3 big bookkeeping challenges and how to overcome them

Bookkeeping - 03/02/2022

Bookkeeping comes with its fair share of challenges. Making sure things are accurate, up-to-date and secure can be difficult to keep on top of, especially if you’ve got all the other aspects of your business to worry about.

Today we’re talking through 3 big bookkeeping challenges and possible solutions.

Irregular financial reports

Having financial reports that don’t match up is a huge problem for  small businesses. 

Without a clear, accurate picture of your financial situation, you won’t be able to spot problems or risks. By the time you do, the damage might already be done.

There are a number of ways you can make things a bit easier. Investing in automated software is a big one. With digital accounting systems, you’ll minimise risk from human error. Your reports will be stored more securely, managed more efficiently and done much more accurately. 

It just takes the proper training to make sure you’re using the system correctly. Numero can help.

Cash flow management

Cash flow throws light on the total amount of liquid cash available for conducting business operations smoothly. Managing this is a major challenge for most small and mid-sized firms.

To stay on top of cash-flow management, you need to be completely on it with your accounts. Analyse your bills carefully, chase up late payments from clients. Make sure you have the full picture when it comes to your finances.

If you’re not an expert, it can be tricky to know if you’re doing all that correctly. Try asking yourself some of the following questions:

• Are you keeping on top of expenses?
• Are you keeping track of recurring expenses and the value of their ROI?
• Do you have a contingency budget?

If you’re struggling to manage cash flow, it can lead to all sorts of complications down the line. Payroll, paying expenses, debt management; these are all potential problems if you don’t have enough cash to keep things afloat.

Time management

Managing time is a real challenge for business owners who are wearing several hats at once. You’re trying to keep clients happy, manage a team, network and all the rest. On top of that, the accounts need to get done.

If you’re not careful, it won’t take long before you’re working overtime, all the time. Or worse, if you’re not managing your time properly, you could end up missing deadlines and losing clients.

Outsourced accounts management solutions

One of the easiest solutions to all of these challenges is to outsource your accounts. Your finances are kept safe and secure in the hands of an expert. 

Numero gives you advice on how to best manage your cash flow, invoicing, payroll and expenses. We’re specialists in automated software systems such as Xero and LEAP, and offer training services in both. Not to mention the time and stress you can save by delegating your bookkeeping to someone who knows the ins and outs of the profession. 

It’s a win-win. You can focus completely on the management of your business, without being bogged down by your bookkeeping. 

Want to find out more about working with us? Give us a call today.