Bookkeeping and Record Keeping Basics

Proper bookkeeping is extremely important for the success of a business. If you do not do that, you’d be wasting your money. You’d also not be able to expand your business. The reason why you should design a proper bookkeeping routine is that bookkeeping enables you to manage your business and lets the tax agencies know about your business activity.

Bookkeeping softwares are used by some small scale companies to keep records of their accounts and financial dealings. You can also do that but to you have to be sure that it’s saving you time and you can focus on running your business. It happens that bookkeeping can be more efficiently handled on paper than on bookkeeping softwares that may not be that reliable.

For this purpose, you could hire a bookkeeper. I say, it’s best to hire an efficient bookkeeper for your business because this way you’d have someone to take care of all the financial records for you and help you understand everything about your business records. I have a few tips to give you on hiring a reliable bookkeeper.

Tips on Hiring a Bookkeeper

Unprofessional bookkeepers can cause serious damages to your business. You’d need to be sure that the person you’re hiring is able and can handle your accounts and financial dealings with responsibility. You’d need to know the following things before you hire a bookkeeper.

● First thing you should know is if your bookkeeper Melbourne has enough experience bookkeeping for businesses like yours. He should have a certificate IV in financial services. Professional bookkeepers are a member of one of the many Bookkeeping Associations in Australia.

● Your bookkeeper Melbourne should be able to create easy to comprehend financial reports.
● Make sure that your bookkeeper is comfortable with your accounting system. If not, do not work with him.
● Whether you need a part-time service or a full-time service, you should hire bookkeepers according to your need.
● See if he has a proper insurance or not.
● See how’s his review history. Reviews are not entirely reliable. But it’s okay to still look into them.
● Know where your bookkeeper Melbourne wants to work. Onsite, offsite or remotely.
● Be clear on what you want to pay him.

Your bookkeeper will keep the following basic records of your business for you while you concentrate on running and expanding it.

1. Revenues and Expenses

Your bookkeeper Melbourne would keep a revenue and expenses journal or a ledger to keep a record of the amount of money coming in, and going out and where it is going.continue reading…

2. Cash Expenditures

Bookkeepers account for the amount of capital spent on your business every year. There are two ways to do that. 1) Write a reimbursable cheque or 2)Keep a cash record.

3. Inventory Records

Keeping your inventory records saves you from pilferage. It also helps you keep track of buying trends.


4. Accounts Receivable

This depends on how and when your customers pay you. If they pay you at the time of the delivery of the item, there’s no need of a accounts receivable tracking system. But it they are supposed to pay you later sometime, this is a must! This system helps you keep the history of what your customers owe you.

5. Accounts Payable

In easy words, it’s the opposite of accounts receivable. Keeping a record of what you owe and until what date helps create good credit.
You can look into the webiste, for the best bookkeepers in Melbourne.

The Online Bookkeeping Service System

It is getting more and more popular to start using the online bookkeeping service system like to do the books of any business. However, there’s still a few business owners that aren’t aware of this system that can be used instead of hiring a bookkeeper that will work in your business. The online bookkeeping service system is really beneficial to any type of business. Here’s some more information about the online bookkeeping service system that every business owner should know about. Click here to read more info about Online Bookkeeping Service.

What is the online bookkeeping service system?

Bookkeeping is where someone makes sure that all the books are updated of a business. Without a bookkeeper no business can function. You can hire someone that you’re paying a salary for, to do your books on a daily basis, or you can hire an online bookkeeping service that will do the bookkeeping for you.

Normally these bookkeepers in Melbourne are extremely qualified, and you won’t be able to afford the salary when you’re hiring a bookkeeper with the same qualifications as bookkeepers in an online bookkeeping service.

At the moment, there’s many people and business owners that are still not making use of these online bookkeeping services for maintaining their business’s books.

The benefits of making use of an online bookkeeping service system

There’s many benefits that you need to be aware of, when you’re hiring an online bookkeeping service system for doing your business’s books. If you’re wanting your business to succeed and have the best possible experienced bookkeeper, then you should consider hiring these services. Here are some of the other important benefits that you need to be aware of, if you still don’t make use of these services: Read more at

Your business will save money, because you don’t need to pay a salary to a bookkeeper in Melbourne, you will just need to pay for the services of the online bookkeeping service.

The Online Bookkeeping Service System

You will also save money if buying the right equipment and software for your bookkeeper and to send your bookkeeper on training.

You will have more time to spend on the things that’s really important; to make your business a huge success and to let the business grow.

You don’t have to worry about tax returns and meeting the deadline. This will be the work of the online bookkeeping service.

You will have expert advice right at your fingertips, for when you need any advice about your bookkeeping of your business.

Hiring a bookkeeper to work at your business, can cost the business lots of money, because experienced and qualified bookkeepers are not cheap. The more experience a bookkeeper is, the higher their salaries will be. However, if you’re making use of the online bookkeeping system, you will the expertise and qualified bookkeeper that will maintain the business’s books, without spending a lot of money on a salary. You will even be able to save some time and money, by making use of these online services. You don’t need to pay high salaries for a bookkeeper in Melbourne if you are in need of a bookkeeper, you can just hire an online bookkeeping service, for all your bookkeeping needs.