Of course, as accountants, we will tell you your accounting system and processes are vitally important if you want to run a successful business.
And we would be right! It absolutely is, we have never seen a genuinely successful business, that has been able to grow and scale without an excellent system recording and measuring its daily activity and performance.
But here’s the thing …
Having a great accounting system and process doesn’t actually make the business successful, it doesn’t generate the revenue, it in itself doesn’t make you grow or make you successful.
So you need a system that is efficient, that tells you what you need to know, that, of course, ensures you can easily stay compliant with the various laws and reporting obligations …but which then you need to be able to forget, leave to run largely independent of you, allowing you to get on with running and growing your business!
Many business owners get hung up on the administration of their business, including their accounting and record keeping processes.
As we say, of course, these are vitally important, and if you do them badly, your business will almost certainly fail. But they can’t become your major focus.
There needs to be a level of automation, certainly a substantial level of outsourcing away from yourself (be it to someone else in your business, or your accountants and advisers) so that you aren’t wasting your precious time (and energy) on these matters. And therefore, freeing you to be completely focused and invested in building your business.
When it comes to your business, your time and even more importantly your energy, as the owner and the inspiration behind it is the most valuable in the organisation. Only you can do the things necessary to allow your business to grow. You need to remain laser-focused on developing and improving and marketing your business.
So, please don’t waste those opportunities for growth by trying to do relatively low pay off items like your accounting and record keeping either yourself or doing it via outdated, inappropriate or just inefficient systems in the interest of saving a few dollars here and there. It is a totally false economy and is a sure-fire way to ensure your business and your wealth building will never reach the heights you hope for.
As you probably know already, we are huge fans of Xero, it is an absolutely fantastic tool for small to medium business owners. It transforms your ability to have your accounting efficiently attended to, while providing vital, up to date, information to assist your business decision making.
And that’s another important point, sure many business owners view their accounting as somewhat of a necessary evil, just done to keep the tax man happy. But the truth is, your accounting and record keeping is all about providing you with the information you need to make informed, sound business decisions. We encourage you to consider the tax compliance side of things as only the secondary purpose. Focus on what your accounting records can tell you about your business and how that information can help you succeed.
Back to the specific accounting systems, yes we love Xero, but no you don’t HAVE to use Xero to work with us. We recognise Xero won’t work for every business for many different reasons.
So no matter what your accounting system is, we can work with you to help meet your needs and achieve your goals.
More about Accounting & Tax
- Starting or Buying a Business
- Business Idea Evaluation
- Buying a Business
- Business Purchase Price Assessment
- Business Structure Advice
- Tax Planning Strategies
- Asset Protection Strategies
- Business Structure Establishment
- Tax Registration Advice and Implementation
- Business Name Registration
- Business Owner Agreements (ie. Shareholder Agreements, etc)
- Business Due Diligence
- Business Start Up Advice
- New Business Budgeting
- New Business Cash Flow Forecasting
- Business Plans
- New Business Finance Application Structuring & Assistance
- Accounting System Establishment and Training
- Running and Growing Your Business
- Business Accounting & Tax Services
- Tax Minimisation & Year End Tax Planning
- Bookkeeping & Data Entry
- Business Activity Statements
- Payroll Services
- Superannuation Management & Reporting
- Fringe Benefits Tax
- Payroll Tax
- Management Reporting
- Cash Flow Forecasting
- Corporate Secretarial (ASIC Compliance)
- Trust Distributions
- Tax Advice
- Goods & Services Tax Advice
- Accounting Software Solutions
- Business Acquisitions
- Entry of New Business Partners/Owners
- Exit of Business Partners/Owners
- Finance Application Assistance
- ATO Relationship Management (including ATO Audit Support)
- Accountants Letter of Support
- Selling, Exiting and/or Leaving a Legacy