Bookkeeping is an essential part of running a business. But many companies ask themselves, “Why hire a bookkeeper?” Here is what a virtual Bookkeeper is and why hiring one for your business saves you time, and money and helps you grow your business.
No matter how big or small, a business needs to have a reliable, trustworthy, and knowledgeable Bookkeeper. A virtual Bookkeeper might sound out of the ordinary. However, this type of service has gained popularity over the last several years, especially since the pandemic.
Virtual bookkeeping does not mean downloading accounting software. You also must spend time inputting data and worrying that it’s accurate. These are tasks that a bookkeeper can handle for you. As a business owner, you might even find yourself rushing at the end of the year to ensure your books are accurate for tax season or audits.
Having up-to-date books is crucial because it shows you where your business is financially and what you can do to boost your sales or cut costs. Keeping up-to-date books is the primary task of a bookkeeper, this makes them an invaluable resource for your business. Here are some of the biggest benefits of a virtual Bookkeeper.
1. Up-to-date books – With the help of cloud software like QuickBooks, virtual Bookkeepers can be given online access to your bank statements, receipts, and invoices, allowing them to update your books quickly and without having to wait for paper documents.
2. Accurate financial reporting – use a program like QuickBooks Online or Xero to integrate labour-saving applications like:
- Dext Prepare (to capture information on receipts and invoices)
- Wagepoint (efficiency in payroll processing)
Using the above-mentioned software lets virtual Bookkeepers spend less time on manual data entry, which improves accuracy. You will also gain better visibility into your cash flow and business performance via real-time access to your books through a web or mobile app. This will help you in making better-educated decisions from the monthly financial statements generated by your online Bookkeeper.
3. Greater flexibility and cost savings – Virtual bookkeeping provides the flexibility to work with accounting professionals outside your geographical area, making it easier to find the right fit for your needs and your budget. Hiring an in-house Bookkeeper might not be the economical choice in terms of overhead, payroll deduction costs and benefits, and salary. The average salary of an in-house Bookkeeper in Canada varies between $52,000 to $99,480 per year.
In hiring a virtual Bookkeeper in Canada, you will save thousands of dollars. With VEA, you pay only for the bookkeeping services your business requires. As your transactions or accounting complexity grow, VEA’s virtual Bookkeepers can provide a wider range of expertise and a broader scope of virtual bookkeeping services. Because virtual Bookkeepers tend to handle a lot of clients at once to make a living, our VEA Bookkeepers have vast amounts of experience. So, you are not only saving money, but you’re getting a team of efficient Bookkeepers to help you run your business.
4. More time to grow your business – Hiring a virtual Bookkeeper gives you time to focus on your business. It also means less time to train and manage the in-house Bookkeepers. A virtual Bookkeeper is not part of the staff, eliminating the need to have another person on payroll and benefits. On average, hiring a virtual Bookkeeper will significantly cut your costs of having an in-house Bookkeeper.
5. Safety – Many people worry about letting their financial information go outside the office. But the fact of the matter is that remote bookkeeping is safe. All your data is placed on secure servers. System admins update their security software very frequently. Your information will be secure and encrypted, to help protect you from any compromising situations.
Keeping information on a secure server also means that it can be shared more securely between people and will be safe from any accidents or issues that stem from computer malfunctions or theft. Your information is much safer on secure servers than on your desktop
6. Additional Benefits – In addition to the great benefits a virtual Bookkeeper already has, is that you will also be able to get rid of the clutter and go paperless. Going paperless can be a daunting task, but having your invoices, contracts, payroll, ledgers, and accounts all available online will save you time, money, and space. Pulling any report, looking at vendors, customer listings, invoices, etc., right on the computer in a matter of seconds. Did you know that on average, paperwork takes up about 50% of space in an office? Maximize the efficiency of your area by getting rid of the clutter and going virtual. You will save money just on the cost of paper and supplies, which reduces overhead costs and maximize your profits.
VEA’s Professional Service can provide you with the virtual bookkeeping and payroll experts you need to keep your business up-to-date, organized, and running as efficiently as possible. Bookkeepers save time & money when the books are accurate and precise, which saves on accountant fees at year-end, which leaves more money in your pocket and ultimately, gives you peace of mind.
Learn more about our virtual Bookkeeping services here