Book Keeping Services

Swamped with receipts? Haven’t got the time or the motivation to wade through and categorise your online transactions? I don’t blame you…

Maybe it’s time you considered our bookkeeping service!

We are Manchester based but look after companies and entrepreneurs from across the UK.

RJF is known as startup, tech and small business specialists guiding our clients through the HMRC jungle.

Bookkeeping is just one of the many ways we can make your life easier as a business owner.

What is a bookkeeping service?

Bookkeeping is keeping track of all your business income and expenditure. It keeps yours (and your accountants) finger on the pulse of your business so you know exactly what’s coming in, what’s going out and where your finances stand.

Good bookkeeping lets you see at a glance the current status of your business, allowing you to:

  • Have a clear view of the companies current cash position
  • See what dividends you can take
  • Understand your tax position
  • Assist with you VAT records and filing

Why do I need a bookkeeping service?

Before we get into the most obvious reasons it’s worth pointing out there’s a huge mindset gain from having your bookkeeping in order.

It might not be quantifiable, but simply knowing you are well on top of your business finances can free your mind to think about other more important things in your business.

Having your books in a mess is like having a cloud of clutter hanging over you. You might not have to deal with it right away, but you know it’s coming and the longer it’s left the more work needs to be done.
Putting that aside, for now, the number one reason for having your books up to date is simply being able to see with certainty your businesses current financial position.

With that comes clarity on your tax position, your VAT liability, how much you can spend and how much you can pay yourself.

It also gives you accountant a clear picture of your financials so they can advise on the best tax-efficient strategies.

Bookkeeping vs Accounting – What’s the difference?

This one is a commonly asked question!

Bookkeeping is recording and categorising all the financial transactions in and out of your business.

Accounting is understanding and interpreting that information to help make better business decisions, pay your tax liabilities and structure things to be the most tax-efficient.

They work hand in hand. (it does make an accountants job easier if your bookkeeping is up to date!)

Common bookkeeping mistakes

Leaving everything until the last minute.

Sorting through your receipts pile and online transactions is the very last thing you want to be doing.

Maybe this story is familiar….

You’ll leave it for now, all the records are there, you can do it nearer the filing date…and then you forget.

‘Uh Oh’, the filing date is looming and you have to wade through transactions from the last tax year.

You know the feeling…“£180 payable to Bills Items LTD” What was that?!?!

You can’t remember what was what, you’re missing paperwork and the clock is ticking.

If you are going to DIY try and set aside some time each week to get things straight whilst they are fresh in your mind.

Not going digital.

At RJF we’re a big fan of digital for everything. It makes life so much easier for everyone and even HMRC are making a big push into making tax digital. So it makes sense to push all your record-keeping onto digital.

We use a variety of software to ease the bookkeeping and accounting process. Including a mobile app that allows to digitise and submit expense receipts like fuel quickly and easily by simply taking a photo of the paper receipt.

HMRC require you to keep receipts for a minimum of six years and that’s a lot of shoeboxes if you’re still keeping paper copies! Fortunately, HMRC accepts digital copies…

Not saving enough for the tax liability.

A lot of people get caught out with this one! You think you have a good grip on your tax liability and then WHAM… a bigger than expected bill pops up and you don’t have enough to cover it.

We do all we can to make sure you aren’t paying a penny more than you need to in tax but, unfortunately, we can’t make your liabilities disappear!

You can set aside a fixed amount each month to cover the tax. This works for some people, but it’s not accurate.

You might still be short, or you could be over, which is better from a liability perspective but it’s cash you might have been able to put to more effective use.

Better to keep tabs on your exact position with bookkeeping so you can set aside exactly what you need.

Why hire us to do your bookkeeping?

Sure, you can DIY things, but why not take the burden off your shoulders? Spend your valuable time running the business. Give yourself the freedom to make good decisions.

It’s a very cost-effective way of giving yourself more time to operate, having clarity on your financial position and helping your accountant make recommendations based on the real-time numbers.

Even if you don’t choose us to help you with your bookkeeping hopefully we’ve convinced you to keep on top of it. Going DIY with Excel or Google sheets is better than nothing…

Good bookkeeping doesn’t guarantee business success but there are very few successful businesses operating that don’t keep good books!