Removing the dilemma of Accounting and Bookkeeping
Accounting and Bookkeeping services to are often thought to be the same, however, there are differences. A bookkeeper is responsible for recording financial transactions, while an accountant is responsible for interpreting, classifying, analyzing, reporting and summarizing financial data. The terms “accountant” and “bookkeeper” are quite similar, but not entirely.
Let us take a closer look at the jobs of both an accountant and a bookkeeper to have a clearer understanding of what they actually do in accounting and Bookkeeping services.
Bookkeepers manage and log daily financial transactions of businesses including sales, payments, purchases, and receipts. Their responsibilities also include payroll, monitoring accounts receivables as well as working with controllers to complete monthly financial closings.
The role of a bookkeeper depends on the size of a business and the number of transactions made on a daily basis. The responsibilities expand with the expansion in business and the complexity of finances.
Accounting deals with the interpretation of data created by bookkeeping. The primary function of an accountant involves analysis of financial statements, filing IT returns, and helping business owners understand tax and financial regulations applicable for a company.
Though you can choose to manage your finances on your own by hiring professionals for your accounting and bookkeeping services, it would definitely make you less focused on the core aspects of your business growth. Small-scale and new business set-ups don’t need to employ a full-time accountant. Hiring an accountant during the time of tax filing and generation of annual financial reports may be all that is needed.
Whether a company is looking to reduce expenditure or seeking professional help, outsourcing is the most effective way for a business of any size. By outsourcing, you would get accurate financial results, helping you to make effective business decisions and have lasting success for your organization.
Bikham provides topnotch accounting and bookkeeping services. Our finance team focuses on growth and development of your business by keeping you updated; helping you improvise your strategies and make better profits. Schedule a consultation to learn more!