For a number of us, it is often misguidedly understood that bookkeeping services and accountancy services are one and the same thing. Such confusion can be understood as it is the case that the one, the bookkeeping services, happen to be such a core part of the other, the accounting processes.
Generally, bookkeeping can be understood as being the keeping of the books of accounts of a business, the day to day process of keeping the full and exact and up to date records of the financial transactions of the company. The financial transactions of a company include the sales, the purchases, incomes, receipts and payments made by the company.
It is often the case that when it comes to the bookkeeping roles for an entity, these are often handled by the company’s bookkeeper. Considering the fact of the sensitivity of the role played by the bookkeepers, as they get to keep track and record all the kinds of sensitive financial records and transactions of the company on a daily basis, it as such gets to be so apparent that one of the most important human resource assets a business will need for its survival are the bookkeepers. By far and large, it is the company’s bookkeeper who will be tasked with the enormous responsibility of keeping on track the company’s entire financial records such as ensuring that the entirety of the details of the day to day financial operations in the business are recorded, the cash inflows and money getting out are well captured in the right books of account in the business. These records are often captured in such books such as the customer’s ledger, the supplier’s ledger and the general ledger and after they have been so captured, they need to be brought to the trial balance so as to help the company’s accountant prepare the company’s income statement and balance sheet at the end of the trading period.
By far and large, a bookkeepers responsibility will often vary from one entity to the other all based on the size of the business and how the tasks and responsibilities are split among the staff. But anyway, looking at the fact that this is one of the tasks that actually means and can spell doom or success for the business, it is important to have a qualified and organized personnel handle your bookkeeping needs as a business. This is actually one of the most valid reasons why it will be so wise a step to have outsourced accounting and bookkeeping services for your business as it saves you so much time and allows you focus on the other professional aspects of your business.