Bookkeeping mistakes that small businesses often make

Bookkeeping mistakes that small businesses often make

As the owner of a small business, it is important for you to know and be familiar with standard accounting principles and this that can harm your business if you want to grow a successful business. At Bletchleys we have built on the knowledge that many SMME’s and owner managed companies are extremely entrepreneurial and successful however they most often need support when it comes to running their finances, not only efficiently, but also structuring and running their business in the most cost effective way, ultimately leading to growth and profitability.

Here are some common mistakes that we found that small businesses often make when it comes to their bookkeeping:

  • Not being  familiar with standard accounting principles
  • Not trusting the experts
  • Incorrect account reconciliation
  • Not saving receipts
  • Not keeping business and personal finances separate
  • Unapplied or misappropriated credits
  • Unable to distinguish between profits and cash flow
  • No formal system for monitoring petty cash
  • Not backing up files
    Not classifying employees properly with permanent and contract workers
  • Mishandling of credit card entries
  • Incorrect data capture

When partnering with our clients, we at Bletchleys, give business owners the opportunity to concentrate on their own core business whilst providing expertise and support and assisting the business owner in making important financial decisions. The business owner has the choice of giving us as much or as little control as is necessary. We offer support in every aspect of financial management from bookkeeping and corporate governance to secretarial duties, tax planning and financial direction. We effectively partner with companies to ensure that every financial aspect of the business is taken care of. We are a premium financial service provider and adhere to only the highest standards.