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Thinking Of Becoming A Bookkeeper? C2online

Thinking Of Becoming A Bookkeeper?

 

You’ve always had an affinity for numbers and want to translate it into a career path.

 

 

Here are some questions to ask yourself to see if you have the skills and personality traits to be successful.

 

Related Search: How to Spot a Good Bookkeeper?

 

 

1. How are you on the technical side of things?

 

Being tech-savvy is crucial these days—you don’t need to know be a programmer, but being comfortable with technology and its constant advances are essential for the job.

 

2. What’s your attention to detail like?

 

It’s pretty obvious, but being organized and detail-oriented is one of the most important skills a bookkeeper can have. Some people are more organized than others, and in some careers, it’s not as crucial, but when you’re working with numbers, you need a razor sharp memory and the ability to stay on top of things.

 

3. Do you have good critical thinking skills?

 

Helping your company or clients by providing ways to improve processes is an important skill for a bookkeeper. By taking the initiative to point out ways they could save money or time, you’ll provide extra value. If you’re good at seeing how systems or processes can be made better, you’ll be an asset to your employer or clients.

 

Related Search: Bookkeeper Superstars

 

Working as a bookkeeper can be fulfilling and lead to an interesting life-long career. If you enjoy working with numbers and have the needed skills and personality type, you’re likely on the right path.

 


Tips on Bookkeeping Tools C2online



It’s a lot of work running a business and one of the most important, but often-neglected areas, is bookkeeping. It can be overwhelming to keep track of the day-to-day transactions of your business. It’s important to have the proper bookkeeping tools and a system to track everything and understanding what needs to be recorded can make it much easier.


Related Search: Step 1 Bookkeeper Tools

If you are doing your own recording, or have hired a bookkeeper, these are the five categories that need to be accounted for:


1.  Assets

This is what the business owns and can include buildings and equipment--computers, printers, vehicles, machinery, furniture, accounts receivable, inventory and so on. Assets are accounted for on your Balance Sheet.


2. Liabilities

This is what you owe and hasn’t been paid—accounts payable to suppliers and vendors, outstanding loans to banks and for company vehicles, etc. Liabilities are also accounted for on the Balance Sheet.


3. Capital

As a business owner, you may contribute or invest in the business and this becomes part of the Equity section on the Balance Sheet, which is the value of your business belonging to you.


4. Revenue

Money coming into your business, typically from sales of products of services are accounted for on the Income Statement, which some people refer to as the Profit and Loss Statement or P&L.


5. Expenses

Any  money that goes out of your business on a regular basis to keep it operating is categorized as expenses. Expenses can includes wages, rent, office supplies, utility costs, etc. They form part of the Income Statement and are deducted from revenue, resulting in a profit or loss for your business.

Related Search: Step 2 More Bookkeeper Tools

Once you or  your bookkeeper have the daily income and expenses accounted for, you can transfer the data to a monthly accounting system.

Having the proper systems in place will make bookkeeping much simpler and allow you to see quickly how your business is doing financially.

Photo Credit: "adamr" at FreeDigitalPhotos.net


BOOKKEEPER OR ACCOUNTANT C2online

As a small business owner, do you need both? And what’s the difference between the two of them?

 

 

Many people use the terms bookkeeper and accountant interchangeably, but there are significant differences.

 

Accountants typically have a university degree and have majored in accounting. Although a bookkeeper may have a college or university degree, he or she doesn’t have the same level of education in accounting.

 

A bookkeeper records the day-to-day transactions of your business—purchases, sales, receipts and payments. He is responsible for preparing invoices, paying bills and sending out customer statements. All of these needs to be recorded in the appropriate place—the supplier ledger, customer ledger and general ledger.

 

Related Search: What makes a Good Bookkeeper….Good?

 

An accountant takes it to the next step, turning this data into financial reports for your business, including income statements, balance sheets and statements of cash flow.

 

An accountant can also act as an advisor, helping you to understand the financial impact on your business of financial decisions you’ve made in the past and plan to make in the future.

 

Save time by hiring a bookkeeper

 

Running a small business means you’re wearing many different hats, but it’s difficult to manage all of it on your own. Hiring a bookkeeper to manage your daily transactions can mean you can focus on more important, revenue-earning tasks.

 

Related Search: Remove Stress by Hiring a Bookkeeper

 

Reduce your taxes

 

Hiring an accountant, especially at tax time, can save you money over the long-term. He will have the knowledge and experience to understand how to reduce your taxes and provides more specialized advice than a bookkeeper.

 

Related Search: Tax Issues

 

Photo Credit: "adamr" at FreeDigitalPhotos.net


5 Tips for Social Media Success for your Bookkeeping, Accounting or Small Business C2online

We operate in a relationship economy, making it more important than ever for bookkeepers, accountants and small business owners to use social media to reach out to clients and to grow their businesses. As a beginner, it’s easy to feel overwhelmed by all the options. Should you write a blog, build a Facebook page, create a Twitter account, or set up a LinkedIn account? And the list goes on.

To break it down, follow some of the same steps you would for marketing your business.

Related: 5 Steps for Setting Yourself Up for Success - Marketing Your Freelance Bookkeeping Business

1.   Who is your target group?

Understand your audience. If your existing client base or potential clients are not likely to follow you on Twitter, there’s no point in starting to tweet. But if you know they are likely to read your blog posts or follow you on Facebook, those are the tools you should stick with. People join social networks for different reasons. When you know who they are and what they want, you can better serve your online community and help your business grow.

2.   What’s the competition doing?

Do your homework and research similar businesses. Search out the ones you know to be successful and review what they’re doing. If one of your competitors has a Facebook page, connect to it and start reading their posts. You can save time by seeing what appears to be working and what not to do.

3.   Develop a Strategy

Based on the research you’ve done in Steps #1 and 2, you’ve decided which social media networks make sense for your business. As with anything in your business, don’t approach social media without creating a strategy. You’re better off with a strategic and limited social media presence than being everywhere without a plan in place.

If one of your goals is to build and grow your Facebook community, then begin creating content, promotions and posts that will attract your target group. If part of your strategy is to post an ongoing blog, begin researching and creating a library of topics.

4.    Content is key

Related: Stand Out as a Bookkeeper/Accountant/Business Owner with your Communication Skills

We’re all overloaded with information these days. Ensure the content you’re broadcasting is relevant and makes sense to your community, just as you would when presenting financial information to clients or approaching them about a new product or service. If you’re crunched for time, share quality content that’s already out there or hire or approach an expert to create relevant quality content for you. Broadcasting anything just to appear active on social media is likely to lose you followers, not gain their thanks.

Create content that makes your business stand out because it’s helpful and of value to them. If you want to share your thoughts on topics of interest to your audience, such as new tax laws or ways to increase revenue, LinkedIn is a professional network that provides a great avenue to do this. Again, take the time to research and post what is best suited to the social networking tool you’ve chosen.

5.   It’s NOT all about you!

Just as in real life, talking about yourself on social media is not likely to gain you friends. The point of social media participation is to foster conversation and make it easy for your community and your clients to share content. You’ve done the research – continue to listen and observe what is important to them. Yes, you can tell them about your new product or service, but don’t do it all the time.

If you think the time is right for your bookkeeping, accounting or small business to create a social media presence, give it a try. Take it one step at a time—you can always expand at a later date. Follow the steps above and you won’t feel as overwhelmed.

Photo Credit: "smarnad" at FreeDigitalPhotos.net


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