To quite a number, bookkeeping and accounting are often taken to mean the same thing. Such confusion can be understood as it is the case that the one, the bookkeeping services, happen to be such a core part of the other, the accounting processes.
Generally, bookkeeping can be understood as being the keeping of the books of accounts of a business, the day to day process of keeping the full and exact and up to date records of the financial transactions of the company. These particular financial records and transactions of a company happen to be detailed and include all the records of the daily purchases, sales, incomes, receipts and payments that may have been made by the company on a daily basis.
Traditionally, the bookkeeping functions of a business are often handled by the company’s bookkeeper. Going by the facts so seen as far as the part to be played by a bookkeeper are, keeping such accurate and comprehensive records of the business’ financial records and transactions, it is a fact that they, the bookkeepers, happen to be one of the most vital business assets an organization can get to have. A bookkeeper is charged with the responsibility of keeping on track the company’s entire financial records, ensuring that all the details pertaining to the business’ day to day operations and financial transactions, the business cash inflows and outflows are duly captured in the proper books of account. These records are often captured in such books such as the customer’s ledger, the supplier’s ledger and the general ledger and after they have been so captured, they need to be brought to the trial balance so as to help the company’s accountant prepare the company’s income statement and balance sheet at the end of the trading period.
By far and large, a bookkeepers responsibility will often vary from one entity to the other all based on the size of the business and how the tasks and responsibilities are split among the staff. But anyway, looking at the fact that this is one of the tasks that actually means and can spell doom or success for the business, it is important to have a qualified and organized personnel handle your bookkeeping needs as a business. This is actually one of the most valid reasons why it will be so wise a step to have outsourced accounting and bookkeeping services for your business as it saves you so much time and allows you focus on the other professional aspects of your business.