One thing that all businesses need is a sound financial recording team. The transactions that occur when running a business must be thoroughly documented. This documentation must be easily accessible for any official request that can be made by external bodies. The financial conduct authority, if the business is finance based, or the HMRC, are just two examples of regulatory organisations that need to know how a business is performing for tax and due diligence reasons.
The general public may well see bookkeeping and accounting as exactly the same thing. However this is not the case. The bookkeeper must ensure that everything is recorded correctly and properly. They must also ensure that the accounts are readable and understandable to any person that needs to access them. They take into account all invoices and or receipts so that a figure or profit can be assessed at the end of the year. Without this quiet skill businesses will not be able to function properly. It’s why Bookkeepers Brentwood based yourbookkeepers.co.uk/bookkeepers-near-me/brentwood are worth a call.
It is the role of the accountant to make the assessment of the profit and turnover so that they can make appropriate recommendations to the business leaders for the next coming year. The accountant will not process the books themselves. Their role is to provide financial guidance and positioning on market strengths to the business owner so that they can make decisions that will further the business it calls and develop its long-term strategy. This requires both a bookkeeper and the accountant to work in sync and tandem for long periods.
