Category: Business Management

Bookkeeping 29 Sep

The Role and Importance of Good Bookkeeping

A bookkeeper must be responsible for maintaining the integrity of a company’s day-to-day record of financial transactions.  That company entrusts their very business health and welfare to somebody who performs that duty with reliability and integrity.  The expertise and meticulousness with which that task is performed directly reflects upon the firm.  It is no wonder that the recent error in the identification of the winning Oscar film became an issue of major proportions; when a well respected accounting conglomerate with a global reputation made a tactical error, the integrity of the entire process of the show came under fire.  It’s that same integrity your bookkeeper must have when keeping accurate books.

 

As maintainers of records and financial information, bookkeepers interact regularly with other financial experts and management personnel, from bankers to stockbrokers, and from auditors to tax advisors.  As such, they are frequently attending meetings where they encounter peers as well as individuals engaged in other areas of business management.  One frequently sees accountants, bookkeepers, tax administrator and similar professionals professionally dressed.  If they are ever mindful of the bottom lie, wearing suits and dresses from Brooks Brothers, can serve as a demonstration of how they not only manages their personal books and finances, but also how they can be expected to handle clients.  Taking advantage of the current 50% discount on spring and fall suits when purchased with a Groupon coupon would be a smart move to make.

Today the tablet or laptop computer and specially developed software has replaced the traditional daybook and hand ledger that were symbols of the bookkeeping profession.  However, the principal tasks remain the same and in certain ways are even more important than ever.  Today’s bookkeeper must keep track of financial matters and transactions that may take place in real time and across the ocean.  Erroneous financial records can have a major impact upon the financial well-being of a business.  So reliable maintenance of the books is an essential component of business management.  With the information they provide – coupled with the work of the accountants who take that information and use it to produce financial statements – the managers of the firm can make informed decisions regarding future financial policies and actions.