Accounting Services Singapore: Bookkeeping Tips for Small Businesses

accounting firms in Singapore

Bookkeeping Tips for Small Businesses

Unless you are a proactive accountant and an avid lover of number crunching, bookkeeping is the most mundane task that one has ever experienced. Nevertheless, you cannot ignore the importance of proper and timely bookkeeping in business. If you want to see your business successful, good record keeping (bookkeeping) is mandatory. Having a good system and process in place is necessary to maintain a timely record of your cash flow. It can also help you stay away from having a clash with the national revenue agency. In this line, you may either hire an in-house employee or outsource to some good accounting services Singapore. You just make sure to adopt the practice of keeping a record to avoid costly mistakes in future.

This blog excerpt will outline the bookkeeping tips for small business. These tips will help the businesses keep the financial footing sound and healthy.

Keep Daily Records:

Keeping daily record accurately is the most basic rule one must apply. If you failed to keep your records in good shape, your business would be at stake. Unfortunately, it could fall apart. A sound and healthy accounting record depicts the exact picture of your financial state. Apparently, business is monitored through its records on a regular basis, so that one can find out the weaker areas to rectify them. If you cannot measure a business, you will never be able to manage it as effectively as it needs to be.

Track Your Expenses:

Expenses can be hard to track if you use cash-mode to pay your bills. Many experts recommend business owners to use the credit card and debit card as these enable you to view the transactions right away and ensures all business expenses are kept together. Plus, it helps you avoid issues with taxes. Thereby, business credit card or debit card is the handy tool to keep the expenses in order under one umbrella.

Maintain an Audit Trail:

Maintaining an audit trail can be as simple as keeping records of invoices and checks in numeric order. But, keep in mind that denote them as “voided.” This ensures no gaps in the numeric sequence of invoices and checks and leaves an effective trail for your accountant. In addition, you are advised to keep the business and personal bank accounts separate. It is better to have a good system that allows the users to retrace the company financial activities.

Use a Right Accounting Software:

Gone are the days when accountant relied on the manual calculation. Accounting software has come a long way over past few years; automation simplifies the task of cash flow management. The market is flooded with numbers of accounting software. You must buy the one that is affordable and meets your needs perfectly. It enables you to capture and retrieve data, in a jiffy. Since the data are stored in the secure server or cloud, there is no fear of losing data. Moreover, online accounting software is a great way to save time and money.

Hire accounting services Singapore:

Reiterating, businesses in Singapore are facing fierce competition. So, they prefer to focus more on core activities of the businesses. For this reason, many companies are turning to good accounting firms in Singapore. When you outsource, the firm will assign a dedicated accountant to handle the end-to-end activities of your accounting and bookkeeping services Singapore. You can rest assured that your recording keeping is up-to-date and sound.

Accurate and timely bookkeeping is crucial to keep your business afloat. Many small businesses tend to neglect this aspect of their business until they face some serious penalties from the regulatory authorities. If you want to lead a smooth and sound business life, make sure to implement the bookkeeping tips mentioned above and keep the business running.

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Outsource to Reliable Accounting Companies in Singapore

Every Singapore business must invest in strengthening its accounting function. However, I don’t mean that they should go for an in-house accounting setup, rather, they should outsource it to one of the experienced accounting companies in Singapore.

An in-house setup means that a business needs to hire a qualified accounting professional, buy computer hardware and the latest accounting software. It is not possible for every startup and the small businesses. However, they still need to do their annual filing as a part of the mandated statutory compliance. It means they need to keep their books of account updated. That is where accounting services come to their rescue.

Accounting-Services-singapore

Accounting companies in Singapore extend their support as per the needs of their clients. They provide monthly accounting, quarterly accounting, and quarterly bookkeeping services at the affordable prices. Moreover, the business owner has the option of upscaling or downscaling of the services to accommodate his increased or decreased volume of transactions. Continue reading

Accounting Services Singapore Can Make Your Business Better

accounting services Singapore

Accounting Services Provider in Singapore

Since a long time, many small business owners have seen outsourcing accounting services Singapore as a strategy meant for large organizations and MNCs. The emergence of modern technology allowed the small and medium businesses to implement the strategy. For many small organizations, it has been proved to be a fruitful tool. Precisely, it has made a coercive impact on the growth and productivity of the businesses.

More often than not, small entrepreneurs in Singapore have a tendency to avoid outsourcing just to save few more bucks. But they failed to realize the value of opportunities they lost. When they adopt Do-It-Yourself approach, they sink too much time and energy in mundane task of number crunching. Moreover, the result is also not a satisfactory one. To put it simply, they save money, but, fails to make money.

When to Outsource Your Financial Needs to Accounting Firms in Singapore?

Accounting records of a business must be maintained in a consistent and effective manner. No matter how big or small your business is, you must keep timely records of the financial activities. Ideally, a start-up business should start keeping the financial records right from the day one of the business operation. On a precise note, the sooner you start counting the number of accounting book, the lesser you have the chance of facing the financial mess in the future.

For every business, the right time to indulge in outsourcing option may differ. The company having in-house accountant to manage the day-to-day financial functions, may need the help of a third-party firm to subside the burden of projects. When a company’s employees fails to handle the accounting task, it is the time to search for a good accounting firm in Singapore. However, many experts recommend outsourcing it, right from the beginning of the company’s operation.

Finding the Right Accounting Services Provider in Singapore

Before you entrust someone with financial records of your business, you must make sure that you are engaging a trusted partner. It makes sense to do some research and diligence ahead of hiring the Singapore accounting firms. Do not ever take any decision in a hurry because the selection process is the most vital part of outsourcing. Even though technology has made the process easier, you cannot afford to ignore the idea of ‘word of mouth’. Ask your friends, colleagues or acquaintances if they can recommend the best accounting services in Singapore.

Apart from this, there are good numbers of online marketplaces where entrepreneurs can find and foster business relation with service providers. Nowadays, social media platforms such as Facebook, Twitter, and LinkedIn, serve as a dynamic tool to find people from all across the globe.

No matter which platform you have used to find the service provider, the key motive is to find a right and efficient accounting firm. Finding the suitable service provider means having access to the right resource. You do not have to worry about the performance when you have the right resources around.

Reaping the Benefits of Outsourcing Accounting Services Singapore

The process of outsourcing allows the business owners to build a great team of efficient professionals without having to hire full-time employees. It, eventually, reduces the expenses (salaries, bonus, insurance, provident fund benefits) of employing the typical in-house employees. Also, you do not necessarily need to pay full-time attention to get a task done. So, you save a large chunk of time, which you earlier spent on gauging numbers.

Outsourcing to accounting services Singapore alleviates you from all the record keeping burdens and lets you focus on the core competencies of the business. All in all, it is a cost-effective and proven strategy for giving a boost to your business productivity.

Maintain Clean Accounts in Singapore- Improve Your Profitability

accounting firms in Singapore

Accounting for Small and Medium Enterprises

Is hiring accounting services for the small businesses, a superfluous expenditure? From the small business owners’ perspective, doing their business’ accounts on their own can save them a few dollars. However, the question is, “Is it a really profitable adventure?” An inadvertent mistake in the accounts, leading to the business being flagged by the Inland Revenue Authority of Singapore (IRAS) for the breaking of rules is not at all a good news for any startup or small business.

Accounting for Small and Medium Enterprises

The startup or Small and Medium Enterprises (SMEs), may it be one-man-show or a concern helmed by the owner having a proper support staff, can do without getting tangled with the Singapore authorities. The owners have their plates full, without being further burdened by an amateur accountant determined to mess with the business’s accounts. On close introspection, hiring one of the top accounting services for a small business like SBS Consulting will stand out as a great prospect.

Accounting and Singapore Business Owners

Accounting for small businesses has never been easy. More often than not, the owners of these businesses are juggling multiple tasks at a time. Time is one commodity they are short of and the fact is that, most of them cannot invest in a full-time accountant. However, at a fraction of the costs that they would need to invest in a trained accountant, hardware, software and IT support, they can retain an experienced and professional accounting service in Singapore.

Specialized Accounting Services for Small Business in Singapore

SBS Consulting employs experienced and certified accountants to deliver effective accounting services to its clients. Under its accounting services for small businesses, the firm offers efficient bookkeeping services. For any small, medium or big, multinational business, maintaining its books of accounts in proper order is of at most importance.

An experienced accountant, after going through the business records can easily arrive at a conclusion whether the business is going up or down. The CPA’s working in the SBS Consulting does sound an alarm to their clients if the things are not as they should be.

They even give advice on how to force improvements to take the business in the right direction. The firm’s accounting services include the following:

  • Managing clients’ accounting software

  • Offering data entry services and posting transactions to the appropriate accounts

  • Developing account charts for the client’s suppliers and customers

  • Shouldering the task of generating monthly reports

  • At the end of every month, giving advice on the clients’ monthly profit and loss statement, cash flow, and balance sheet

  • At the end of a year, the CPA’s appointed by the SBS Consulting closes the accounts for the clients assigned to them

  • Accounts are then finalized, according to the Financial Reporting Standards

Fees Levied by the Accounting Services

The accounting services in Singapore charge their fees per transactions. SBS Consulting even goes further and provides scalable services according to the need of its clients. The firm utilizes more of its resources to accommodate the increased number of its client’s business transactions. On the other hand, the client can request to scale it down when the business is slack.

Accounting Services and Taxes

In addition to maintaining the books of accounts, which reflects their financial health, the businesses also have to take care of the payroll processing, taxes and other tasks. The calculations involved in it are really no business of amateurs. These tasks must be handed over to the professionals. When it is taken in relation to the strict rules and regulations and the control maintained by the IRAS on its subjects, it is really worth to appoint one of the professional accounting services for small business.

By outsourcing their accounting function to third party accounting services, the Singapore businesses can ensure that their accounts are cared for by the experienced and qualified professionals. They also do not have to invest money in implementing infrastructure and hire trained accountants. Even big companies benefit from this move, as it frees their staff which they can reassign to the core functions of the business.

Accounting Services Singapore: How it is different from Bookkeeping ?

accounting services Singapore

                                                 Accounting Services Singapore

In a nation like Singapore where a set of rigorous laws have been laid down by the governing authority such as ACRA (Accounting and Corporate Regulatory Authority), companies are obliged to follow the regulations. Given the importance of compliance requirements, companies are turning to third-party firms specialized in accounting services Singapore.

Even if companies are using the services of accounting firms in Singapore, a common question swirling around their owner’s mind is whether there is any difference between bookkeeping and accounting. This blog excerpt will make an attempt to distinguish these two crucial aspects of business and throw light on Singapore accounting services.

What is Accounting Services?

Accounting is a method which helps the businesses to record the financial transactions in a systematic and comprehensive manner. Precisely, it is the process of classifying, interpreting, analyzing, reporting and summarizing the financial transactions of a business. It is essential for a company to keep its accounting data in order right from the day one of its business operation. If left unorganized, someday it may lead to disaster. An organized accounting record can give an idea of the present and future financial health of a business.

Accounting is a broader concept and encompasses a range of financial activities. A few of them are listed below:

  • Preparation of chart of accounts

  • Setting up the general ledger

  • Compilation of financial statements

  • Cash flow management

  • Account Receivable and Account Payable

  • Bank account reconciliation

  • XBRL filing

What is Bookkeeping?

Bookkeeping is a subset of the process of accounting. It is an activity of keeping records of basic accounting transactions in the chronological order on a daily basis. It includes issuing and recording invoices, recording cash receipts, paying suppliers, processing payroll, tax return, and inventory management. Bookkeeping can also be termed as record-keeping. Essentially, it is considered to be the financial information base of a business, which should be precise, comprehensive and timely.

How is Accounting different from Bookkeeping?

As mentioned above, accounting is a broad concept and bookkeeping is a part of it. Accounting is the measurement of financial state of a business whereas bookkeeping is a process of keeping its accounting records. It has been noticed that bookkeeping and accounting may appear to be same for a novice as both functions deal with the financial aspect of an entity. However, if you take a closer look at both of the services, they are way different. On the other hand, it is worth mentioning that first step to accounting is bookkeeping.

Leaf through the below-illustrated table to understand the difference between accounting and bookkeeping.

Basis

Accounting

Bookkeeping

Definition

Accounting is a process to analyze and verify the recorded information of bookkeeping.

Bookkeeping is a process of organizing, storing, collecting financial transaction of an entity.

Nature

A language of business

A subset of Accounting

Scope

Broad and wide

Narrow and limited

Activities

Balance sheet, Financial statement, Director’s report, Account management, Bank account reconciliation

General Ledger and journal

Methods/ Types

Financial Accounting, Corporate Accounting, Forensic Accounting, Cost Accounting,

Single Entry and Double Entry of Bookkeeping

Sound Decision Making

Yes

No

Determination of Financial Position

Yes

No

Despite the differences, both of the aspects are interlinked with each other. Basically, bookkeeping serves as a base to the accounting processes of a business entity. For instance, if bookkeeping is organized and timely, then it is expected that accounting of the business will be in perfect shape and vice versa. The job of a bookkeeper is more clerical in nature and requires less accounting knowledge whereas accounting job is an analytical one and needs sound knowledge on the specific area.

Why is Accounting Services Singapore essential for Businesses?

In Singapore, to stay compliant with the laws of ACRA is of utmost importance for every company. A set of accounting compliance has been put in forth by ACRA which must be followed to avoid any legal penalty. Following are the compliance requirements related to accounting services Singapore for companies.

  • Keeping Accounting Record: Each Singapore company must keep accounting records for 5 years after the completion of the transactions.

  • Filing Annual Return : Each Singapore company must file annual returns with ACRA within one month of its AGM.

  • Preparation of Financial Account: At the end of the financial year, a Singapore company must prepare its annual financial accounts in compliance with the Financial Reporting Standards of Singapore.

  • Annual General Meeting (AGM): Company must hold an Annual General Meeting (AGM) once every financial year. The first AGM must be held within 18 months of the company incorporation.

  • Filing Annual Tax Return with IRAS: A Singapore incorporated company must file the annual tax returns with IRAS by 30 November (paper filing) or 15 December (e-filing).

The purpose of hiring accounting services Singapore is to streamline the accounting of your business. When you engage an accounting firm in Singapore, you can rest assured that your accounting tasks have been carried out in an effective manner while adhering to the statutory obligations of ACRA.

Lastly, after browsing through the blog, you are well versed with the difference between bookkeeping and accounting. Now, you know why accounting is as important as other key aspects of business for long-term survival of your company. Avail professional accounting services from a reliable firm, keep growing and stay ahead of the competition.

Accounting Services Singapore: Count Your Numbers with SBS Consulting

Is hiring accounting services Singapore for small businesses a superfluous expenditure?Outsourcing to the accounting services helps businesses in reducing the economies of scale. However, the most important benefit for the small business owners is that they do not have to worry about the number crunching that the task of accounting involves. However, an accounting firm in Singapore will let you stay compliant through its expertise-driven services.Read the full article Click Here.

Accounting Services

Accounting Firms in Singapore Come to the Rescue of Small Businesses

accounting services Singapore

The field of accounting is an interesting one and currently, accounting firms in Singapore are practicing it to its limits. Only its die-hard disciples working in the accounting services can understand the meaning it can reveal about today’s complexly structured businesses. A well-versed accounting service like SBS Consulting assists its clients in understanding and in aligning their future plans with the industry-wide trends and changes. Such a timely advice increases their chances of survival and gives them means of achieving their growth.

Who Needs Accounting Services Singapore?

Small and Medium Enterprises (SMEs) owners find keeping their books of accounts in order a little bit troublesome, as it takes their mind off their core business activities. For these business owners, hiring accounting firms in Singapore for a reasonable fee is a great option. They do not have to waste time in mastering tricks and tools of accounting in order to ensure their statutory compliance. For this reason, the directors of the private limited company, sole proprietors and partners in limited liability partnerships willingly pay to engage the experts from reputable accounting services.

Financial Health of a Business

According to the corporate law of Singapore, companies with annual turnover in excess of S$10 million have to audit themselves. However, it cannot be undertaken in the absence of fully prepared financial statement. It is where the CPAs (Certified Professional Accountants) employed by the SBS Consulting comes into play.

At the time of bookkeeping for their clients, these accountants meticulously record each and every business transaction of their clients’ business. This is the data they then use to prepare the financial statements. The data is useful for them in knowing the financial efficiency and effectiveness of the business. Auditing is useful in knowing the financial health of a business.

Accounting is a step for the businesses in the direction of financial planning and organization. A meticulous bookkeeping can also let the business owner know about the financial status of business. However, for a complete understanding accounting and auditing of a business is a must. It helps the management, creditors, and investors in the decision-making process.

Cash Flow and Profitability of a Business

Even the firms or companies that are yet to get in the mid-level bracket, find the accounting services Singapore useful in reducing their workload. It saves them from the expenses of employing accountants, buying software and hardware. In return for a fee, they get their accounting done by experts.

Singaporean Taxation System

According to the law, the income of a Sole Proprietorship or a Limited Liability Partnership is considered as the income of its owner. The owners have to pay personal income tax on the taxable income of their firms. Accounting services help these individuals in knowing their taxable income.

SBS Consulting offers following accounting services to its clients:

  • Preparation of profit and loss statements and balance sheets
  • General Account Filing
  • Fixed Assets Ledger
  • Bank reconciliations
  • Cash Flow Statements
  • Preparation of directors/compilation report
  • XBRL statements preparation
  • Financial Analysis for weekly, quarterly, monthly, annual periods

The financial statements prepared by the accounting firms in Singapore reveals how much money a business has made, the amount it has already spent and the profit or the loss, it has incurred. Most importantly, these firms adhere to the Singapore Financial Reporting Standards (SFRS) that are insisted upon by the authorities during the completion of the task.

According to ACRA (Accounting and Corporate Regulatory Authority), the annual statutory compliance is the responsibility of the business’ owners and directors. That is why selecting a proper accounting service is of utmost importance.

SBS Consulting, registered in 2010, is one of the prestigious bookkeeping services in Singapore. It also offers incorporation, bookkeeping, payroll processing, etc services to its Singapore clients.