Imagine you have successfully established your dream business in a national or international market. Now your business will enter into multiple transactions every single day. It’s not possible to remember all these transactions, but there is a mandate to manage them, and that’s where bookkeeping comes into the picture. Bookkeeping is the process of recording day-to-day transactions that take place in a business entity after its incorporation. It is often misunderstood with the term ‘accounting’ or even touted to be same. Bookkeeping is an accounting tool that builds the foundation of accounting by building and maintaining business records whereas accounting, on the other hand, is a much broader concept and it analyzes these records.
The most preferred method of bookkeeping is the double-entry method, where each transaction is recorded twice in the two corresponding accounts simultaneously. The total debit must be equal to the total of credit to maintain the financial balance of the firm.
As we have seen, bookkeeping refers to the maintenance of daily business records. Let’s see why this is essential for any business.
Bookkeeping eases the process of company audit
It is essential for future forecasting and decision-making
It helps to reduce any malpractices
It helps in preparing financial statements
It provides an easy understanding of inflow and outflow mediums of cash
Initiating a start-up or establishing a business involves tasks on multiple levels every passing day. It becomes difficult for the entrepreneurs to keep a check on everything, but then it becomes essential to maintain them. These bookkeeping services are not confined to the size of an organization. Keeping this in mind, the tech industry has developed customized software for small enterprises to ease the process of maintaining books. To help you understand this tech-dealing, we come into the picture and ease out handling them so that you can concentrate on the growth path.
UAE is on the way of transforming itself as a business hub. The emirate is focusing to be the world’s largest business magnet. More the businesses evolution takes place, the demand for bookkeeping and accounting services in UAE shoots up. This gives rise to the number of bookkeeping consultants in the Emirate. Under UAE Law, it is mandatory for all the business entities need to adhere the accounting rules and regulations as per International Financial Reporting Standards (IFRS).
Alriyadah, one of the top bookkeeping and accounting firms in UAE , provides a wide range of bookkeeping service considering a holistic view of business entity types. We deal from the initial to the advanced bookkeeping services. Some of these services include:
A business entity has a mandated rule to follow the bookkeeping and accounting service according to law. Now, at one point it becomes a necessity to evaluate these recordings based on certain parameters for any organization so as to know the level of their performance and stability.
We at Alriyadah evaluate the bookkeeping services on the basis of cost, income and expense categorization, payroll, tax service, software used to maintain the book of records, customer service provided by the business entity.
It’s a difficult and complex process to manage a book of accounts when it comes to international business. At this point, outsourcing bookkeeping services turn out to be a relief. Whether you are initiating your startup or have an established business and want to structure or re-structure the accounts and finance domain, you can count on us. At Alriyadah, we understand your business and deliver tailor-made solutions according to your business needs. Our business experts take care of your financial front, builds specific plans to enhance your business growth. To initiate your first step, do contact us – we’d be happy to assist you.
Bookkeeping refers to the recording of financial transactions whereas accounting is the periodic processing of these records for various business purposes like reporting, budgeting, strategy and planning. In a way, bookkeeping is a prerequisite to accounting.