7 Reasons Why You Should Hire A Bookkeeper for Your Start-up

Posted by Flexifa on February 14th, 2019

An idea for a product or service may have occurred to you and you may have been able to invest enough to turn this idea into a start-up. It was perhaps only then that you realized that a start-up or its sustainability goes beyond that initial idea and investment.

As your small business grows, the need for additions and expansion will arise, and bookkeeping services for your start-up will be one of them. If you are unsure about hiring one, these are seven reasons for you to do so.

1. Focus on what you do best

When you started your small business, you brought to it a product, marketing skills, and a knowledge of your target audience. Your business partners may have brought in an investment or initial clients. While these are what your team is good at, you may be wasting your time and energy on handling the company accounts.

You may also be trying to handle an area that you don’t really know or understand just because you wouldn’t think accounting companies offer services to small businesses. However, many accounting companies, for instance Flexi Financial Solutions, offer great bookkeeping services to start-ups.

2. Maintaining cash flow

One of the main difficulties faced by start-ups is the failure to maintain cash flow. If you don’t keep track of the cash transferred in and out of the company, you can’t sustain it. Bookkeeping services will take this burden off your shoulders, and maintain cash flow.

Accounting companies like Flexi Financial Solutions will make sure payments are made on time and that cash is also collected on time.

3. Correct tax filings

Tax filings can be extremely confusing, complicated, and time-consuming. Why waste hours on taxation when you can let accounting companies take care of it for you?

By hiring bookkeeping services for your start-up, you can ensure correct tax filing. This also shifts the burden of the tedious aspects of a business, no matter how small, on to someone else – in this case, a company like Flexi Financial Solutions.

4. Resolving conflict

Investment for a start-up is rarely done by a single person. You may have had the idea that launched the start-up, but you may have other business partners. When there are other people involved, there is always space for conflict to arise.

Who decides on cost and expenditure? How will decisions be made? Who will approve any transfers of cash? These are questions that arise in any business, and matters surrounding money can even lead to the failure of a start-up.

By hiring bookkeeping services for your small company, you can resolve such conflict easily. A proper procedure for expenditure will be put in place and this will reduce conflict among business partners.

5. Different perspective

Hiring a bookkeeper doesn’t limit the services you get to balancing accounts or taxation. The bookkeeping services will also act as a financial adviser and give you the guidance you need when it comes to the financial aspect of running a start-up.

Further, your bookkeeper will bring a different perspective to the table, and more often than not, especially with services like Flexi Financial Solutions, these perspectives can be of great use to you.

6. Less room for making mistakes

While the idea that you learn from your mistakes is promoted and trial and error is an accepted way of doing things, these have a cost to any company. And when it comes to a start-up, there is definitely a cost to the company.

While many would think hiring a bookkeeper is an additional cost to a start-up, not doing so can be an extra financial burden on the start-up. Accounting companies have more knowledge and experience and act as great financial advisers. As such, you will have less room to make mistakes and errors, which will reduce the cost, especially financially, to your start-up.

7. Work-life balance

By hiring a bookkeeping service, you will no longer be responsible for all aspects of your start-up. You no longer need to spend all your time and energy on handling the production, marketing and financial aspects of your start-up.

With the burden of bookkeeping, cash flow maintenance, and tax filing taken care of by a bookkeeper, you can maintain work-life balance and not focus all your time and energy on your start-up.

Author Bio : Neil Wagner is a retired London Financial Consultant, currently working as a digital content developer for a private magazine publishers in London. He is writing contents about Financial solutions and services, for the business column of the magazine.