Management Account and Bookkeeping Services for Small Businesses to Keep Your Books Organized and Balanced

Bookkeeping for small businesses entails keeping track of and organising a company's financial transactions. It is the primary method by which a company's management accountant determines whether or not the business is profitable. The management accountant would be able to keep an eye on the numbers, allowing them to identify financial issues early and address them before they became a full-fledged crisis. Bookkeeping is essential for small businesses to ensure that the owner is not personally liable for any business debts. It also helps the management accountant identify ways to improve or change the process by streamlining tax processes.

Small and medium-sized businesses (SMBs) will need the services of a management accountant, who will record and crunch numbers as well as assist a company with its investments, budgeting, and decision-making. The management accountant, also known as the cost accountant or corporate accountant, assists businesses in budgeting and performing better. The management accountant may be required to manage a variety of accounts in order to prepare income statements, cash flow statements, and balance sheets for this purpose.

A management accountant usually manages the below five types of basic accounts:

Assets: This includes the management of cash and resources owned by a business.

Liabilities: These include the obligations and debts owned by a business.

Expenditure: Also known as expenses, the management accountant will keep a record of the cash that flows out from the business to pay for services, utilities, salaries, and other items.

Revenue or income: It is the money earned by a business, usually through sales.

Equity: It is the value that remains after liabilities are subtracted from assets. Equity represents the business owner’s interest held in the company, such as stocks, and retained earnings.

Each account will be set up as needed by the management accountant, and transactions will be recorded in the appropriate categories. The majority of businesses now use computer software to keep track of their finances. Bookkeeping for small businesses entails creating a general ledger (GL), which can be one of the three types listed below:

·         Spreadsheet software, such as Excel.

·         Desktop accounting bookkeeping software. Example: QuickBooks Desktop.

·         Cloud-based bookkeeping software, e. g., QuickBooks Online, and Wave.

Your personal and business finances will be kept separate by the management accountant who facilitates bookkeeping for small businesses. They will create a budget for tax purposes so that you do not have to pay a large sum all at once. They will neatly organise the records, track your expenses, and keep daily records so that there are no mistakes when filing the returns. It is a good idea to leave an audit trail so that the bookkeeper can quickly retrace a company's financial activities to cross-check.

There are two methods of bookkeeping for small businesses.

Single-entry accounting: Transactions are recorded once, either as expenses, or as income. This entry system is suitable for smaller businesses that don’t have large finances or inventory.

Double-entry accounting: Every transaction is recorded twice, both as a debit, or a credit, to balance the books. Although more complicated, double-entry bookkeeping can effectively prevent errors in recording large transactions.

The bookkeeper providing bookkeeping for small businesses may also have to choose an accounting method that could either be cash-based or accrual-based.

Cash-based accounting: The transactions are recorded when money changes hands. This method doesn’t record invoices or outstanding bills until they have been paid.

Accrual-based accounting: All invoices and bills are recorded even if the funds haven’t been exchanged.

Enabling your business with powerful decision-making

Ascend Solutions provides cost-effective services of management accountants and bookkeeping for small businesses. The company has bookkeeping, cloud business systems, commercial support, and guidance specialists. The company's employees are trained in Xero, QBD, MYOB, NetSuite, and Pronto, as well as a variety of other leading E-commerce platforms and SaaS solutions. Ascend Solutions has provided management accountant and bookkeeping for small businesses services to a wide range of Australian businesses, including Ant Text, QuickBooks Time, ApprovalMax, Xero, Tradify, and many more. Ascend Solutions' high-quality information will provide your company with powerful decision-making capabilities while also reducing end-of-year compliance.

Ascend Solutions has created various packages for management accountant services and small business bookkeeping. Through its virtual office network, the company provides Entrepreneur, Rising Star, Virtual CFO, and Custom packages to SMBs in Australia and international clients.

Different packages for different needs

Each plan includes a different set of services. The Entrepreneur plan includes quarterly performance reporting, a secure client portal, and invoices that are matched to customer payments. The Rising Star plan includes comprehensive process mapping, a system review and cloud integration consultation, annual PAYGW payment summaries, and customised monthly management reports. The Virtual CFO plan includes a dedicated CFO (Chief Financial Officer) who will act as your white-labeled accountant team, management accountant service for payroll for up to 25 employees, in-depth analysis and recommendations monthly reports, and more. You can consider the company's Custom package for additional services such as cloud software setup, training, advisory, and rental property schedules.