For many business owners, hiring a virtual assistant or admin person is one of their first personnel hires. It makes a great deal of sense because it frees your time to focus on building your business and churning out the work.
But you’re making a grave mistake if you assume an administrator can do your bookkeeping too.
Here are 3 reasons why you should consider outsourcing your bookkeeping.
1.Matching skillsets to the task
Your admin person will always be invaluable to your business. They can be an enormous help in sending invoices, placing orders with suppliers and dozens of other tasks.
But doing your books requires more than knowing how to use the bookkeeping software. Allocating expenses, reconciling accounts and managing cash flow require expert, para-accounting knowledge. That’s the sort of expertise a bookkeeper will provide.
2.Bookkeeping qualifications are mandatory
In Australia, the important role of a bookkeeper is recognised. They need to be qualified and are required to meet certain standards each year to maintain their BAS registration. These requirements also provide their clients with recourse should the bookkeeper make an error in your accounts.
Administrators have different but valuable skills. Asking them to perform tasks they aren’t qualified to do is unnecessarily burdening them and disrespecting their valuable contribution to your business.
3.Mistakes are costly
Incorrect BAS and/or tax return calculations will cost your business. Depending on the error, you could be over or under paying the ATO. Eventually the Tax Office will find any underpayments so you will incur penalties and interest charges - resulting in a very costly error.
Using a qualified, experienced and registered bookkeeper will avoid these problems.
Fixed fee, No stress bookkeeping
Conveniently located in North Sydney, Numeric Eight’s tailored, fixed fee bookkeeping services have been supporting Sydney business owners and their administrators for over 11 years. For more information, call 02 9437 1785.