Bookkeeping or the books of accounts are the lungs of your business. It is advisable to streamline your accounts to keep your financial records sorted. Streamlining your bookkeeping makes sure that you save your time and money and reduce the last-minute anxiety and financial stress while not compromising on productivity.
Here’s listing 5 simple ways to get your accounts sorted
1. Go virtual
Go virtual. Go paperless. Post its, sticky notes, separate files, maintenance of these old stacks etc is such hassle. So, it is better to go virtual where you have a centralized and automated accounting system. The chances of rodents eating the files or the files going missing are less when the entire system gets shifted to the virtual world. One can either take help of the software available in the market or one may consider hiring a virtual CFO.
2. Teach the team
You may have a virtual CFO or you may have an accounting system in place but the efficient way to get the best returns out of your investment in these systems is possible only if you teach your team! Your team needs to be given right education so that they approach the system with the right outlook because at the end of the day though you have a virtual medium to keep the record yet it is your team who will give the correct inputs to the systems.
3. Delegate
Delegation of work will ensure that you go to the right person to retrieve a said data from a particular folder that houses that data. For instance, if a person A is handling the payables and you receive a call asking for money from the creditor, you will approach the person A who will then look up the excel sheet to find out if the payables to that creditor is done or no. This makes the work easy and efficient.
4. Frame a system:
Ensure that you set a process for each and everything in your accounts. Right from ordering of stationery work given to admin department to passing entries in software given to the account’s person, it should be organised. If you have a system for your accounts, all your bills, files and invoices will be properly organised. Framing a system will even increase the efficiency.
5. Pay taxes on time If you have followed the above steps then it is important that you pay your taxes on time. You may want to hire a chartered accountant who will help you file your returns on time and also ensure that confidential records remain confidential.
