Regular book keeping is important to the financial health of your business. Helps to highlight profit making activity, loses and VAT issues early.
For the small business owner, it can often be tempting to just get on with making money and running your business day to day. However, its always going to be a good idea to keeping an eye on your figures and keep your business accounts up to date at all times. In this brief piece we will briefly look at a few of the reasons why.
Business Profitability: You are trading , selling products and services, paying for supplies, giving and receiving credit terms, taking business load , long or short term, question is are you actually making a profit? Regular book keeping is great way measuring this.
VAT registered business: If you are VAT registered , you do need properly written up records to fill out your VAT returns , probably on a quarterly basis. If your VAT returns are late, the penalties can be severe.
Businesses currently Below the VAT Threshold: For businesses doing well but apparently below the VAT threshold, are you aware that you need to check your last 12 months turnover against the existing threshold on a rolling basis. That’s only possible if you keep regular accounts.
Capturing expenses: If you wait till the year end to do your accounts , it often turns out that you cannot recall everything that’s happened and may have lost receipts or never obtained them in the first case, so maintaining regular accounts , perhaps weekly or monthly would help you in this regard.
This accountancy practice in based in North Finchley, In North London would be able to offer our services to assist you in maintaining your accounts throughout the year and welcome inquiries from businesses in North London and the Greater London area.