Category Archives: Services

Start the New Financial Year with a New Bookkeeper

Business start-ups do almost everything with strong sense of Do-It-Yourself mentality, and they thrive on that. Completing every task yourself from marketing and accounting saves money because you don’t have to pay for any professional service. For the first few years when money is not flowing-in as smoothly as expected, it can indeed be difficult to justify hiring professionals such as a bookkeeper.

When business starts slow and financial transactions never exceed the amount you can handle, all accounting tasks are relatively easy. As the company expands and gets bigger, doing financial bookkeeping on your own will probably lead to more troubles. Many tasks including credit card usage tracking, payroll posting, and account reconciliation can be tricky; when a pile of transactions are waiting to be processed, it is always easy to make rookie mistakes.

Bookkeeper Makes Everything More Organized

 Basic accounting is not actually very difficult, especially when you use reputable accounting software on your computer. While you can do this in your own, bookkeeping tasks certainly keeps you away from doing something else for your business. After a couple of years of business, tax planning and accounting become more complicated that you simply cannot afford to take the idea of hiring professional for granted.

Timely Accurate Information

A bookkeeper is not an accountant. The former is the one who does accounting jobs on daily basis for examples paying bills, filing paperwork for payroll, submitting invoices and following up on them, credit card usage tracking, reconciling accounts, and more. Company’s expenses must be tracked and every cost should be entered properly as well. When the time comes for taxation and financial reports, your company is ready.

Informed Decision

 On the other hand, an accountant helps you see the bigger picture of your financial situation. Based on the files/reports compiled by bookkeeper, the accountant can generate reports concerning profit, loss, and tax. If needs be, an accountant will offer advices to reduce operational cost and increase profitability.

One thing that prevents many small business owners from hiring professional bookkeepers is the invasion of user-friendly accounting software; those applications are good on themselves since they provide an easy way that even someone without any accounting educational background can use them for basic accounting. However, throwing data into the software without good understanding of bookkeeping can lead to disastrous results which will affect tax return. The safer bet is to hire qualified bookkeeping service filled with professionals who know what they’re doing. To get in touch with a 360 Consultant click here or call 1300 360 749

Brief Overview of Virtual CFO

The backbone of all businesses is good financial management. It allows companies of all levels to measure performance, launch profitable marketing campaign, and even expand the business when everything is indeed manageable. For medium or big corporations, the financial department of the business is usually handled by chief financial officer. For small companies, particularly startups, hiring a professional to fill the position can be financially impossible; in this case, it counteracts the idea behind creating manageable business. With today’s well-developed technologies, however, it is not uncommon for companies to work with virtual CFO to allow for efficient financial management via could accounting method.

For a small company, hiring full-time CFO makes no financial sense simply because this position requires proficient experienced professional who always comes at a price. On the other hand, there must be someone who has high level of financial expertise to help the business grow. Instead of taking unnecessary risky hiring, the most viable solution is virtual CFO.

Before we dive in to more details, it is worth mentioning that virtual CFO is an entirely different thing from finance outsourcing. Virtual CFO works on-demand basis, meaning the service is provided as one-time assistance to handle all financial-related tasks including but not limited to management accounting and company performance analysis. With finance outsourcing, the entire financial management is handled by an external provider under an on-going and usually long-term contract.

Similar to full-time CFOs, the primary role of their virtual counterparts is to oversee or analyze financial planning, make reports on financial activities, and manage financial risks. Depending on the agreement with employer, a virtual CFO can also provide other services such as setting up KPIs, bookkeeping, suggesting controlled expenditure, and to take responsibilities for the accuracy of the report/analysis.

Understanding “Virtual”

The term virtual is typically understood as any activity done within the notion of Internet. In virtual CFO case, the employer can be a company located million miles away, but good line of communication is well-maintained thanks to the Internet. A virtual CFO does everything by cloud accounting, meaning all the financial analysis reports are done, sent, and received without requiring the presence of both parties in the same place.

Because the services are provided on-demand, small companies can afford to make efficient hiring. A virtual CFO usually charges the employer on hourly rate, but because virtual CFO works only when needed, employer can greatly reduce the expense on salary.

Contact us to know more about our services and how we can help you achieve your KPIs