit And Growth. Organized bookkeeping shows the profitability of your Portland business. For example, the income statement is one of the financial statements that is prepared from bookkeeping and shows whether your business is profitable or not. Bookkeeping also allows you to track growth from financial data that is accumulated over the life of your business. This information allows you to observe trends and helps you to gain a greater understanding of your business cycles.
Business & Accounting Solutions Offers Quality Bookkeeper Services To Portland. Ready to hire a professional bookkeeper for your Portland business? Business & Accounting Solutions, LLC., brings knowledge and capability to Portland businesses with our outsourced CFO and Accountant services. We offer bookkeeping, payroll, cash flow, finance consulting and financial statement preparation along with QuickBooks consulting services. Contact us or call us today at (503) 710-6213. Know someone in need of CFO or Accountant services? Consider our referral program