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The Best Small Business Bookkeeping Solutions

As a small business owner, your time is best spent on the revenue-generating features of your business— not hunched over a computer screen scrolling through QuickBooks! 

Thankfully, a reliable bookkeeping solution is just a click away. What should you look for in an accounting or bookkeeping service? Today, we’ll highlight five of the best small business bookkeeping service solutions.

Online Bookkeeping Service for Your Small Business

When your business is small, it can be tempting to try to handle the books yourself in order to cut costs. Even if this works for a while, it’s simply not a sustainable model. Small business owners should be focused on growing their core business, not on the back-office demands associated with small business bookkeeping.  

Adding another staff member often seems like a natural solution, but modern bookkeepers can cost well over $40,000 per year. Not only do these costs eat into your profits, but the addition of office personnel could also take up valuable space in your facility. 

Online bookkeeping services provide a simple, elegant solution that can save you time, money, and the headaches you get from trying to juggle the needs of your small business! 

Today’s accounting firms can handle a wide variety of SMB bookkeeping tasks, including:

  • Invoices 
  • Payments 
  • Costs 
  • Expenses 
  • Financial statements 
  • Corporate tax preparation  
  • Payroll

By outsourcing your needs to an online accounting firm, you gain the benefit of industry-leading expertise, all without breaking your budget.

Some business owners are leery of outsourcing their sensitive financial data to an online company. But at Xendoo, we value communication with our clients. Our bookkeepers and CPAs are available by phone, text, and email, so you’re never out of touch with our skilled team.

In fact, many customers are surprised at the ways that small business bookkeeping solutions increase financial transparency. This is possible because your financial data is instantly available to you at any time, no matter where you are. This may be especially important for businesses that process digital or online transactions, providing up-to-the-minute reporting regarding your cash flow.

Catch-Up Bookkeeping Services

Roughly one out of every four business owners are behind in their books. Sound familiar? Sure, you keep telling yourself that you’ll get caught up “someday,” but the longer you ignore the problem, the worse it will become. Some small businesses can quickly find themselves months or even years behind in their bookkeeping.

This is deeply problematic because it prevents entrepreneurs from knowing what’s really going on in their company since they lack access to current financial data.

Getting behind in your books also can leave you vulnerable to fines and audits when it comes to taxes or payroll. 

If you ever need a business loan, lenders will expect to see copies of recent financial statements. Without accurate, up-to-date information, you may be denied a crucial loan. 

So what can you do if you do get behind? Small business owners can take advantage of “catch-up” services. As the name suggests, these small business bookkeeping solutions are designed to bring your financial records fully up-to-date.  

If you’ve gotten behind in your books, this bookkeeping solution just might offer you a huge sigh of relief. Accurate, current financial data will provide you with a fuller picture of the health of your business, which can enable you to better plan for the future.

At Xendoo, we don’t merely offer catch-up bookkeeping services to bring your books up to date — we keep you up-to-date by reconciling your books on a weekly basis! This gives you the freedom and confidence to focus on your business, knowing your financial needs are in expert hands.   

Business Tax Preparation and Filings

Taxes represent a unique SMB bookkeeping demand. On the one hand, tax preparation is a yearly chore, but on the other hand, business tax codes can be complex, and ever-changing. 

That is why many business owners look for small business bookkeeping solutions that can assist with the complexities of tax preparation and filing. Not only can a professional accounting firm save you money, but they can also provide the best protection from common errors that can leave you and your business vulnerable to audits.

Keep in mind that your filing status depends on the structure of your business. Partnering with an online accounting firm like Xendoo can ensure that you file the appropriate form. You can feel confident when you’re working alongside a CPA who is familiar with businesses ranging from partnerships to LLCs to S Corps and beyond. 

Additionally, consulting a CPA can also help you to take advantage of existing tax codes, maximizing your deductions and ultimately saving money. These bookkeeping solutions not only take the hassle out of tax season, but their tax strategy and planning services can help you keep more of your profits.

Bookkeeping services can also assist you with your personal income tax preparation. This can be a lifesaver, as business owners often face tax situations that are complex. Xendoo offers personal tax preparation as an add-on to many accounting packages.

Accounts Payable and Receivable

One of the reasons that small businesses fail is that they don’t always get paid on time. Some businesses simply don’t know how to collect money from overdue accounts. We 

Unfortunately, there are many cases in which business owners can only collect their debts through persistent effort and regular contact with their clients. But once again, today’s entrepreneurs often lack the time for this kind of due diligence.

Online services can provide small business bookkeeping solutions that automate and manage your invoicing and collections process. At Xendoo, we rely on advanced online bookkeeping software that can be used to create and submit invoices, collect payments, and monitor every step of the process. 

Most businesses will likewise owe money to vendors and suppliers, and this process can likewise also be managed remotely by an online bookkeeping service. 

By relying on this same service for tax planning and preparation, small business owners can have peace of mind that their income and expenses will be recorded accurately when it comes time to file taxes.

Financial Reporting and Insights

Financial reporting might be one of the most advanced small business bookkeeping solutions available today. While the other services we’ve listed are focused on your company’s historic or current performance, financial reporting helps you plan for the future.

Financial reporting allows you to track, analyze, and generate reports about your business income. This data can help you to monitor cash flow, resource units, and the overall financial health of your small business. It’s like having access to a professional business consultant, tasked with preparing reports and data with precise accuracy.

 This can be important data to have if your business has any investors, who may want to see the progress your business is making. Additionally, these reports may be required when you want to receive a business loan or open a line of credit to facilitate growth.  

The insight provided by these reports can also serve as a catalyst for future business growth. Negative financial trends might alert you to an area that needs to be adjusted, while positive trends can encourage you to continue focusing on areas of success. 

This data can also help you manage your growth, allowing your business to scale with the natural trends of the market.  

Trust Xendoo for Small Business Bookkeeping Solutions

If you’re a small business owner, the choice is increasingly clear — you need to partner with an online bookkeeping service. Chances are that you’ll be relieved to have someone else shoulder the burden of maintaining and reconciling your books. 

Why not see for yourself? Sign up today for a free trial, and see what Xendoo can do for your business.