What is Cash accounting vs. Accrual accounting?
The Cash basis of accounting recognizes Income when it actually arrives to your bank account, and Expenses when those funds actually leave the bank account.
The Cash method does not recognize the unpaid bills your business may have, nor does it recognize outstanding invoices to your clients that are unpaid.
The Accrual method records all Income and Expenses when they have been earned. If your business sends an invoice to your client, the revenue is recorded on the date of the invoice rather than waiting until the payment has been received. This is called Accounts Receivable. When your business receives a bill from one of its’ vendors, the expense is recorded as of the date of that invoice, rather than waiting until the bill has been paid.
The Accrual method aligns Revenues with Expenses in regards to time.
Can I or one of my employees help with the accounting and work within the software?
We want to set up a system so that it is on schedule, and there is no scrambling to get things done. Often times Entrepreneurs and their employees are pulled in several different directions.
Our goal is that the business owner and their employees can get back to running the business and not need to be working in the accounting system. This way, we can stay on schedule.
We can send a listing of every transaction and how it was classified for your review.
So, you do not handle taxes?
Tax laws are constantly changing. And we are sure you know how busy tax season is for all tax professionals. We want to stay on schedule with your business and not fall behind due to a long tax season. Submitting your accounting file to your tax professional only takes a few clicks of the mouse, and we are right back to working on your books.
Honestly, the majority of business owners we meet already have a tax professional.
Why doesn’t your company prepare and file payroll?
Simply put, we could not offer a better or more economical solution than the major payroll service providers (and some banks) are already offering. And again, the majority of business owners we meet already have a payroll provider.