Signs that you have a Bad Bookkeeper

Bookkeepers, as discussed in our previous blog, are vital to the success of your organization as they are in-charge of your financial wellness. Healthy growth of an organization is ensured by having accurate numbers and those are the responsibility of your bookkeeper. Bookkeepers play a pivotal role not only in finances, but also in making strategic decisions. With the bookkeeper having such a crucial role to play in the survival and sustenance of your company, you need to know the difference between a good and a bad bookkeeper. A definite telltale sign of a bad bookkeeper is collapsing finances. Before it reaches to that point, there are a few signs that indicate that you might have a bad bookkeeper. Read on to find out what those are!

  • Timely and effective communication between you and your bookkeeper are utmost essential. If your bookkeeper is delayed with responses to your queries and gets defensive when questioned about something, it is a sure sign that your bookkeeper is either too busy or not invested in you or trying to hide something. It is important that you get timely responses as they are required for taking crucial decisions.

  • Your bookkeeper should be prompt with deadlines, as in submission of reports, filing income tax returns before due dates and closing books at the end of each month. Each of the duties that a bookkeeper performs is vital for running of the business. You cannot have your bookkeeper missing out on a deadline as financial deadlines are often too costly to bear.

  • Missing expenses is another mistake you cannot afford to have. With every tax return, you reduce the taxes you owe. So miss one and you will lose out on expenses, in particular, small businesses. So it is an important indicator of bad bookkeeping if your bookkeeper misses out on expenses.

  • Not being proficient in bookkeeping terminologies is a big red flag from your bookkeeper. Also, they have to be aware of various rules and guidelines to properly manage your books. These are two important factors because, they minimize errors and save you time. Less errors and saved time directly translate to more money and definite success. So make sure your bookkeeper is an expert in both these aspects or else, you might need a new bookkeeper!

  • As the owner of the business, you need to have a full-fledged and unfiltered access to your books. Pay close attention to your bookkeeper if they try to hinder or deny access to your books. This is a serious warning that your bookkeeper is hiding something from you and harmful to the reputation and existence of your business. If you don’t have full access to your books, you definitely have a bad bookkeeper.

  • Receiving and processing payments on time is essential for smooth sailing of your business. If there are any check bounces or delayed/denied payments, it means that your bookkeeper missed out on some important duties. If there are any such instances, it is a sure-fire sign that your bookkeeper should go!

  • A bookkeeper should have a good understanding of your business so that they can provide valuable insights and suggestions for growth of the business. They should help you identify problematic areas, offer insights and point out growth regions. If your bookkeeper is not proactive in any of these, then it’s time you consider a change of your bookkeeper.

  • Any business runs on trust. If you cannot trust your bookkeeper or question their work, then it is worth paying closer attention to them. If you see the same mistake again and again or you have a feeling that something is not right, it’s time to reconsider your bookkeeping services.

If you happen to notice any of these signs from your bookkeeper, it is time to find someone new. As the owner of a business, you will be occupied with a lot of crucial details and you might not be familiar with a lot of aspects that bookkeeping involves. It becomes difficult for you stay on top of it. Worry not though, we have got you covered! Solvit Hub specializes in providing first-class bookkeeping services at attractive prices. Relax and sit back while we take care of your bookkeeping for you! For more details on pricing and deals, click here .