There are several facets that make a business successful. One of the biggest contributors is bookkeeping and accounting. These two services provide you with the financial information that is necessary is finding success. While bookkeeping and accounting might work together toward a common goal, they serve different purposes in the business world. It is important to know what these differences are and how they fit into the puzzle of your business. Mark Dicus & Company is here to talk about the difference between bookkeeping and accounting services.
Bookkeeping is Vital to Any Business
It cannot be understated how valuable bookkeeping is to a business of any kind. Bookkeeping is going to be the financial records of your business. This is where there is a record of all the transactions for the business. Bookkeeping also plays a huge role in maintaining the general ledger for the business. The amounts from sales as well as expense receipts must be tracked and recorded. Bookkeeping is responsible for many part of record keeping for the company though.
– Recording all transactions for your business
– Posting all the records of debits as well as credits
– Producing invoices
– Preparing financial statements that include income statement, cash flow statement, and the balance sheet
– Maintaining historical records, the general ledger, and n subsidiaries.
– Completing payroll
Role of Accounting in Business
The accountant will take the information that is provided by the bookkeepers for the company and work to analyze the data to prepare for large business decisions that need to be made with all the financials in front of them. There is far more analyzing that happens for accountants than bookkeepers. Accountants help analyze financial statements so that sound business decisions can be made. They play a large role in forecasting for the future of the company. Here are some of the ways that accounting works for business owners:
– Tax preparation
– Completing income tax returns
– Looking at and reviewing the financial statements of the company
– Providing business owners with an understanding of cost of operations
– Preparing adjusting entries
– Helping business owners understand the impact of certain business decisions
Credentials of Accountants & Bookkeepers Differ
Another big difference between bookkeepers and accountants is the education required. There is no degree requirement for bookkeepers but there is usually a four year degree in accounting required to be an accountant. There is also experience as well as education requirements to become a certified public accountant (CPA) as well.
Bookkeepers, Accountants & More in Summerlin, North LV, Henderson, Lone Mountain Village & Greater Las Vegas, Nevada
If you are a business owner that is looking for an accounting firm that can provide you with the bookkeeping and accounting services that you need, you can turn to Mark Dicus & Company to provide you with those important services. We will work to help your company succeed and make sound financial decisions. Call us today!