Your business is growing fast. Your sales are increasing rapidly. You couldn’t be happier. Until you realize you have to sit down after work and close your books after a long & stressful day. You can only get away with doing your own books for so-long.
We get it. You’ve been running our own business since the beginning. You’re trying to be lean & bootstrapping. You probably have a cool spreadsheet that you found online. Probably paid for an accounting software like Quickbooks or Xero. But as your business grows and became more complex, bookkeeping can often feel like a 2nd job in addition to running your own business. The moment that keeping your books up to date distracts you from your actual job – running your business and improving your sales and revenue – is the moment you may need to consider hiring a bookkeeper.
Here are a five reasons why you need to hire a bookkeeper.
1. DIY Bookkeeping takes up too much valuable time
Small business owners work so much more than people realize. We understand – we’re small business owners ourselves. From customer service to IT to sales manager to CEO. Running a small business is alot of work. You have to prioritize your time and handling bookkeeping by yourself can be challenging & time consuming. With a hired bookkeeper like Narwhal, you can take back that time and use it to run the business the way you want it. Take back those extras and talk to clients, sell more products and services, or just use that time to relax and recharge for the next day.
Let’s say you spend an extra 10-15 hours per month on closing your books. By hiring a bookkeeper, you spend a bit more money upfront. However, the time you save (10-15 hours) you can use that to pitch more potential customers. This can ultimately gain you more revenue and sales in the long term. Don’t be afraid to invest more upfront to save you time & headache.
2. No more late books
Since small business owners are constantly working hard on gaining more sales and focusing on clients, they have very little time to close the books. It can often be daunting to come home after a long & stressful day at work and close your books. Small business owners who don’t have personal bookkeepers can delay closing their own books.
When you don’t close your books on time, you don’t know how your business is doing. If you haven’t closed your books since last year, you won’t know your revenue, cash flow, etc. for a whole year. This will not allow you to make smart decisions for your business if you’re using outdated information.
3. Stress-free tax season
We’ve all been there. It’s tax season and you’re pulling your hair out talking to your CPA. Your books are behind. Your CPA needs more receipts and has tons of questions. The only option is to pay your CPA a boatload of money just to get this stress away.
This. Happens. Every. Year.
What would have prevented this? Having clean, accurate, and up-to-date books. With a dedicated bookkeeper, your books will close accurately every single month. When tax season comes, you can send a whole year of closed books to your CPA. Your CPA will have everything they need to file your taxes. In fact, this year, with everything accurately booked & categorized – your CPA has no questions and get to work on maximizing your tax credits & refund! More money in your bank!
4. Easy cash-flow
Cash is king. Having a tough time predicting when cash is coming in or out? You can’t be unknowledgable when it comes to cash. As the owner of your business, you need cash to pay your employees, fuel growth, and pay bills. However, if your books aren’t closed – you won’t have a clear picture on when your cash flow.
With a proper bookkeeping solution & accurate bookkeepers, you’ll get clean cash flow statements every month. You’ll be able to identify trends and know exactly how your cash flow is going. This will give you peace of mind.
5. Know more guessing how much to pay taxes
Ever underpay your quarterly taxes and get strapped with a huge fine? What about over paying? You just gave Uncle Sam an interest free loan. In order to pay accurate taxes, you have to know your financials in & out (your expenses, your revenue, etc.). If you do not have up to date bookkeeping, paying accurate taxes is tough if not impossible.
Hiring a Bookkeeper Will Help Your Business!
When you’re finally tired of closing your books & ready to hire a professional bookkeeper, keep in mind some of these awesome benefits of having a personal bookkeeper:
- Tax-Ready Financial Statements: No more back & forth with your CPA. No more missed deadlines. No more late nights after work. With a bookkeeper your books will always be up-to-date.
- Know Your Business’s Financial Health: No more guessing how your business is doing. With up to date books, you’ll know your monthly expenses, liabilities, debts, & cash flow
- Save Valuable Time: After a hard day at work, the last thing you want to do is spend time closing your books. Imagine the time you can save by hiring a bookkeeper. You can spend that extra time with your clients, marketing, or just relaxing!