Every business should have bookkeeping. Since it allows business owners to gather data about how their business is doing, bookkeeping is essential. Small business owners are not exempt from maintaining financial records. You can also hire a full-time bookkeeper. You can also hire bookkeeping from an accounting firm through www.wlp.com.sg/bookkeeping.
A small business can outsource a bookkeeper to perform bank reconciliation. This document explains the difference in the cash balance of the bank and the company as per its books at a specific date. It is usually the end of the statement. This is an important activity that can be used to verify for errors in postings in the banks and company records.
A bookkeeper must also perform trial balance sheets. A trial balance is an accounting worksheet used to verify the accuracy of the accounting balances. This document is useful for business owners in making decisions. Preparing financial statements is one of the services that a bookkeeper must provide.
These financial statements can only be used for internal decision-making purposes. This information can help the business owner determine their business's financial status and evaluate its financial performance. It can also be used to make economic business decisions.
These financial statements can also be useful to other stakeholders such as employees, creditors, suppliers, government, and the general public. A CPA must issue a report if these financial statements are to be shared with others outside of the company. It is a good idea to have a licensed CPA firm manage your bookkeeping.