Any business needs bookkeeping—it helps in managing finances. Bookkeeping services will keep your company's financial health in check, from paying bills, and tax preparations, to simply generating basic financial statements.
Larger companies and businesses can typically employ in-house bookkeepers. However, this isn't the case for small businesses. Small business owners, especially during the early days of the business, cannot afford to employ much in-house staff. So, how do businesses get bookkeeping services without worrying about the high costs of employing a bookkeeper?
In this article, we’ll narrow down the choices for you. So, take a look at the options you have for remote bookkeeping services.
Virtual Bookkeeping Services
Thanks to technology, bookkeeping services are now available virtually.
Virtual bookkeeping businesses specialize in remote bookkeeping services. They can work with you by relying on the financial data you send them online. By using virtual bookkeeping services, you are hiring the services of an outsourced bookkeeper.
Transacting with a virtual bookkeeping business does not mean that a computer will do the job for you. The people working behind an online bookkeeping business are freelance bookkeepers—not just automated bookkeeping software.
With this service, the bookkeeping company will assign a virtual bookkeeper to look after your business. The bookkeeper assigned to you will be the one responsible for overseeing your transactions and recording them for you, and they will also be the one who will explain everything to you. These bookkeepers are responsible for your business throughout your subscription or contract.
Just like an on-site bookkeeper that other companies employ, they can prepare various financial documents for you. These include payroll integration, cash flow statements, tax preparation services, and more, depending on the services you subscribe to.
Your bookkeeper needs to obtain your financial data for them to examine. This shouldn't be a problem despite the remote setup. You may consider multiple choices when trying to integrate your financial data into the bookkeeper's computer. You may try:
- Connecting Computers: You may connect your computer directly to your virtual bookkeeper's computer so you can avoid the hassle of having to send everything to them manually.
- Using Cloud-Based Accounting Software: Online bookkeeping software may help you and your bookkeeper smoothly transfer financial data. By using accounting software, automatic syncing of transactions is possible. Choose software that you can afford. Bookkeeping software subscriptions will add to your expenses on top of your payment for a virtual bookkeeper.
If you have the time and knowledge, then bookkeeping software may suffice for your needs. Bookkeeping software can help you record financial transactions and keep them organized. For example, with bookkeeping software, you may sync your business bank account and bank cards, and it will record and categorize the transactions automatically for you.
Here are some of our recommended bookkeeping platforms.
QuickBooks Online is one of the most reputable bookkeeping software used by businesses of different sizes. This software is scalable to the needs of your business. With an industry-specific solution, QuickBooks Online will be able to adapt to the nature of your business—be it wholesale, nonprofit, contractual, retail, or others.
This software is perfect for small businesses as it does not require a lot of staff to run it, and they can do it with minimal training.
Bookkeepers with their own bookkeeping businesses also find this software helpful as it eases the transfer of data and communication between them and their clients.
One of the key selling points of this software is its ability to integrate over 1,000 apps, making it convenient and accessible for business owners to oversee their finances anywhere. Xero is perfect for small businesses due to its affordable price and collaborative features available at a low price point.
Xero also automatically matches the transactions you enter on the app and your bank transactions, though you must still cross-check and confirm.
If your business needs an inventory management system, we recommend Xero. Inventory management is available across all plans and with no additional costs.
However, Xero currently has limited customer service support. You may only reach them through their online support channel. Although they may call you if they deem it necessary, there are no phone lines open to their clients. Consider this when hiring a bookkeeper for your business: ensure they have sufficient bookkeeping software management knowledge and basic computer skills to use this app efficiently.
Zoho is another impressive bookkeeping software that is perfect for small businesses. It offers the basic bookkeeping features you need with a very accessible and easy-to-navigate interface.
Zoho Books is perfect for small business owners with little bookkeeping knowledge who would like to do bookkeeping tasks by themselves. All you need is to understand what has to be done in bookkeeping and let the software do the rest for you.
From keeping you on top of your finances by sending invoices and tracking your bills and expenses to safekeeping organized and categorized reports for your business, Zoho Books can ease the workloads of bookkeeping. Zoho also offers excellent customer service support and a beginner-friendly interface, making it attractive for small business owners on a budget.
Fathom is an accounting software that offers multiple features such as different analyses, financial statements, performance metrics, and more. All of its features are available in all its packages.
Fathom is unique in that it allows unlimited users to collaborate and use its features, even with the lowest subscription fee. Their pricing depends on the number of companies you would like to include. They also offer custom plans upon request.
One of its key features is it allows clients to see how changes and movements in their finances will affect each other with the "What If" scenario analysis. This is especially useful for small business owners who want to see a forecast with little knowledge of finance.
These apps are all amazing in their own ways. However, here are the things to consider when subscribing to one:
- Do you have a team of bookkeepers or finance-related staff that has to share the bookkeeping software? Then you might want to consider the collaborative features of the app you are purchasing.
- Check how the bookkeeping software provider stores your company's data. Choose a reputable software that has no security issues.
- If you are on a budget, consider getting the bookkeeping software that offers what you need exactly. Applications offer different price packages that include different features. Consider subscribing to one that is just right for your business.
- If your bookkeeping knowledge is limited, consider subscribing to a bookkeeping platform that provides excellent customer care. Find one that is responsive to their client's queries and has the expertise to cater to your concerns. Some bookkeeping software companies have certified bookkeepers to address clients' concerns.
- Overall, ensure that the bookkeeping software you choose is adaptable to your company's needs. Pick the bookkeeping software worth the money, and maximize the use of it for better financial monitoring for your business.
Benefits of Remote Bookkeeping Software
Due to its online nature, some might mistake virtual bookkeeping services as something exclusive for online businesses. Any business can subscribe to a virtual bookkeeping firm.
Remote and digital bookkeeping businesses help small business owners reduce costs. The usual in-house bookkeeper will require an hourly rate, benefits, office equipment, and more.
Opting for remote bookkeeping will allow you to minimize costs and help you ensure that your books are up-to-date. The virtual transmission of data also saves time waiting for paper documents to be ready. In addition, bookkeeping software and services are mostly cloud-based. This technology allows you to save and integrate data online, making it convenient and secure for remote use.
By using remote bookkeeping software, you also ensure more accurate financial reporting. The software is built to have less room for errors. With the minimal need for manual entries, man-made errors are also minimized; bookkeeping software typically has an integration feature that lets you record transactions automatically.
Should I Opt for Remote Bookkeeping Services?
Remote bookkeeping services save businesses the time and hassle of going through manual bookkeeping. It can also bring down costs for your business. However, suppose bookkeeping is not your expertise. If you do not have the budget and cannot accommodate a bookkeeper in your office space, you should outsource a bookkeeper for your company.
Here at Unloop, your business finances are in good hands. We value the security of your data as much as we value your finances. Unloop offers various bookkeeping services, from bookkeeping tasks, advisory services, tax advice, and tax filing, to the preparation of financial statements.
Achieve sound financial planning with the help of our qualified remote bookkeepers. Book a call with us today to learn more about our services.