The word accounting covers an entire spectrum of services. Wikipedia defines accounting as the production of financial records a good organization. The principles of accountancy they fit on accounting, finance, bookkeeping, and auditing. Accounting was initially found in Mesopotamia, where individuals used accounting techniques to record the development of crops and herds. Over thousands of years it has grown into the complex systems that we see right now to match the needs of businesses, governments and financial institutions.
Why don’t we take a look at what makes accounting and Kent Street Bookkeeper different. Both of them are worried about the financial accounting from the company. However, that is in which the likeness ends.
While using metaphor of a tree, Kent Street Bookkeeper is the roots from the tree.
They offer the inspiration of creating a good audit trail during the day to day financial operations from the company. These activities would come with:
- Recording from the day-to-day financial transactions of an organization
- Setting up a sound financial filing system, in line with the set standards of either
- Double or single entry bookkeeping
- Reconciling cash accounts and bringing all ledgers for the trial balance stage
- Offering the business owner cash flow and cost information to assist them to
- Support and grow their business
- Reviewing data and categorization for all to hand to the accountant
Accountants are the trees. They go ahead and take information the bookkeepers provide and make reports and analysis to help the organization to acquire financing, convey a value on their own business, arrange for the long run, and prepare for tax reporting. The term “accountant” originates from in France they word “computer” which means to count or score. Accountants often assist business owners for making decisions of what the category of business they wish to create – sole proprietor, corporation, limited liability corporation, partnership, etc.
Kent Street Bookkeeper from the tree would be the quantity of accounting services open to help with personal and business financial planning. Some of these would come with: tax preparation, cost accountants, business valuation, and forensic accounting.
For just about any small business owner, utilizing a bookkeeper regularly is an important step. These give them an excellent foundation (instead of maintaining your receipts in the box) and save them profit the long run. Many business owners today decide on their very own bookkeeping, employing a spreadsheet system or software. This can be a fine plan as long as the very best training is provided so they comprehend the basics of bookkeeping as well as the functioning from the software.