With so many different accounting roles within a business, it can be difficult to distinguish the duties of each. If your company employs a bookkeeper, do you still need the services of an accountant; and if your business has a lead controller, does it still need a bookkeeper?
Here we take a look at the role of a bookkeeper, how this function differs from that of an accountant, and which of these functions are best suited to the needs of your business.
Bookkeepers play a crucial role in the accounting side of a business, not only are they responsible for providing accurate and current financial information about a business, but they also assist accountants to prepare financial reports that enable business owners’ decision-making.
While bookkeepers and accountants work closely together and one could perform duties in the absence of the other, a bookkeeper’s role is administrative in that it oversees day-to-day transactions and is largely concerned with record-keeping.
An accountant plays a more subjective role in his/her ability to provide financial insights by studying and interpreting the data a bookkeeper provides. An accountant can typically be considered a bookkeeper if a business requires them to double up on their functionality, but a bookkeeper cannot play an accounting role without the proper certification.
While a bookkeeper and accountant can perform the same functions it is important to consider the financial needs of your business, as well as your business budget when deciding which role to recruit within your company. It is also important to note that employing the services of a bookkeeper or accountant, doesn’t automatically mean that your business has a certified tax agent.
With reliable accounting software, many of your business’s bookkeeping functions can be automated, but you would still require the expertise of either a professional bookkeeper or accountant to discern and decipher the figures, depending on your business needs.
Your business has specific issues and needs that your bookkeeping software needs to be able to handle. In fact, when you’re using the right software, you can move beyond compartmentalized business data.
You know you’re using the right software when your finances, sales, marketing, and operations data is integrated to give you a clear picture of your company’s financial health. Your data should also be easy to find and use.
If not, talk to us about choosing and integrating the best solution for your business. Our accounting services can be adjusted to suit your specific needs – and we know how important the right software is for business growth.
We also have CFOs on our team to assist you with business growth when you’re ready to make the most of your business’ potential.
We are outsourced bookkeepers, CFOs, and entrepreneurs who are passionate about offering our clients a lasting relationship to help their business grow.