What are the accounting processes of a small service oriented business?

Question

Any help with this is appreciated.

Answer 1

I run a web hosting business, and keep all of my own records. I use microsoft money to keep track of all incoming and outgoing expenditures and print out the forms at the end of the year and go to H&R Block.

Answer 2

Just make sure every transaction is documented, authorized and recorded properly. Exercise diligence in doing this. Youll never go wrong when you do.They should be posted so balances are always readily available especially when making financial decisions. Schedule periodic reconciliations and audit of your accounts so the errors will not pile up. It becomes difficult to trace errors when they are not properly identified from the very start. Processes then would be the ff: Journalization, Posting, Reconciliation/Audit & Preparation of Financial Statements (you may follow existing formats of some service oriented businesses that you know if you dont have one yet. just need to make some revisions), Try checking out some related software programs in your area. One thats capable of guiding you smoothly in doing all these processes.This will help you save time and effort.

Answer 3

Our business is a mechanics workshop - I do all our accounts (paperwork) on MYOB Accounting Plus and then at tax time I just forward the accounts from my computer to our accountant and he does what ever he does to get as much money back for us.