Running a small business involves many tasks, from managing clients to ensuring financial stability. One key player who helps keep everything running smoothly is the bookkeeper.
But what does a bookkeeper do for a small business exactly? In this blog post, we’ll break down a bookkeeper’s essential roles and tasks, helping you understand how they contribute to your business’s financial health and growth.
Let’s get straight to the point
A bookkeeper is essential for managing a small business’s financial health. They track daily transactions, manage invoices, and handle accounts receivable to maintain cash flow.
Many bookkeepers use QuickBooks, and those certified as QuickBooks ProAdvisors bring added expertise, leveraging QuickBooks tools to streamline payroll, time tracking, and financial processes. QuickBooks certification ensures a bookkeeper has advanced skills, which can improve efficiency, reduce errors, and support compliance.
For small businesses, hiring a certified bookkeeper or subscribing to QuickBooks offers valuable tools to handle bookkeeping effectively.
The Role of a Bookkeeper in Small Business
Bookkeepers play a crucial role in maintaining accurate and up-to-date financial records. They manage the day-to-day financial transactions that keep your business running smoothly.
But beyond the basics, what exactly does a bookkeeper do for a small business?
1. Tracking Daily Transactions
One of the bookkeeper’s most important responsibilities is tracking daily financial transactions. This includes recording every sale, purchase, and expense your business incurs.
Bookkeepers ensure your accounts are always current using tools like QuickBooks Online Accountant. QuickBooks is particularly beneficial due to features like daily automatic bank feeds, which help maintain accurate records with minimal manual entry.
2. Managing Invoices and Accounts Receivable
Bookkeepers are responsible for creating and sending invoices to clients and managing the accounts receivable ledger. They ensure timely invoices are paid and follow up on any overdue payments.
A well-organised invoicing system is vital for maintaining healthy cash flow and being a lifeline for small businesses.
The Importance of Certification: Certified QuickBooks ProAdvisor
Bookkeeping today often involves specialised software, with QuickBooks being the industry standard. Many bookkeepers become Certified QuickBooks ProAdvisor, ensuring they have the expertise to maximise the software’s potential.
1. What Is QuickBooks ProAdvisor Certification?
The QuickBooks ProAdvisor certification program is designed for accountants and bookkeepers who want to enhance their skills in using QuickBooks. By completing the certification exam, a bookkeeper proves their proficiency and becomes a certified QuickBooks professional.
2. How to Get Certified and the Benefits
To become a Certified QuickBooks ProAdvisor, bookkeepers must undergo certification training, which includes a thorough understanding of QuickBooks Online features and tools. The program offers various levels of certification, from QuickBooks Online Simple Start to QuickBooks Online Advanced.
The free certification course offers live training, ensuring bookkeepers stay updated with the latest features and functionalities.
Using QuickBooks: Essential Tools for Bookkeepers
When we discuss what a bookkeeper does for a small business, QuickBooks is a must. This accounting software simplifies many bookkeeping tasks and offers solutions for businesses of all sizes.
1. QuickBooks Online Accountant
QuickBooks Online Accountant is tailored for bookkeepers and accountants managing multiple clients. With a subscription to QuickBooks Online, professionals gain access to advanced tools and features.
Bookkeepers can find resources and training within the QuickBooks ProAdvisor Program, which helps them maintain their certification and stay updated on QuickBooks product developments.
2. QuickBooks Payroll and QuickBooks Time
Managing payroll can be complex, but QuickBooks Payroll paired with QuickBooks Time makes it easier. These tools help bookkeepers manage employee hours, automate payroll processes, and track time accurately.
Integrating QuickBooks Payroll and QuickBooks Time ensures small businesses can handle payroll efficiently, avoiding costly errors and maintaining compliance.
3. QuickBooks Certification Program for Accountants
The QuickBooks certification program isn’t just for beginners. Advanced users can pursue QuickBooks Online Advanced Certification, gaining deeper expertise.
This advanced level benefits bookkeepers who want to certify their skills and offer a more comprehensive service to their clients. Completing these programs grants bookkeepers a spot in the Find-a-ProAdvisor Online Directory, making it easier for businesses to locate certified professionals.
Why Should Small Businesses Get QuickBooks Certified Bookkeepers?
Hiring a bookkeeper with QuickBooks certification ensures your business is in capable hands. Certified professionals have undergone rigorous certification training and passed the certification exam, proving their knowledge and ability to handle small business finances effectively.
1. Free QuickBooks Training and Resources
One of the benefits of the QuickBooks ProAdvisor Program is access to free training resources. These resources help bookkeepers stay sharp and up-to-date, whether they are just starting out or looking to enhance their expertise further.
Additionally, bookkeepers can offer clients free trials of QuickBooks products, helping them determine which solutions best fit their business needs.
Getting Started with QuickBooks Online: What Small Businesses Need to Know
Subscribing to QuickBooks Online is a good first step for small business owners who want to handle some bookkeeping themselves. QuickBooks Online Essentials or QuickBooks Online Plus provides the tools to manage basic bookkeeping tasks.
Businesses can also choose QuickBooks Self-Employed and QuickBooks Payroll packages to suit specific needs.
1. QuickBooks Subscription and Price
The price for QuickBooks varies depending on the subscription level. Plans range from QuickBooks Online Essentials to QuickBooks Online Plus, offering different features based on your business’s size and needs.
A monthly subscription is also available, allowing businesses to scale their bookkeeping tools as they grow.
2. QuickBooks Certified Bookkeepers Are Worth the Investment
Choosing a certified QuickBooks bookkeeper can save small businesses time, reduce errors, and provide peace of mind. With their certification, they offer more than just basic bookkeeping—they bring an in-depth understanding of optimising financial processes using QuickBooks.
Conclusion
From handling daily transactions to navigating complex payroll systems with tools like QuickBooks Time, a bookkeeper plays a vital role in the success of a small business. By becoming certified QuickBooks professionals, bookkeepers can offer even greater value, making them indispensable partners for small business owners.
If you’re considering hiring a bookkeeper, look for one with QuickBooks ProAdvisor certification—it’s a wise investment in your business’s financial health. In summary, whether you’re looking to handle your bookkeeping or hire a professional, understanding the importance of certified bookkeeping services can significantly affect how smoothly your business runs.
Don’t hesitate to get certified or invest in QuickBooks training—the benefits for your business are well worth it.
FAQs
What Are The Main Responsibilities Of A Bookkeeper For A Small Business?
A bookkeeper manages daily financial transactions, tracks income and expenses, prepares invoices, manages accounts receivable, and ensures accurate records for tax compliance.
How Does A Bookkeeper Help With Cash Flow Management?
By recording transactions promptly, monitoring accounts receivable, and following up on overdue invoices, bookkeepers maintain steady cash flow, helping small businesses avoid financial strain.
Is It Beneficial To Hire A Quickbooks-Certified Bookkeeper?
Yes, a QuickBooks-certified bookkeeper has advanced training in QuickBooks software, allowing them to streamline processes, reduce errors, and optimize financial management for your business.
Can A Bookkeeper Handle Payroll For My Small Business?
Absolutely. Many bookkeepers use tools like QuickBooks Payroll to manage employee hours, automate payroll, and ensure tax compliance, saving time and reducing payroll errors.
Do Bookkeepers Provide Tax Preparation Services?
While bookkeepers don’t typically file taxes, they maintain accurate financial records, making it easier for accountants to prepare and file taxes at year-end. Some may also assist with BAS preparation in Australia.
