A Brief Guide To Virtual Bookkeeping
Business owners are always looking for ways to change how their business runs to make it more efficient. One of the solutions that you should consider is virtual bookkeeping. If you are skeptical about this, you need to know what virtual bookkeeping is, how it works and how it can positively impact your business.
What Is Virtual Bookkeeping?
As the name suggests, virtual bookkeeping allows your accountant or bookkeeper to provide their services remotely. They will not be in your office building, but will still be able to complete all of the financial work that your business requires.
How Virtual Bookkeeping Works
Knowing what virtual bookkeeping will be a good start, but you need to know how this works. Virtual bookkeeping works similarly to normal bookkeeping where the bookkeeper will post financial transactions to the accounting software. The primary difference is that this will be done through virtual and remote access instead of direct access from your office.
To enable virtual bookkeeping, you will need to grant the bookkeeper remote access to the business server. Using this access, the bookkeeper will be able to log into the different software and files that are needed. The connection will come from a secure source such as a company laptop or desktop which has been provided to the bookkeeper.
With the advent of cloud-based software, virtual bookkeeping has become easier. To enable cloud-based virtual bookkeeping, your business will need to purchase cloud-based accounting software. There are some options on the market, and most of the big brand accounting software providers will have cloud-based solutions as well. Once you have this software, you can provide the bookkeeping with a log-in which they can use to complete their work.
The Business Benefits
The primary benefit that businesses have with virtual bookkeeping is the lower costs involved. Virtual bookkeepers do not require space in your office so you can look at smaller premises. Additionally, if you are a small startup, you will not have to look for offices at all when you have a virtual bookkeeper.
Virtual bookkeepers can also be hired as independent contractors which means that you will not have to provide benefits, employment taxes, and insurance. Additionally, you will only be paying for the time that they spend working on your accounts which will be less than the salary of a full-time bookkeeper. The flexibility of these bookkeepers is also helpful for businesses that have fluctuating financial needs.
The Benefits For Bookkeepers
When hiring virtual bookkeepers, it is not only your business that benefits. There are some benefits for the bookkeeper as well that you should consider. The flexibility of being able to work from home is one of the primary benefits. This is something that is very helpful for parents or people who have disabilities.
There are also financial benefits for virtual bookkeepers such as no commuting costs. Ambitious virtual bookkeepers are also able to work for some different companies during the day. As long as the work for the company is done, there is no reason why they cannot take on new clients.
Finding Virtual Bookkeepers
There are many virtual bookkeepers offering their services online. Of course, before you hire a virtual bookkeeper, you need to ensure that they are properly qualified. You should also ask them about their experience in bookkeeping and how long they have been working virtually.
If you already have a bookkeeper, you might want to find out if they would be open to working remotely. There are many part-time bookkeepers who would be happy to continue working for your business without having to go to the office every day.