Accounting is, above all, strategic management by taking responsibility for drawing up the accounts. It is important to have this vision.
Each year, accounting produces mandatory summary documents at the end of its fiscal year, which are the elements of general accounting. In addition, at any time, it can draw up provisional statements which explain the company’s financial situation.
The company’s partners (bankers, employees, investors, etc.) are very attentive to this financial situation presented by the accounts. Therefore, the first and fundamental role of accounting is to be a financial information tool.
In an accounting document called a journal, all the operations carried out by the company are entered. It is legally obligatory accounting based on the notion of the annual accounting year.
Accounting is governed by law and by accounting principles, rules, and procedures required to respect. This system of organization represents a tool that makes it possible to become acquainted with the assets of a company, and on the other hand, to periodically measure its performance.
The important documents that must be kept in general accounting during the financial year are:
- the ledger
- the inventory book
At the closing of the financial year (closing), the following elements must be established:
- the balance sheet
- the income statement
The accounting year
The period during which a company records all the financial flows is called the accounting year. In other words, during this period, the accountant enters all the accounting entries related to the company’s activities. Although the first accounting period has no minimum duration, it cannot exceed 24 months.
At the end of an accounting year, the company must establish certain mandatory elements of general accounting.
The tax return is also drawn up at the end of an accounting period. The company’s tax return makes it possible to determine and justify the amount of tax payable by the company: it is submitted to the tax authorities.
It is the company’s free choice (except the liberal professions). However, it is customary for a financial year to last 12 months and extends over a calendar year.
The accounting entry
It is the fundamental subject of accounting. It is the information that registers each movement in the accounts. All economic, commercial or financial flows are written to a file. Each accounting entry has at least two lines, each broken down into several columns. An accounting entry includes at least one debit and one credit, which must balance.
The required items are:
- date of operation
- nature of the operation
- supporting document reference
- charged accounts
- the amount of the transaction
Each accounting entry will indeed be justified by a supporting document without which this entry would be without foundation. The link between an accounting entry and the document that justifies the accountant must make it.
MORE PUNCTUALITY AND SPEED OF PERFORMANCE
Each consulting firm that supports the expertise, monitoring, and review of general accounting and sets up accounting adapted to the company in human and material resources must honor its commitments and respect the deadlines of establishing periodic reports, summary documents, and assessments denunciations if necessary.
BETTER VISIBILITY AND PROFESSIONAL ASSURANCE
Large companies, and even medium-sized ones, prefer outsourcing their accounting to accounting firms because this choice promotes their visibility and notoriety and gives more credibility, guarantee, and confidence vis-à-vis the customers.
IN-DEPTH ANALYSIS AND STRICT AND METICULOUS MONITORING
When it comes to a consulting firm, the exercise of the profession is not limited to accounting since the team has more agility and experience to closely monitor any infringement, overspending, misuse of corporate assets, falsification, or use of inaccurate accounts.
A GENERAL DUTY OF ADVICE, RESPONSIBILITY, AND JURISPRUDENCE
The missions of Tax consultant in vienna ( Steuerberater Wien ) are not limited to accounting, but they extend to other disciplines such as management, organization, taxation, and law. This versatility helps ensure more security and growth for your business.
ADVICE AND GUIDANCE FOR THE APPROPRIATE STRATEGIC AND OPERATIONAL CHOICES
The consulting firm can intervene in strategic choices that may link with management, personnel management, the evolution or reduction of capital, the adhesion of shareholders, the implementation of information systems and communication and teamwork techniques, etc.
- Registration of financial transactions
- Production of consumption tax reports
- Preparation and production of payroll, preparation of government or other remittance forms
- Reconciliation of customer accounts and production of monthly statements of accounts
- Reconciliation of supplier accounts and production of checks for signature
- Production and presentation of financial statements at the desired frequency
- Annual compilation of the wage register, production of records of employment, report to the CSST and the Commission des normes du travail
- Production of statements regarding investment income
- Accounting and IT training for company staff
- Or set up the accounting system and support staff following a business needs assessment.
People starting a business should consider the services of an accountant for several reasons.
It is keeping accounting books that comply with standards and facilitate relations between your business and financial or government institutions.
By choosing a professional accountant to keep your books, you will ensure an unbeatable level of expertise and accuracy.
In addition, if you wish to develop your knowledge in terms of accounting, it is also possible to help with the services of an accountant and take advantage of his expertise to obtain accounting training that would be useful to you within your company.
There is a good chance that administrative tasks will become a heavy burden to bear and that this will negatively affect the performance of your business. To prevent this from happening, an accountant can analyze your situation and propose solutions adapted to your needs. By sharing their impressions with you, your accountant serves as a support and even a springboard to propel your business forward.
Keeping books is a time-consuming exercise, especially when it’s not your cup of tea. Time is precious for any entrepreneur who cares about the success of their business. Still, many other tasks take time, and a business leader needs to focus on everything else, such as research and loyalty of your customers. By using the services of an accountant, you can devote yourself to other activities essential to the well-being of your business.
As they say, time is money! By wasting the time you could have spent on other aspects essential to your entrepreneurial success, you risk causing monetary losses. By using the services of an accountant, you will not only save time, but you will also save money.
By handing the task to a professional, you will also avoid expenses related to errors that can lead to costs. If you assign the accountant’s role internally, it will also necessarily be more expensive for you (training, remuneration, paid vacation, benefits). Before making any decision on this subject, it is important to assess your needs about your means.
The long-term vision
If you have a plan to expand your business, grow in your area of expertise, and become a reference by constantly evolving towards new, more daring objectives, ask for the services of an accountant to manage clear and healthy from your books can make the difference.
A Tax consultant in vienna ( Steuerberater Wien ) will help you, in particular, to highlight your financial statements to bring out realistic forecasts and thus to manage to optimize your methods towards concrete results.
By becoming aware of the reports produced by your accountant, you will be able, among other things, to make more informed decisions that will allow you to focus on the performance of your business in the long term.