Virtual bookkeeping doesn’t differ from regular bookkeeping services. Virtual bookkeeping is different because it works remotely. A virtual service provider uses computerized accounting software or bookkeeping software to prepare and categorize your financial transactions and update your statements. You don’t even need to leave your office.
A virtual bookkeeper records and documents daily transactions through cloud-based accounting software. You and your virtual bookkeeper can therefore share an account and collaborate in real-time, even if you are not physically present.
What is a Virtual Bookkeeping Service?
A virtual bookkeeping service is an online accounting service that provides basic accounting services remotely. Companies can use the service to save time, minimize risk, and save money since they don’t have to hire a full-time accountant or bookkeeper. The accountant might work with the company’s other departments such as sales, marketing, or finance to keep their books in order. Services offered by virtual bookkeeping include making sure all of the financial data is up-to-date and accurate, preparing financial reports for managers, completing payroll duties such as filing employment taxes, and more.
Virtual Bookkeeping Services: The Benefits
Virtual bookkeeping is very cost-effective. Virtual bookkeeping services are much cheaper than hiring an accountant full-time. The company doesn’t have to pay payroll taxes or other benefits because a virtual assistant works as a contract employee. This helps to reduce company costs.
Instead of having an employee, the virtual remote bookkeeper becomes a business partner. A business partner is someone who has the experience and knowledge to provide accurate and efficient accounting services. Outsourced employees will often be Certified Public Accountants (CPAs). This guarantees that the person you hire is competent to handle all your accounting needs.
Virtual bookkeepers offer a lot more flexibility than traditional staff. Remote bookkeepers can be available at any time of the day, whether you require them on weekends or evenings. Remote bookkeepers can be accessed whenever you require them.
How do you choose a virtual bookkeeper?
Although having letters after one’s name does not make them a great bookkeeper, it is good to know that an association stands behind their work. Anybody can claim to be an accountant or bookkeeper, even those with little accounting knowledge. Using a Certified Professional Bookkeeper or Chartered Professional Accountant (CPA), gives you some assurance that there is someone to complain to if things go wrong.
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Flashy websites don’t make you an accountant or bookkeeper. It is important to check that your company has an online presence. This is the “office” of the virtual bookkeeper. Online profiles and social media activity should be more prominent the longer they are established. They should create valuable content on social media platforms such as Facebook and LinkedIn to establish their expertise. It is also important to look at their reviews online to see what past customers have to say about them.
Your industry’s specific bookkeeping requirements make it more important that your bookkeeper is experienced in the industry. While finances are financial, each industry has its own unique nuances and software requirements. This is especially true in restaurants, the auto repair industry, and online retail/online shops. You will be better served by a bookkeeper who has experience in your industry.