Why do I need Bookkeeping?
Well there are several answers to this question, but let me give you a few:
- 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.
- 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.
- Good bookkeeping records provide information to allow you to monitor the performance of your business and make informed decisions.
- 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.
- 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.