Are you considering outsourcing your retail business bookkeeping? If so, there are many benefits that you can reap by hiring a reputable bookkeeper to take care of your finances. Not only will you save time and money, but you will also be ensuring that all of your company’s data is accurate and up-to-date at all times.
Most retail business owners start a business to sell a product, but unfortunately, a lot of tedious and time-consuming administration work goes along with this. Bookkeeping is one of these tasks. While it may be tempting to try this work yourself, chances are you haven't professionally trained as an accountant or bookkeeper.
For your retail business to thrive, it is imperative that all of your books are in order and you have a solid knowledge of the financial health of your business. This is why outsourcing your bookkeeping is an excellent option. Finding a reputable bookkeeper to handle your accounts will provide you with quality monthly reporting, giving you visibility on your cash flow and financial performance, all while saving you a significant amount of time.
5 considerations when hiring a bookkeeper for your retail business
1. Scope of Work
Before choosing your bookkeeper, you want to determine precisely what your business needs are to ensure that whoever you choose can meet them. Some bookkeepers specialize only in data entry and keeping your numbers organized, while others provide valuable insight and analysis.
Some of the typical bookkeeping tasks include:
- Recording daily sales data
- Recording expenses
- Reconciling bank and credit cards
- Filing sales tax - GST/HST
- Generating monthly financial statements (income statement, balance sheet, cash flow statement)
If you require a bookkeeper who can assist with payroll, help with cash flow forecasting, or aid in your budget creation, do your research beforehand to ensure that these are services they can provide.
2. Technology Expertise
Technology is changing daily, and recent advancements have made running certain aspects of a retail business much more manageable. Modern stores now utilize POS systems, inventory management software, and time tracking software, many of which integrate with cloud accounting software that helps to streamline all different aspects of the business process.
When choosing your bookkeeper, look for those that are tech-savvy and understand how to use these different accounting and bookkeeping tools. A bookkeeper who can take advantage of these integrations will ensure that data flow is accurate and timely.
3. Industry Knowledge
Another question to ask your potential bookkeeper is how knowledgeable they are in your specific industry. Every industry has different bookkeeping needs. Ideally, you want to find a bookkeeper that has experience working with retail businesses. Hence, they understand common bookkeeping issues related to your industry and can work with you to help you resolve them.
One of the main goals of most retail businesses is growth. You want to expand your business to new heights, increase your sales and reach new levels of success. This drive and ambition is what has gotten you this far and is what will propel you forward in the future.
When selecting a bookkeeper, you want to ensure that you choose someone who can grow along with you and take on the extra work that you will one day inevitably provide. Ask them how they will be able to accommodate you if you open up more locations and what this process of growth would look like. Finding someone who can scale along with you will be much easier than looking for a new bookkeeper down the road to handle the increased workload.
5. A passion for what they do
Passion is an essential part of any job, and it's no different when it comes to bookkeeping. When selecting your bookkeeper, you want to make sure that they not only have solid knowledge and understanding of the numbers but that they also love what they do. A bookkeeper who is excited and eager to assist you will provide a better quality of work, greater accuracy, and in the long run, will be better for the growth of your business.
Hiring a bookkeeper to assist your retail business is one of the best decisions that you can make. It will help you stay organized and will keep your numbers accurate and up-to-date at all times. Looking for someone who can do the work you need them to do and do it with passion will go a long way in aiding your business's success.
If you are looking for bookkeeping assistance, look no further. At Enkel, we pride ourselves on our knowledge and technological expertise in the retail industry. For more information on how we can help you grow your retail business, reach out to us today.