Why Do I Need Bookkeeping?

Why do I need Bookkeeping?

Well there are several answers to this question, but let me give you a few:

  1. Probably the most important reason, if you run a business in Australia, it is a legal requirement.  By law, the Australian Taxation Office (ATO) requires you to keep certain business records and penalties may apply if you do not comply.
  2. If you maintain good bookkeeping records, it will be easier and faster to complete your business activity statements (BAS or IAS) and other tax obligations when they are due.
  3. Good bookkeeping records provide information to allow you to monitor the performance of your business and make informed decisions.
  4. It makes it easier to maintain your creditors and debtors when your bookkeeping records are up to date this ensures you aren’t paying a supplier twice or that your customers are paying on time.  This all helps with the health of your business.
  5. It can actually SAVE YOU MONEY, by having bookkeeping systems in place, you can find your financial information much quicker and this will save you time and ultimately, money.