Frequently Asked Questions
Do I need an accountant or a bookkeeper?
Actually, you need both. Most accounting firms will recommend that you hire a bookkeeper and prefer when you do. Bookkeepers keep track of the day-to-day business while your accountant will prepare the year end reports, offer tax advice and prepare your personal and/or corporate taxes. Many accounting firms also provide bookkeeping service but the cost to have it all done under the one roof is usually much higher. “Banking On It” Bookkeeping has an excellent working relationship with local accounting firms in town (as well as some out of town) and is happy to recommend a few options to mutual clients.
Can’t I just do my own bookkeeping?
Many small business owners opt to do their own bookkeeping thinking they are saving themselves money. The fact is, a knowledgeable bookkeeper provides more than just a data entry service. Clients often call asking for information on many different issues that affect their businesses on a day-to-day basis. We can usually provide the answer right away to most questions but I’m not afraid to say I don’t have that information and will do my best to find it or direct them to where they should be able to get the information. Other issues with business owners doing their own books are time and interest. Honestly, most people hate the paperwork associated with being in business. Because of this, it sits in a heap and is left until the last minute when it may be dealt with hastily, messily and often done wrong. This comes back to bite business owners when they’re making uninformed decisions with no financial statements to refer to and/or when the auditor comes calling. Your time is better spent growing your business and doing what you love. Leave the paperwork to me. Bookkeeping is my business and often it’s done in half the time it would take to do it yourself.
Why should I hire an outside business to do my bookkeeping, instead of having a current staff member do it?
The answer is quite simple. You’ll save a ton of money outsourcing your bookkeeping compared to doing it in house. For the monthly fees you’re saving yourself the cost of computer equipment, software programs, EI, CPP & WCB for another employee. Instead, you receive a monthly bill for services with none of the other hassles. It is also a bonus to have an outside set of eyes looking at your day-to-day operations and possibly pointing out inefficiencies or lost revenue or expenses.