Bookkeeping
Bookkeeping is the systematic recording, organizing, and managing of financial transactions and records for a business or organization. It is a fundamental aspect of accounting and plays a crucial role in maintaining accurate and up-to-date financial information.
We under Bookkeeping service cover the following key aspects :
Recording Transactions
Recording all financial transactions of a business, including sales, purchases, expenses, revenues, and other financial activities.
Classification and Categorization
Categorizing transactions into relevant accounts based on their nature and purpose, such as income, expenses, assets, liabilities, equity, and cost of goods sold. This classification helps to organize financial data and facilitates financial reporting and analysis.
Maintaining General Ledger
The general ledger is the central repository of all financial transactions recorded by a business. We maintain the general ledger by posting journal entries, reconciling accounts, and ensuring accuracy and completeness in financial records.
Bank Reconciliation
Reconciling bank statements with the company’s financial records to ensure that all transactions are accurately recorded and accounted for. This process helps identify discrepancies, errors, or missing transactions and ensures the integrity of financial data.
Accounts Receivable and Payable
Tracking accounts receivable (amounts owed by customers) and accounts payable (amounts owed to suppliers and creditors) to manage cash flow, monitor outstanding balances for facilitating timely payments and collections.
Financial Reporting
Preparing basic financial reports, such as income statements (profit and loss), balance sheets, and cash flow statements, to provide insights into the financial performance, position, and liquidity of the business. These reports help stakeholders, such as owners, investors, creditors and management, make informed decisions.
Tax Preparation Support
Assisting in preparing financial information required for tax filings, such as income tax returns, sales tax returns, payroll tax returns and other regulatory filings. They ensure compliance with tax laws and regulations and help minimize tax liabilities through proper recordkeeping and reporting.
Overall bookkeeping is essential for businesses to maintain accurate financial records, monitor financial performance, comply with regulatory requirements and make informed financial decisions. It provides the foundation for effective accounting and financial management, enabling businesses to achieve their financial goals and objectives. We at Ezi accounting, help you with all these.