What is Bookkeeping in simple terms ?
Bookkeeping is like organizing your closet but instead of clothes, you’re organizing all the money your business makes and spends. Just like you’d put shirts on one shelf and pants on another, in bookkeeping, you sort your income, expenses, and bills into the right categories. It helps you know what you have, what’s missing, and what needs attention so your business stays tidy, clear, and under control.
I am just starting business or my transactions are less, do I need to do Bookkeeping ?
Yes, bookkeeping is a must, even if you don’t need a bookkeeper right now. Keeping track of your income and expenses from day one helps you:
Stay organized
Catch every tax deduction
Understand if you’re making a profit or not
You don’t need to hire anyone or buy fancy software a simple notebook or spreadsheet is enough to get started. Think of it like brushing your teeth even if you don’t go to the dentist every day, you still have to take care of them regularly!
What tools should I use to track my Books ?
It depends on your business and what you’re comfortable with.
A solo freelancer might only need a simple spreadsheet, while a retail store may need software that tracks sales, inventory, and payments.
Here are a few options to consider:
Spreadsheets – Great for simple tracking and beginners
Wave – A free, user-friendly accounting tool for small businesses
QuickBooks Online / Xero – Powerful options for growing businesses
Not sure what’s right for you? We’re here to help you pick the best fit based on how your business runs and what you want to track.
When do I decide to get a Bookkeeper ?
When the numbers start stressing you out more than serving your customers it’s time. As a business owner, your time and energy are precious. If you're:
Worrying about missing something important
Guessing instead of knowing your financial health
Or simply feeling like the paperwork is piling up…
Then a bookkeeper can be your peace of mind behind the scenes keeping your finances steady while you focus on building your dream. You don’t have to do it all alone and you shouldn’t have to.
What's the difference between Bookkeeper and CPA ?
A bookkeeper manages your day-to-day business finances tracking income, expenses, bills, and keeping your records organized and up to date. They also help you understand your numbers and plan ahead.
A CPA (Certified Public Accountant) steps in for tax filing, audits, and complex compliance work often using the data your bookkeeper has kept in order.
Think of it this way:
A bookkeeper keeps your financial engine running smoothly every day.
A CPA handles the inspections and paperwork when tax season or formal reports come around.
Having a bookkeeper means your books are always ready and you’re not scrambling when deadlines hit.