7 Types of Accounting Services Essential for Your Business
Outsourcing accounting services to a third-party provider might seem like a good idea, but finding the right one is challenging. There are many options available, including bookkeeping and tax preparation services, but no two are exactly alike.
Some firms offer a broad range of services, while others specialize in specific accounting fields, like cash flow forecasting or tax planning. In this guide, we break down all the accounting services that are available so you can determine which one is right for your business.
First and foremost, accounting services involve bookkeeping. Bookkeeping is the process of recording and tracking all the monetary transactions that take place in a company during a specific time period. This will include banking transactions and other revenue and expense records.
Bookkeeping services are the most basic form of accounting, and it is absolutely crucial to the success of any company. Without proper bookkeeping, a company will have no way of knowing how much money is flowing in and out of its accounts.
2. Payroll Processing
Payroll is the management of employee funds and retirement distributions. This is generally managed by the employee's HR manager in conjunction with the payroll specialist. A typical payroll process includes issuing payslips, tax statements and employee superannuation statements.
3. Tax Preparation and Planning
Tax Preparation involves the calculation, preparation and submission of a company tax return. While most tax preparation is done by a CPA, some businesses might elect to have a bookkeeper calculate and prepare their tax return.
On the other hand, tax planning involves the planning of future tax payments, whether that be through capital gains or other strategies, to minimize tax liability.
4. Financial Accounting and Reporting
As a growing company, financial accounting and reporting will be a key part of your business. This service helps you to understand the financial health of your company.
Also, it brings together all the financial information
that you have into a report that is easy to read.
5. Forensic Accounting
In the business world, the word accounting is generally associated with bookkeeping, tax preparation, payroll and budgeting. However, forensic accounting is a bit different. This form of accounting is used to investigate and resolve disputes or crimes. In cases where there is fraud or misappropriation of funds, forensic accountants find ways to prove or put forward proof of the fraudulent activities. This requires a lot of evidence, and their duty is to uncover the truth and ensure that justice is served.
6. Cash Flow Forecasting
Cash flow forecasting deals with studying cash inflows and outflows to project the short term and long term financial state of a business. This is a lot more complicated than you might think since every business is different. This is also an essential service because it helps in making sure your business meets the financial goals that it has set out for itself.
Budgeting is one of the most important services you can have if you want to succeed. Proper budgeting will give you a clear idea of how much money you will have in your bank and whether or not you will be able to meet your financial goals. A good budgeting service will also help you determine how much money you will be spending on different aspects of your company, as well as your employees. This will give you a clear idea of your financial future.
All in all, when you're looking for accounting services for business growth, you want to find the best accounting services that suit your business needs. Knowing what accounting services are available for your business will help you make the right decision when you're looking to outsource your accounting services.
Whether you’re a startup or looking to expand your business, New Wave Accounting is here to help you reach your goals. Whether you need tax planning, budgeting, payroll, or bookkeeping services in Gold Coast, our team can do it all for you. Get in touch with us today to book a consultation with our accountants.