In doing business, usually, a business manager will use a professional to do bookkeeping. Why? Because bookkeeping is very important. If you also need a professional bookkeeper, Click here.
Bookkeeping may still be strange for some people to hear and sometimes even equated with the word accounting, even though the two words have different meanings even though they are still relatively the same in the scope of use.
Is bookkeeping the same as the accounting process? The answer is no, accounting itself is defined as an activity of measuring, processing, and communicating financial information in a business or an organization. Bookkeeping itself is part of accounting. Where this accounting acts as a moderator between calculations and also stakeholders in the business world.
As one of the pillars of the business process, bookkeeping is the key to the development of the business itself. There are 5 (five) general functions of the bookkeeping process in your business, namely:
• See the advantages and disadvantages experienced by the company or business.
• As a basis for assessing assets, capital, and liabilities accurately to measure the financial position of the company or business.
• List creditors and debtors owned by the company or business in a certain period.
• To analyze the financial health of a business or company
• Facilitate the audit process.