6 Key Advantages Offered By Virtual Bookkeeping Assistants
Does Your Business Really Need a Virtual Bookkeeping Assistant?
Solid financial management is the cornerstone of any long-term business. Regardless of your industry, you need to ensure that your revenues and expenses are being recorded, detailed, and processed into accurate financial reports. The great advice goes a long way when it comes to filing taxes or even building sales goals. Having a sound business process in place is critical in today’s market. You will find it helps with everything from taxes to sales. When you start improving you’re the quality of your work, the quality of your product or service stands out. Also, if you don’t have the right skills to do these tasks on your own, then a virtual bookkeeping assistant can help.
1. Bookkeeping Assistants save You Time and Money
When running a business your workforce can make the difference between success and failure. Their output is your utmost concern. Across the country, businesses are working to streamline their production. However, some companies deal with very fine margins. It is sometimes very hard to see your limited resources go towards supporting a virtual bookkeeping assistant.
In 2015, the non-profit organization SCORE conducted a survey to see how much the average small business owner spends on their accounting. The results were beyond belief. They showed that most of these businesses are spending anywhere from $1000 to $5000 every year on just account management and related legal costs. These business owners also indicated that they spend up to 41 hours on tax prep every year. Can you afford to spend that much time on your books?
A Virtual bookkeeping assistant takes over the burden of these complex tasks and leaves you free to focus on growing your business. Unlike in-house bookkeepers, remote assistants work on a needs basis so you don’t have to worry about paying a monthly salary or benefits to a full-time staff member.
2. Virtual Bookkeeping Assistants Bring Proven Expertise
Small businesses face an uphill challenge attracting qualified applicants. With bigger companies offering better benefit packages, it can also be difficult to identify and recruit proven talent within your budget. Virtual bookkeeping assistants provide the perfect solution. When you outsource your accounting and bookkeeping to a reputable service provider you don’t have to worry about conducting interviews or training a new employee.
At A2ZVA, our virtual bookkeeping assistants bring all the skills any small business could need, to the table. Our assistants are locally-based and have a strong know-how of accounting regulations across a variety of industries. They also have an extensive background working with leading accounting software tools like Quickbooks, Peachtree and Simply Accounting so they can integrate seamlessly into your existing workflows.
3. Virtual Bookkeeping Assistants are Flexible
Depending on your industry and the time year your bookkeeping needs will vary. For example, you will probably need more assistance from your bookkeeping assistant during tax season. Whether you need some urgent financial analyses performed before you commit to a capital investment or your workforce a virtual bookkeeper gives you the ability to scale their services up or down based on your specific needs.
4. Virtual Bookkeeping Assistant Offer a Range of Services
Bookkeeping assistants don’t just record financial transactions and help you with your tax prep; they can also offer you greater insights into various areas of your business. At A2ZVA our accounting and bookkeeping experts can provide expert support in the following areas:
- AR – Our virtual bookkeeping assistants can help you organize and keep track of all payments owed by your customers, and prepare accurate invoices to ensure bills can be collected. They can also manage overdue debts and send payment reminders to these customers. Once payments have been collected we record incoming funds and we can even verify bank deposits against receipts to ensure your funds are ending up in the right place.
- AP – We will record and track all funds owed to vendors and suppliers. All payment transactions are recorded and reconciled against your bank statements to ensure up to date cash flow records.
- Payroll – An effective payroll system allows your employees to receive proper compensation, in a timely manner in light of all relevant tax issues. Our virtual bookkeeping assistants use payroll software to create accurate tax documents and payroll records; in addition, we can take care of all check processing and distribution.
- Specialized Reports – Our virtual bookkeeping assistants can help you gain a better view of your revenues, expenses, customer preferences, employee productivity, turnover, and return on new investments. With this knowledge, you can make better strategic decisions moving forward.
5. Virtual Bookkeepers Help You Stay Tax Compliant
It’s no secret that IRS tax codes are becoming more complex. In 2010 alone, there were over 500 changes made to the national tax code. Recent statistics show that 40% of small businesses are fined around $850 every year for a failure to comply with tax laws. In light of these challenges, small business owners can find it extremely difficult to understand applicable tax rates, suitable deductions and even the types of taxes the entity is liable for over the year.
While bookkeepers don’t handle tax prep directly, they do make the process far more efficient. Our virtual bookkeeping assistants handle recording and processing for all financial documentation required to fulfill your tax duties. From cash flow and income statements to annual balance sheets, our remote assistants help ensure that you don’t have to hunt for receipts and invoices at the last moment. Ultimately, these support functions help you file your quarterly and annual taxes in a legally compliant and timely manner.
6. Bookkeeping Assistants Provide Data Security
Data security is a driving concern for businesses at every scale. The last thing you want is to lose sensitive financial information in a system crash or a hacking incident. Our virtual bookkeeping assistants employ an automated cloud backup system that keeps your records backed up at all times. Additionally, all financial information is secured through powerful encryption tools like LastPass and 1Password; these technologies ensure that your login information is only accessible to authorized employees.