Has someone ever suggested you may want a bookkeeper and that raises questions for you?

What is bookkeeping?

Bookkeeping is the process of recording, organizing, tracking, and reporting on a business’s financial transactions. These services include recording the cash flows in and out of a business, such as payments received from customers, clients, or donors and payments made to employees, contractors, or vendors.

Bookkeepers are needed in just about every type of industry and business, large business to small sole proprietors, for-profit and non-profits, service, retail, manufacturing, logistical, and on.

Why is bookkeeping important?

When an effective bookkeeping system is in place, business owners and managers have access to complete and accurate information that allows them to make sound and timely financial decisions. That bookkeeping system can also make preparing and filing tax returns much easier and yield better results such as reducing tax liabilities and even the potential for audits.

Bookkeeping vs. Accounting?

While in some respects there are similarities, bookkeeping and accounting are not the same. Bookkeeping serves as more of a preliminary function through the straightforward recording and organizing of financial information. Accounting takes that information and expands on it through analyzing and interpreting the data.

What qualities should I look for in a bookkeeper?

Yes, finding a bookkeeper who understands accounting principles is valuable, but there are other intangible qualities you should seek. These are among the foundation principles within Horton Bookkeeping:

• Accuracy and attention to detail

• Ethical

• Honest

• Organized

• Supportive of client goals & mission

• Communicative with clients