What’s the worst part about running a business? If your answer includes any financial tasks, you’re not alone.
Bookkeeping, accounting and taxes are among the most hated business tasks, with 40% of small business owners categorising them as their number one peeve.
Whether it’s the complexity, the extra time at the computer, or the fact that you and numbers just don’t vibe, financial tasks can really suck the enjoyment out of your day.
But the beauty of running a business is that you often get to choose what tasks you want to do and delegate the rest!
If you find yourself dreading certain financial tasks, there is a fantastic solution: outsource them to a great bookkeeper so that you can focus your energy on more enjoyable – and less terrifying – business activities.
Here are the top 5 financial tasks you should consider passing over to a bookkeeper.
5 Terrifying Financial Tasks You Can Avoid Doing From Now On
1. Chasing Up Late Invoices
Nobody enjoys awkward confrontations or unpleasant conversations. This is why following up on unpaid invoices can be so daunting for business owners.
But this is such a vital financial task. Late invoice payment can negatively affect your cash flow, so you need to do everything possible to make sure your customers pay you on time.
A bookkeeper can help ensure prompt payment by setting up automatic reminders and notifications in your accounting software. They’ll make sure invoices get sent out immediately, so there’s more chance they’ll be paid on time. They can also swiftly identify and act upon late payments to avoid any cash flow hiccups.
2. Creating Financial Statements
While it makes great business sense to outsource some financial tasks, it’s still important for business owners to keep tabs on their financial situation.
To do this, you’ll need to regularly access and review specific financial statements and reports, such as a cash flow statement, profit and loss statement, and balance sheet.
These core documents reveal the health of your business at any given time, so you need to have a basic understanding of them.
Of course, you could generate these reports yourself using your accounting software, but why waste your precious time on that when you could have your bookkeeper produce them for you instead?
Because they know their way around your accounting software, it’ll take them mere minutes to get the right documents to you. And with their knowledge of numbers, they’ll even be able to help you understand them if you need a little extra insight.
3. Reconciling Your Financial Accounts
If you’re handling your own business financial tasks, how long does it take you every week? The average small business owner is estimated to spend 15 hours per week (around 19% of their working time) on financial admin tasks.
A lot of that is doing fiddly stuff like reconciling your financial accounts and making sure everything adds up. While this might not be terrifying for everyone, it is time-consuming and tedious.
Save yourself the headache by handing it over to a bookkeeper.
4. Processing Payroll
Did you know that many bookkeepers offer payroll services as well? It makes sense, as getting payroll right is essential for the financial success of your business. If your team aren’t paid the right amount on the right day, then there could be trouble!
Instead of reviewing timesheets yourself each week and getting your head around the payroll software and legal requirements, have a reliable expert take care of this for you every week.
5. Preparing Taxes
We’ve saved the best for last! Every year, small businesses across New Zealand go into panic mode as they realise the deadline for submitting tax returns is approaching. There’s a mad scramble to gather documents and check everything before passing it to your accountant.
But there is a way to avoid this stressful time of year. By having a bookkeeper!
A professional bookkeeper will ensure you’re up to date with your tax requirements year-round. They’ll keep everything organised week by week, so there’s no drama at tax time, only organised, up to date, accurate financial data which your bookkeeper can hand over to your accountant.
Get Support With Your Dreaded Financial Tasks
Whether your financial tasks terrify you or just bore you to tears, enlisting the help of a bookkeeper can transform your business. Not only will you have more time on your hands, but your finances will be accurate, up to date, and on track at all times.
If you’d like to call in the troops to help with your financial admin, contact Admin Army today.