The business world is more competitive as the days pass and the bookkeeping service is becoming more and more important to properly manage the finances. Whether you have a small business, a medium one or your business is expanded all over the world you need bookkeepers that know how to handle the financial part of the business and properly manage the cash flow. In a city like Austin, Texas which is well known for its start-up and tech business growth, the collaboration with a professional bookkeeper is essential. A local bookkeeper understands better than anyone how the market works, the specific of the economy and the fiscal requirements from the area.

What Does the Bookkeeping Service in Austin Mean?

A bookkeeping service in Austin (or anywhere else in the world) represents the total of basic financial activities of the accounting records. These services are totally necessary for any kind of business that wants to maintain a stable, clear and organized financial situation. These services include daily recording of financial transactions such as income, expenses, payments, receipts, reconciling bank accounts, managing invoices, preparing simple reports and monitoring cash flow.

However you need to know that between a bookkeeper and an accountant is a difference because a bookkeeper focuses on collecting and organizing raw financial data and an accountant deals with analyzing, interpreting, and reporting them for fiscal and strategic purposes. Therefore, these two work together for a better result: the bookkeeper provides the basis that accountants use to make financial decisions or prepare tax returns. You should not mix them up because their job is slightly different and each role has its importance. 

Southern New Hampshire University also mentions ‘A bookkeeper records, tracks and updates an organization’s financial information, including sales, purchases and payroll. They do more than post and categorize financial transactions. A bookkeeper also follows up on invoices, reconciles bank statements and calculates depreciation, according to the American Institute of Professional Bookkeepers (AIPB). By keeping accurate, up-to-date records, a bookkeeper helps their organizations comply with tax regulations, better understand cash flow and identify areas for potential growth. A bookkeeper manages financial records for organizations of all sizes, representing all industries. The records they keep include expenditures (money spent) and receipts (money received).’

Why You Should Choose a Local Service Offered by Bookkeepers in Austin

Choosing a local service of bookkeeping comes with a lot of advantages for any business from any field and industry. Bookkeepers in Austin are local professionals that know the details of the fiscal legislation in Texas and obviously will know the market and the economy better than a bookkeeper from Ottawa, Canada for example. Thus the risk of error is reduced or the tax penalties are significantly reduced and your business is completely legal in accordance with all legal regulations.

Second of all, accessibility is also important. Taking the previous example of a business situated in Austin, Texas with a bookkeeper from Ottawa, Canada. The communication will be hard because there is a huge distance for face to face meetings, therefore everything should be online and not everything can be solved through a Google Meet or Zoom for example. Not to mention the fact that the bookkeeper from Ottawa, Canada might not know every legal regulation or the fiscal legislation. On the other hand, collaborating with a local bookkeeper from your city or your area will solve all of these problems and the communications will be easier. 

Communication is the key in every industry, regardless of the field. Therefore, when you are not able to meet the person you collaborate with the communication it is not the best. This becomes especially crucial during busy times, such as the end of the tax year or filing returns.

How to Choose the Best Bookkeeper for Your Business

It is true that there is no such thing as the perfect or the best bookkeeper, but there are a few criteria to take into account when searching for one so that they can be the best fit for your business. Therefore, even though there are a few options available, choosing one might be overwhelming. Here are a few questions to ask yourself when choosing the right bookkeeper for you and your business:

·       Are they from your area? It is recommended to be from your area because they know the local regulations and fiscal legislation better

·       Do they have positive reviews from other clients? If a bookkeeper has positive feedback you will most likely have a positive experience with them too 

·       Do they have experience? If they have a lot of experience behind them, you will most likely receive professional services and they will have a better understanding of the financial challenges 

·       Do they have any type of certifications? This is a bonus and shows that they are certified professionals. You can look after certifications in QuickBooks, Xero or generally accountant certifications. This shows professionalism and a deeper knowledge about finances

·       Do they work with up to date technology? A modern company will work with high-performance accounting software, accessible online, which offers you transparency and speed.

·       Do you resonate with them? Even though this has nothing to do with your business and the way they work, if you resonate with a person the communication will be efficient and automatically the collaboration will be effective. But otherwise, if the bookkeeper has all of the qualities mentioned before but you can not just resonate with them, then the communication will be difficult

If you found a bookkeeper and you answered ‘yes’ to all of the questions above, then yes, they are a perfect fit for your business and you can start the collaboration. 

Conclusion

Therefore, these services have an important role in every company and collaborating with one is mandatory in most of the cases, regardless if your business is small or already at a pro level. A reliable bookkeeping service helps you save time, avoid mistakes, and grow your business safely. Choose smart, choose the service that benefits your company the most!

Publication: 14 May 9:06