Free consult & free copy of book

E-Myth – “Why most small businesses don’t work & what to do about it”

Contact Us

Stars

Most 5 star CPA Google reviews in Canada

Read Reviews

Chartered Professional Accountants E Myth

1 Fixed Monthly Fee - Planning | Accounting | Taxes | Consulting

Helping Canadian businesses beat the odds!

Business Coach | Good or Bad Bookkeeper

Accountants are budget driven, says business coach. They warn that if a company is in fact disorganized with their files, that company will spend far too much time in doing data entry and organizing their books instead of working on the actual file and knowing the numbers of their business, and whether they are bringing in any money.

On the contrary, a bad bookkeeper, worst-case scenario, would lead you to make a bad business decision and you lose money. It is in fact very common for business owners to get behind in payroll for GST files, etc. did fair warning insists that the CRA is very stern and without proper payroll and GST accounts, they could freeze your accounts.

It may in fact be a good idea to have a conversation with your bookkeeper. Ask “how are the books?” Make sure you’re getting at least quarterly updates. If the updates never come, it is probably a sign that nothing is getting down on the file or is getting done in a rush or is disorganized. Look the timelines of the reports. Drill into your adjusting journal entries.

So, when is a good time to hire a bookkeeper question mark that could potentially be a two-part question. Understanding that payroll rules can be very complex keeping current on the source reduction and paying them on time is so very important, which is a reasonable one. Having the payroll records organized and in good order is the difference between you making a good and bad business decision also, when you get the employees, that’s when the books, as files, and accounts, can get very confusing and beyond most non-accredited bookkeepers understanding.

Business coach warns that it can be tough to look for a properly accredited and experienced bookkeeper. Good advice is to look through your referral network, potentially somebody who has a network in a team behind them. Look for some new has the experience and acumen to be able to give you sound advice about a bookkeeper. Further, check all references. Reaching to your business pool of friends or acquaintances, and associates. Accountants, too, are a fantastic referral system.

Business coach does not recommend that just anyone do their financials. It isn’t, after all, just plugging expenses and revenue into a computer program. The computer companies have us believing that it is as easy as that to keep financial records in good order. The automate software is a fantastic start, but ideally you need a professional to organize and understand the idiosyncrasies of your file. If proper files are maintained, that can prevent you from making a legitimately poor business decision. There is no coming back from bad business decisions. If you make the wrong business decision, it can be the difference between the continuation of your business or the end of your business, because you potentially run a cash.

An accountant can definitely do your books, but ideally it would come down timeliness and money.

Business coach asked how do you know if you have a bad bookkeeper?

First off, it is absolutely advisable for business owners to hire or retain a bookkeeper the reason for this is because ultimately business thrives and excels on decisions. There is in fact no reset button on poor decisions made by the business. You could potentially, with a bad decision, lose the business altogether. You need quality interim bookkeeping records that your bookkeeper will work on for you, organize for you and file for you and can give you a very timely manner. You will need them properly done and in a timely manner because you may potentially be wanting to buy a new piece of quit for your business, or make hiring or dismissal changes to your business.

It can absolutely be a long road to look for a good and accredited bookkeeper. It is recommended you look at your referral network. Ideally, someone who has a network and a team behind them, with much experience in owning a business and using a bookkeeper themselves. Make sure to check references. As well, ask other business associates for names and/or companies that they have retained that they either like or don’t like. Accountants, as well, are a fantastic referral when you are looking for a bookkeeper.

Business coach asks if anyone can do their financials it’s not just as easy as plugging expenses and revenue into a computer program and calling it a day. The computer companies and software companies would have you think that. The automated software system and programs are absolutely a fantastic start but ideally you need a professional to organize all of your files and expenses and revenues or else the records just aren’t worthy of making you really significant business decisions again, there’s no coming back from bad business decisions. Business coach says if you make the wrong businesses decision, it’s can make or break your business.

Bear in mind the accountants are budget driven if you’re files and accounts are all disorganized you will spend far too much time when data entry and organizing the books instead of working in the file. As well, if you retain an accountant to do your books, yes, they can do it, however they are far more expensive than a bookkeeper.

Worst-case scenario, you make a bad business decision and you lose money. This could potentially be on a bad bookkeeping decision. It’s also very common for business owners to get behind in their payroll or GST accounts. Keep in mind that the Canada revenue agency is very strict and without proper payroll and GST accounts they could freeze your counsel together.

Think about having a discussion with your bookkeeper and asking how the books are looking. Make sure you’re getting at least quarterly updates. Even better would be monthly updates. If these updates never come two reasons would probably because nothing is getting done for on the file or is getting done in a rush, or the file is very disorganized.