6 Tasks that Best Accounting Services Do for You
For the small, medium, and big Singapore business owners it is important to know the financial health of their business. It is a vital information for implementing the necessary corrective measures, if required, in the future. The big businesses depend on the in-house accountants for the purpose. However, not all of the small and Medium Enterprises (SMEs) in Singapore can afford the permanent, in-house accountants. They have the option of outsourcing their accounting needs to the accounting services Singapore.
Accounting Firms in Singapore for Small Businesses
The expert and certified accountants working for the accounting services are a great help in understanding the financial performance of businesses. They assist the business owners and managers in streamlining of operations, expenditure and budget. They gather data about the financial transactions of the business, and record, analyze, present and interpret it. They strive to prepare accurate financial statements and take care of the statutory reporting of the business.
Recording of Business Transaction
Accounting services go through your financial transactions and record them accurately in journals, following the accounting standards prescribed by the Singapore authorities. These firm offer to follow the single entry or double entry system as per the business needs of their client. These records form the basis for the experienced accountants who can draw highly accurate conclusions and make predictions for a business’ growth. Each step in the accounting cycle taken to record the transactions is important in revealing the financial health of the business.
The professionals working for the accounting services in Singapore also maintain ledgers based on the transactions included in the journals. It reveals the final balances and is a dependable resource for the future planning. They also come up with the trial balance based on the information extracted from the ledger. Sometimes they need to use correction methods to zero in on discrepancies and negate their effects in order to balance out all debits and credits.
The experts in accounting services Singapore, before preparing financial statements to ensure that they have covered all the entries of invoices and receipts. If there are any adjustment entries to be made they are done on the basis of accrual of income, prepayments, expenses, allowances, depreciation and deferrals. They, if the need arises, can then prepare another trial balance before proceeding with the preparation of financial statements.
Preparing Financial Statement
The accounting services, depending on the requirements of their client, may also prepare non-financial statements. These are based on the data on the state of the economy, quality of workforce and management, market forces, competition and the industry. This type of data is mostly expressed as ratios.
The accounting firms in Singapore offers their services to fit the accounting cycle of their clients. It may be quarterly or yearly. Their output assists the clients in managing their business operations and in keeping track of the budget’s implementation.
Outsourcing to Accounting Firms in Singapore
The current market trend is to outsource accounting needs of the business. It saves the businesses from establishing an in-house facility, needing computer hardware, hiring and training of professionals, licensed accounting software and IT services.
Singapore small businesses benefit from appointing one of the trusted and proven accounting services Singapore. They get rid of a non-core task and save a lot of time and resources. They can also reassign the professionals involved in the task to the core tasks of the organization at a fraction of the cost they would have to bear if they were to conduct the activity on their own.