If you own a small business, your time spent on book keeping and tax preparation increases dramatically. There are several resources to assist you. Which one you utilize will depend on the size of your business and your own resources.
Simple Bookkeeping Software should be sufficient for a small part time business. You simply need a way to track your revenues and expenses. You may need to upgrade to a better product if you want to issue invoices, track inventory, or manage payroll.
Bookkeepers can be utilized to handle the drudery of your bookkeeping. Their rates are usually very affordable from $25 to $35 per hour. They will come in once or twice a week. They can balance your bank statements, take your deposits to the bank, send invoices to your customers, print P&L reports, or any other functions you agree upon. By investing in a bookkeeper, you can reduce the amount you spend on more expensive Accountants.
Accountants should be utilized to prepare your taxes and for financial advice. When selecting an accountant try to find out
While tax laws are uniform, there are certain industry practices that accountants should be aware of. If you are a painter and the accountant already has several similar contractors, then they will already understand your business. You will not have to spend your time educating them.
Accountants vary by their amount of experience and education. The truth is that you get what you pay for. However if you have a small and fairly simple business, you might not need the most expensive accountant in town to do your taxes.
Payroll Services Companies are very valuable to small businesses. Being a boss would be great if it were not for employees. Once you have employees the amount of regulations and tax paperwork quadruples. Payroll Companies usually have a range of services they can provide. You might need them to simply process your paychecks and file your quarterly tax statements. Some companies might be able to provide benefits or retirement plans to your employees. Some companies will actually offer leasing services, where your employees will work for them, and you hire your employees from the Payroll Company. This can be a valuable strategy for some small businesses. Ask the Payroll Company for details and costs.