A good bookkeeper does a lot more than pay the bills. A bookkeeper manages your lifeblood: cash. Cash goes out of your company to pay for everything to sell your product or service, and run the company, before your sales can be made. The trick is to have enough cash to make your sales and keep your company alive until your customer pays you and your cash comes back in. If you’ve borrowed the money to make sales, your cash flow is a lot different from your competitor who does not have to borrow. After 3 years the difference in net profit between you and him will be shocking.
5 ways hiring a good bookkeeper will save you money and help your company grow
– A good bookkeeper fully utilizes savings plans, health benefits, payroll, and the newest tax incentives
– They will negotiates with vendors to secure optimum payment terms
– They will not let your customers pay late
– They won’t let you overdraw your checking account, pay your credit cards late, or pay unnecessary finance charges or bank fees
– A good bookkeeper doesn’t let you sell to customers whose balances are too high
How much does a good bookkeeper cost? You can start out with a bookkeeper who works only a few hours each week, or once or twice a month, and expect to pay between $ 40 and $ 65 per hour for her time. You should see an improvement in your cash flow in less than 3 months and as your bottom line grows, so will your business. Eventually, you’ll hire your bookkeeper full-time, at a lower hourly rate, with benefits.
Where do I find a good bookkeeper? A good bookkeeper stays up to date on the accounting software system you use, so you can search online for your accounting software system and your location (eg “quickbooks seattle). And it’s always great to get a referral from someone you know, so ask your business-owning friends who they work with, ask your CPA, and ask your trade association for bookkeepers who specialize in your industry.
How do I make space for a bookkeeper if I work from home, or don’t have an extra desk? A good bookkeeper has a business structure and communication systems already in place for quick and effective transfer of information, regardless of where service takes place. This that allows for flexibility and change to support you as your business grows. You and your bookkeeper might have a regularly-scheduled meeting so you can hand over new receipts, bills, statements, etc. and to go over your financial reports and strategies together. Or you might scan your new info and have your meeting by phone. Regardless of where the bookkeeping happens, a good bookkeeper will give you a report of your cash position every time they do their magic.