The Expert Guide to Finding the Right Bookkeeping Service for Your Small Business

February 20, 2024
6
minutes to read
by
Ben Winford
Contents

Bookkeeping is vital to running a small business, yet many entrepreneurs fail to pay adequate attention to it. However, keeping track of your finances ensures your business's success and growth. This is where Thriday, an automated bookkeeping software, can help. In this blog post, we'll cover everything you need to know about bookkeeping services for small businesses in Australia. We'll discuss the benefits of hiring a bookkeeper when outsourcing bookkeeping and the importance of sole trader bookkeeping. We'll also explore how to find the right bookkeeper for your small business, including what to look for in a CPA. We'll also review popular bookkeeping software in Australia and compare options, including Thriday. Furthermore, we'll explain how bookkeeping can be automated, the benefits of automation, and how Thriday automates bookkeeping. We'll also look at the future of bookkeeping for sole traders and small businesses, discussing the trends and innovations in bookkeeping technology. Lastly, we'll answer some frequently asked questions about bookkeeping. By the end of this post, you'll clearly understand bookkeeping for small businesses and how Thriday can help you automate your bookkeeping hassle-free.

Do you need a bookkeeper for your small business? 

Bookkeeping can be time-consuming, especially for small business owners juggling multiple tasks. Hiring a bookkeeper can free up your time and allow you to focus on growing your business. Here are some benefits of hiring a bookkeeper: 

  • Expertise: A bookkeeper has the knowledge and experience to keep your financial records accurate and up-to-date, ensuring compliance with tax laws and regulations. 
  • Timesaving: A bookkeeper can take care of the day-to-day financial tasks, such as invoicing, bill payments, and bank reconciliations, so that you can focus on other aspects of your business. 
  • Financial insights: A bookkeeper can provide financial reports and insights to help you make informed decisions about your business. 

However, outsourcing bookkeeping might not be feasible if you're a sole trader or have a small business with a limited budget. In that case, consider using automated bookkeeping software. Sole trader bookkeeping involves keeping track of all your financial transactions, including income and expenses, and reconciling bank statements. It's essential to keep accurate records to ensure compliance with tax laws and regulations. 

In the next section, we'll discuss finding a bookkeeper for your small business. 

 

How to find a bookkeeper for your small business? 

If you choose to use a bookkeeper, finding the right bookkeeper for your small business is crucial. Here are some tips to help you find the right fit: 

  • Look for a certified public accountant (CPA): A CPA has passed an exam and met the state requirements to become licensed. They have a deeper understanding of tax laws and regulations, making them a valuable asset for small businesses. 
  • Consider their experience: Look for a bookkeeper who has experience working with small businesses, particularly those in your industry. Ask for references and check their track record. 
  • Check their software proficiency: Ensure your bookkeeper is proficient in your bookkeeping software. If they're not, ask if they're willing to learn. 
  • Communication: Make sure your bookkeeper is easy to communicate with and responds promptly. You'll want to work with someone who understands your business needs and can provide you with the necessary financial insights. 
  • Cost: Consider the cost of outsourcing bookkeeping. Compare bookkeepers and their pricing structures to find the best fit for your budget. 

Once you've found a bookkeeper, it's crucial to establish clear communication and expectations. Please set up a regular schedule for financial reporting and ensure they understand your business goals and objectives. 

In the next section, we'll discuss popular bookkeeping software in Australia. 

 

Can bookkeeping be automated? 

Advancements in technology, cloud computing and AI mean that bookkeeping can largely be automated. Automated bookkeeping software like Thriday uses artificial intelligence (AI) and machine learning (ML) algorithms to perform bookkeeping tasks automatically. 

Automation can save time and reduce the risk of errors. It allows small businesses to focus on core business activities rather than spending time on bookkeeping. However, it's important to note that bookkeeping automation is not a one-size-fits-all solution. 

Automated bookkeeping software is ideal for small businesses with basic accounting needs. It can automatically perform tasks such as data entry, bank reconciliations, and generating financial reports. However, for more complex accounting needs, it may be necessary to seek the assistance of a professional bookkeeper. 

In the next section, we'll discuss how Thriday automates bookkeeping and simplifies the bookkeeping process for small businesses. 

Thriday's all-in-one financial management platform

 

How does Thriday automate bookkeeping? 

Thriday is an automated bookkeeping software explicitly designed for small businesses in Australia. Thriday uses advanced AI and ML algorithms to automate bookkeeping tasks, simplifying the bookkeeping process for small businesses. 

Thriday can automate tasks such as transaction categorisation, receipt reconciliations, accounts payable and generating financial reports. Thriday's software can also detect and correct errors, reducing the risk of errors in financial reporting. 

Thriday offers a user-friendly interface that's easy to navigate. The software integrates with other business apps, making it easy to manage all your financial data in one place. With Thriday, small businesses can access real-time financial information, allowing for better decision-making and planning. 

Thriday's automated bookkeeping software is cost-effective, making it an ideal solution for small businesses on a budget. With Thriday, small businesses can save time and money on bookkeeping tasks, allowing them to focus on core business activities. 

In the next section, we'll discuss the innovation expected in the bookkeeping industry over the coming years. 

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What innovation will bookkeeping see over the coming years? 

The bookkeeping industry is undergoing significant changes due to advancements in technology. Here are some of the innovations expected to shape the future of bookkeeping: 

  • Blockchain Technology: Blockchain technology is expected to revolutionise bookkeeping by offering a secure and transparent way to store financial data. Blockchain technology can also reduce the risk of fraud and errors in financial reporting. 
  • Artificial Intelligence (AI) and Machine Learning (ML): AI and ML algorithms are expected to become more sophisticated, making bookkeeping automation more efficient and accurate. This technology can also detect fraud and errors in financial reporting. 
  • Cloud Computing: Cloud computing has revolutionised the bookkeeping industry by offering small businesses affordable software. As cloud computing technology becomes more advanced, it will continue to make bookkeeping more efficient and accessible for small businesses. 
  • Mobile Bookkeeping: Mobile bookkeeping apps are becoming more popular, allowing small business owners to manage their finances on the go. These apps offer features such as invoicing, expense tracking, and bank reconciliations, making it easy for small businesses to stay on top of their finances. 

As the bookkeeping industry evolves, small businesses must stay up-to-date with technological advancements. In the next section, we'll answer some frequently asked questions about bookkeeping. 

 

Bookkeeping FAQs 

What is bookkeeping? 

Bookkeeping is the process of recording and tracking financial transactions systematically. This process involves recording financial transactions, reconciling bank accounts, generating financial reports, and ensuring compliance with tax laws. 

Why do small businesses need bookkeeping services? 

Small businesses need bookkeeping services to ensure their accurate and up-to-date financial records. Accurate financial records help small businesses make informed decisions, ensure compliance with tax laws, and secure funding. 

What is the difference between a bookkeeper and a CPA? 

A bookkeeper records financial transactions, reconciles bank accounts, and generates financial reports. A CPA (Certified Public Accountant) is a licensed professional who can provide financial advice, prepare tax returns, and perform audits. 

What is an ABN? 

An ABN (Australian Business Number) is a unique identifier for businesses in Australia. 

Can I do my own bookkeeping? 

Yes, small business owners can do their own bookkeeping. However, it can be time-consuming and may require a steep learning curve. Automated bookkeeping software, such as Thriday, can automate the bookkeeping process for small business owners. 

 

Bookkeeping services are essential for small businesses to maintain accurate financial records and make informed decisions. As a small business owner, it's important to understand the benefits of bookkeeping services and the various options available. While traditional bookkeeping services can be expensive and time-consuming, automated bookkeeping software like Thriday offers small business owners an affordable and efficient solution. 

Thriday's automated bookkeeping software simplifies the bookkeeping process by automatically categorising transactions, reconciling bank accounts, and generating financial reports. With Thriday, small business owners can save time and reduce the risk of errors, allowing them to focus on growing their business. 

By choosing Thriday as your bookkeeping software, you can benefit from a user-friendly platform, advanced security measures, and 24/7 customer support. Thriday's software is continually updated to ensure compliance with the latest tax laws and regulations. 

If you're a small business owner looking for a reliable and affordable bookkeeping solution, join Thriday for free today and simplify your bookkeeping process.

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