many small and medium-sized enterprises (SMEs) like to avoid accounting and invoicing. For many entrepreneurs, it is a task that detracts from the value of real work, is time-consuming and too complicated, but accounting need not be boring and seen as a necessary nuisance. Rather, accounting can help the company at any time to better manage its resources and keep its activities under control.
1. Tax return at the end of the year
A clean tax return lists, among other things, all receipts and expenses for the financial year. As an entrepreneur, you will have to pay tax on the corresponding income generated during the accounting year. If you manage your books correctly and keep track of all your expenses, your profits will be as low as possible and your tax burden will be reduced – a complete accounting can save you a lot of money!
2. Notification of VAT (Value Added Tax)
As a company, you must periodically notify your VAT records to the responsible tax office. These VAT operations, collected from your invoices issued and received, must be sent on time and reported in a complete and clear manner. To make a correct presentation, you must have recorded all the transactions that occurred in the day-to-day running of your business.
You can analyze the figures of your business through the accounting data records and get an overview of how the company is doing. With just a few clicks, you can get reports on sales statistics or cost trends in recent months. At a glance, it is clear which areas are profitable and which areas need further development. At first, you will be able to identify activities that negatively impact and make operational changes. Control helps you proactively align your business and control every part of your business.
Go to the cloud
Accounting in the cloud
As you can see, proper accounting is essential and should be a priority on your priority list. To fully comply with the above suggestions, among many other things, cloud solutions are a perfect choice.
Even small and medium-sized businesses (SMBs) already have online applications, which cost much less than classic downloadable desktop applications. The emergence of cloud applications in the everyday life of enterprises has also brought the flexibility to use software everywhere. Anyone with an Internet connection has real-time access to your business, regardless of time or location.
This means for you that the data is always up to date and therefore all transactions are controlled since a daily log is kept through the transactions entered. This translates into greater security in the presentation of your taxes to the tax authorities. You also have access to your data anytime, anytime, on the go, helping you control and ultimately contribute to the growth of your business.
From the beginning, make sure you choose good accounting software. Many providers, such as Reviso, offer, in addition to recording the exact list of transactions, an intuitive interface ready to start using the tool in a few minutes, saving you time and effort!