John H. Adair, CPA

Bookkeeping

Frequently Asked Questions

How It All Works

Pricing

Ready to get started?

Small Business Accounting

Frequently Asked Questions

Why is bookkeeping important to my small business?

As you are aware, there is a lot that goes into running your own business. While concentrating on your core business, financial record keeping can easily become overwhelming. Maintaining your finances in good order is critical to the success of your small business for several reasons. Your books need to be accurate so you can file proper tax returns. Regular financial reports may be required by your banker, insurance agent or investors. Most importantly, good bookkeeping gives you critical information, an accurate financial picture of your company and allows you to make better business decisions, which will increase your profitability.

Should I outsource my bookkeeping?

Outsourcing your bookkeeping will free up your time as a business owner, to focus on the core functional activities of your business. Outsourcing is cost effective. Employing a bookkeeper in-house is expensive. The cost to employ a bookkeeper is not limited to just their salary. The true cost includes the often over-looked expenses of employer payroll taxes, workers compensation, medical insurance, retirement plans and other benefits. It can also result in cost savings by freeing up office space and computers and eliminating the need to purchase or upgrade software. Most critically, it gives you access to accounting expertise not available in-house and provides you with peace of mind in knowing your bookkeeping is correct. It will also enable the confidence that comes with understanding your financial statements and learning how to use them to run your business more effectively. In short, outsourcing improves performance and profitability. We can assist you in obtaining accurate and current data upon which you base your decisions.

Should I outsource my bookkeeping or use off-the-shelf accounting software?

Though accounting systems can be inexpensive, they can become costly in the hands of an untrained person.While the use of software such as QuickBooks ® offers business owners the option to manage their own finances, there are also limitations. First and foremost, to take full advantage of the software, the business owner needs to have knowledge of and feel comfortable with financial data and accounting. Unfortunately, many small business owners lack this type of knowledge. In our experience, we sometimes find it necessary to scrap all of a business owner’s hard work in performing their own bookkeeping, due to technical errors discovered when a professional steps in. In addition, we often find that business owners, who have purchased accounting software, end up using only the invoicing or checking functions because they do not fully understand and do not have the time to learn the software.

The cost of purchasing, maintaining and upgrading the software is another factor to be considered in the decision to outsource. While the initial purchase price of the software may be more cost-effective in the long-term than hiring a CPA or a full-time bookkeeper, this does not account for the opportunity cost of the time that the business owner must devote each month to maintaining their own books. With our reasonable rates for small businesses, we offer the best of both worlds, affordable accounting with computerized data entry, record keeping and reporting. Outsourcing your bookkeeping to us just makes good business sense.

What process do you use to complete my accounting?

We have streamlined our process to provide small businesses with top quality accounting services at a reasonable cost.

Our process involves:

Send your documents (For example, the bank statement, check register, credit card statements, etc.) to us electronically.
We process all data onto our accounting system.
We complete and provide you with monthly professional financial reports.

If you have any questions about your reports or your accounting, just call or e-mail us and we will answer your questions.

What size and types of small businesses do we serve?

We serve small businesses of all types and in all industries. We focus primarily on small businesses with less than 10 employees. This allows us to provide the best possible service to each one of our clients.

What kind of financial reports will we provide?

Our standard monthly reporting package includes the Income Statement, Balance Sheet, Detailed Trial Balance and Bank Reconciliation. Other customized reports are also available.

How It All Works

We have streamlined our process to provide small businesses with top quality accounting services at a reasonable cost.

Our process involves:

Send your documents (For example, the bank statement, check register, credit card statements, etc.) to us either electronically or by mail.
We process all data onto our accounting system.
We complete and provide you with monthly professional financial reports.

If you have any questions about your reports or your accounting, just call or e-mail us and we will answer your questions.

Pricing

Pricing really does vary, depending on what you need done. Every client gets a custom quote, because every business is different. Pricing for monthly package rates vary based on the number of bank checking accounts and credit card accounts you have, the average number of checks typically written per month, whether you take online payments, and various other transactions and issues involved.

Prices range from the simplest self-employed business at about $200 / month, to a much more complex small business with up to 10 employees and many different accounts paying about $700 / month -- which is less than 25% of having to hire a full-time bookkeeper. My average client pays in the $300 - $500 / month range.

I charge a one-time Set Up Fee that is equal to one month's fee. The Set Up Fee allows me to spend time getting to know you and your unique business and also covers a thorough review of your current books and systems. This review includes your small business accounting software (i.e., QuickBooks or Peachtree file, etc.) if your business is already accounting computerized.

Ready To Get Started?

Are you ready to turn your bookkeeping headaches into a tool for building business momentum and creating greater profits within your business? Are you ready to stop trying to be the jack of all trades? Are you ready to stop feeling so frustrated and gain some peace of mind?

The best way to get started is to give me an overview of your business.

Small Business Accounting

For too many small businesses, Accounting is the function that business owners usually want to ignore. If not attended to, it becomes a weakness and could lead to the failure of the business. Would you drive your car blindfolded?

Successful businesses didn't become successful by mere coincidence. They understood the value of good records. They are willing to invest in accounting systems to ensure timely, accurate and use information.

As a small business owner you have more important things to do than to keep your own books. We take care of your books for you, so you can get back to the job of running your business and generating profits!

Each month or quarter we'll do the following things for you...

Reconcile your bank account
Generate an income statement
Generate a balance sheet
Clean up your general ledger
Provide unlimited consultations

These tasks form the solid foundation of your small business accounting system. You can customize the package of services you receive by adding payroll, tax planning, tax preparation, or any of our other services.

Bank Reconciliation

Reconciling your business checking account each month allow us to keep your bank account, accounting, and taxes up-to-date.

Having us reconcile your account each month allows you to..

Identify lost checks, lost deposits and unauthorized wire transactions.
Detect and prevent excess/unjustified bank charges and ensures transactions are posted correctly by your bank.
Detect and prevent embezzlement of funds from within your company.
Know how your business is doing? You can't really know unless all accounts are reconciled and properly accounted for on your financial statement.
Manage your cash more effectively. Proper management of funds not only saves money, it makes money for you.
Protect yourself. By timely reconciling and promptly objecting to your bank about any unauthorized, fraudulent or forged checks presented to your bank and paid by that bank, you can relieve your agency of responsibility for the shortfall and transfer the risk to the bank. This reason to reconcile alone should be enough. Crime exists.
Sleep Better. You will sleep more peacefully at night knowing your bank accounts are reconciled, in balance and that all escrow funds, accounts, checks and disbursed funds are properly accounted for.

Income Statement

An income statement, otherwise known as a profit and loss statement, basically adds an itemized list of all your revenues and subtracts an itemized list of all your expenses to come up with a profit or loss for the period.

An income statement allows you to...

Track revenues and expenses so that you can determine the operating performance of your business.
Determine what areas of your business are over-budget or under-budget.
Identify specific items that are causing unexpected expenditures. Like phone, fax, mail, or supply expenses.
Track dramatic increases in product returns or cost of goods sold as a percentage of sales.
Determine your income tax liability.

Balance Sheet

A balance sheet gives you a snapshot of your business' financial condition at a specific moment in time.

A balance sheet helps you...

Quickly get a handle on the financial strength and capabilities of your business.
Identify and analyze trends, particularly in the area of receivables and payables. For example, if your receivables cycle is lengthening, maybe you can collect your receivables more aggressively.
Determine if your business is in a position to expand.
Determine if your business can easily handle the normal financial ebbs and flows of revenues and expenses?
Determine if you need to take immediate steps to bolster cash reserves?
Determine if your business has been slowing down payables to forestall an inevitable cash shortage?

Balance sheets, along with income statements, are the most basic elements in providing financial reporting to potential lenders such as banks, investors, and vendors who are considering how much credit to grant you.

Maintaining a Clean General Ledger

The general ledger is the core of your company's financial records. These records constitute the central "books" of your system. Since every transaction flows through the general ledger, a problem with your general ledger throws off all your books.

Having us review your general ledger system each month allows us to hunt down any discrepancies such as double billings or any unrecorded payments. Then we'll fix the discrepancies so your books are always accurate and kept in tip top shape.

Unlimited Consultations

We are always available to spend time with you so you fully understand how to interpret and utilize the financial information we provide. Our consultations are already included in our price, so please feel free to call us whenever you have a question or concern.

Benefits of Outsourcing

Most small to middle-sized businesses choose to outsource their bookkeeping for several primary reasons:

You save money and time
You don't want the hassle of hiring, training, and bookkeeper turnover
You want the advantage of tax savings

Take a moment to review our comparative chart and see for yourself the benefits for outsourcing your bookkeeping to QuickBooks® ProAdvisors over hiring an internal bookkeeper.

	Internal Bookkeeper	Outsourcing Bookeeping
Payment	Salary and Benfits must be paid whether or not work is being accomplished, vacation and holiday, for example.	You are buying services, not hours. Pay for time actually working on account on an hourly or transaction basis.
Availability	If accounting is not a core competency for you, there is no replacement when the bookkeeper is sick.	There is always a person on staff to keep your books up-to-date.
Relationship	Employer-employee personal relationships can create emotional attachement that often detracts from proper professional management.	Professional relationship between two companies brings the trust of an employee, but employee personal problems do not interfere.
Turnover	Bookkeepers often gain experience and move on to work for another company.	The outsourcing company continually is motivated to work hard and keep their client’s business.
Time and Resources	Employee supervision, turnover, use of your office space and/or computer.	Frees up focus from financials to focus on business strategy and goals.
Knowledge	Rely on one employee who may have limited training to keep your books and financials in order.	There generally is more training of employees and you can tap into the resources and expertise of a full accounting firm.
Information Safety	Rely on your computer and boxes of papers to save your bookkeeping.	Access to system back-up on and off-site, electronic document storage capabilities.

Payroll

When it comes to paying employees, laws and the IRS have made the payroll function a time consuming nightmare for the small business owner.

Small business owners spend an average of eight hours a month performing payroll functions. That's 12 full days a year that could be spent generating sales, prospecting new business opportunities, improving products or services, or servicing customers.

We offer payroll solutions that meet your business's needs and enable you to spend time doing what you do best--running your company.

Why Outsource Your Payroll...

It's Cost Effective
Use your staff more efficiently by letting us handle payroll and the associated legal details. Reduce overhead by removing the need to hire specialized employees.
It's a Time Saver
Our payroll service eliminates the burden of customizing, updating and maintaining your own payroll system--no more data entry, no more researching updates or new laws, no more worries.
Worry Free Payroll Tax Filing
Eliminate the risks of calculating and filing your own payroll taxes by having professionals do it for you. Federal, state and local payroll tax laws are frequently changing and becoming more complex. How much time do you want to spend learning all the rules and keeping your information up to date?
Allows You To Focus On Core Competencies
Our professional staff allow you to focus on the core competencies of your business. We are accounting professionals--you get the experts working for you and with you.
Comprehensive Reports
You get a wide variety of user-friendly and accurate payroll reports. For a nominal fee, we will include union reports, certified payroll, workers' compensation reports and much more.

Get the Payroll Solution That Best Fits Your Needs.
We know that when it comes to payroll service - no one size fits all. That's why we offer the following 3 custom payroll processing options.

1. Comprehensive Payroll Services
Our Comprehensive Payroll Service takes care of all of the payroll processing for you, so that you won't have to. You get...

Your payroll checks prepared and printed on-time, every-time.
All of your payroll checks are laser printed on "blank" check stock to ensure maximum security and meet the micro encoding standards as set forth by the Federal Reserve System.
Free Direct Deposits
Worry Free IRS and State tax reporting as well as EFTPS tax deposits.
User friendly, and easy to understand monthly, quarterly, and annual payroll tax reports, including W-2, W-3 and 1099 forms.
Detailed reports on your employee's vacation, sick days, and personal days accruals.
Creation and filing of the required new hire reports
Your payroll records maintained in tip top shape.

2. After-the-Fact-Payroll Services
We will take your manually-prepared payroll records and other payroll information and post this information to our data files, so you get...

Worry Free IRS and State tax reporting as well as EFTPS tax deposits.
User friendly, and easy to understand monthly, quarterly, and annual payroll tax reports, including W-2, W-3 and 1099 forms.
Detailed reports on your employee's vacation, sick days, and personal days accruals.
Creation and filing of the required new hire reports
Your payroll records maintained in tip top shape.

3. Online Payroll Processing
You can enter your employee's hours and earnings securely online and get...

The ability to instantly print payroll checks on your own printer.
Free Direct Deposits
Worry Free IRS and State tax reporting as well as EFTPS tax deposits.
User friendly, and easy to understand monthly, quarterly, and annual payroll tax reports, including W-2, W-3 and 1099 forms.
Detailed reports on your employee's vacation, sick days, and personal days accruals.
Creation and filing of the required new hire reports
Your payroll records maintained in tip top shape.

Custom Payroll Reports Service
There seems to be an endless amount of special reports Government agencies require. We can prepare the following reports for you.

Worker's Compensation Audits
Unemployment Claims
Social Security Audits
Child Support Audits
W-2 and W-3 processing
1099 and 1096 processing
Preparation/assistance with Federal and State registration forms

How much do we charge?
In order to give you an accurate price for our payroll services we need to know a little more about your business and what services you're interested in. Our prices are very affordable.

Please complete the form below to get a Free Consultation and complete pricing of our Payroll Processing Services.

Tax Services

Preparing your own income tax return can be a task that leaves you with more questions than answers. According to a study released by the US Government's General Accounting Office last year, most taxpayers (77% of 71 million taxpayers) believe they benefited from using a professional tax preparer.

Whether we like it or not, today's tax laws are so complicated that filing a relatively simple return can be confusing. It is just too easy to overlook deductions and credits to which you are entitled. Even if you use a computer software program there's no substitute for the assistance of an experienced tax professional.

Here's what you get...

Your tax return will be checked and rechecked by our computer software identifying potential problems the IRS may look at more closely and reviewing the math to limit IRS contacts.
Your tax return can be filed electronically so you will get a refund back quicker.
Our staff will show you how to adjust your payroll withholding to get more money back each week. Why give the IRS an interest free loan for up to 16 months.
We will show you potential deductions to limit your tax liability for next year. In addition, we will give you a sheet of commonly overlooked deductions to limit the following year's tax liability.

Books a Mess? No Problem!
If you own a small business and haven't kept up your bookkeeping, don't worry. We can help you. We'll prepare your bookkeeping for the year, prepare a full Schedule C, as well as your personal income tax return. Then we'll help you set up an easy system that allows you to keep your books in tip-top shape next year.