Myth #1: My business doesn't need a professional bookkeeper
So many small business owners assume that they don't require a professional bookkeeper. They think their business isn't complicated enough to require a professional. This is a common and costly mistake. Here are 5 ways not having a professional bookkeeper can hurt your business:
Underbidding a project : In order to correctly bid jobs and ensure that you will be profitable, you need to fully understand your costs. This requires detailed, accurate financial information. Professional bookkeepers make sure you are properly equipped for accurate costing.
Overbidding a project : Without accurate financial information, many business owners just use "past experience" and because they have had jobs which lost money, they add a cushion onto their bid. This might ensure that you don't lose money on a job, but it may also mean you lose a job to a competitor.
Increased borrowing costs : If you rely on financing to purchase equipment, accurate financial statements are a must. If you misstate your financial position, you may appear less creditworthy that you actually are - resulting in higher interest rates or even an inability to get credit.
Penalties and fines : Missing a tax filing deadline (or payroll deadline) can result in hefty fines and penalties. A professionally trained bookkeeper will make sure that you never miss a deadline.
Time : Time is money. Properly recording financial transactions and making sure that your financial data is complete and accurate takes time. If you are doing it yourself, you are spending valuable time that could be better spent managing your business, getting new customers, or relaxing with family.
Don't let your business fall victim to these 5 mistakes. Visit us at www.ybo-mi.com/contact to schedule your FREE consultation today.
Comentarios