You started your business to chase your passion—not to drown in spreadsheets at midnight, trying to figure out where your money went. Yet here you are, sifting through receipts, second-guessing transactions, and hoping the IRS doesn’t come knocking.
Sound familiar? If bookkeeping feels like a never-ending headache, it’s time to hire a bookkeeper for small business. Doing it yourself isn’t saving you money—it’s costing you time, energy, and financial stability.
It’s time to fire yourself from bookkeeping and bring in a pro who can clean up the mess, keep you organized, and give you back the freedom to grow your business.
What is a Small Business Bookkeeper?
Let’s be real—bookkeeping is not just plugging numbers into a balance sheet and calling it a day.
A small business bookkeeper tracks every dollar coming in and going out, categorizes expenses, reconciles bank statements, and makes sure your books aren’t a total disaster when tax season rolls around.
Small Business Bookkeeper Tasks
So, what exactly does a small business bookkeeper do? Short answer: a lot. Long answer? They handle all the financial nitty-gritty that keeps your business running smoothly while you focus on actually running it. They:
- Track every transaction. Every dollar in and out of your business is logged, categorized, and accounted for—no more mystery charges.
- Reconcile bank accounts. Ever had that “Wait, where did that money go?” moment? A bookkeeper double-checks your business transaction records against your bank statements to make sure everything matches up.
- Manage invoices and payments. Forget chasing down unpaid invoices or accidentally overpaying a vendor—your bookkeeper keeps it all organized.
- Handle payroll. Because your employees probably like getting paid accurately and on time.
- Keep your business tax-ready. No more last-minute scrambling come tax season. A bookkeeper guarantees your records are clean and deductions are properly tracked.
- Prepare financial reports. You can’t make smart business decisions if you don’t know where your money is going. A bookkeeper gives you real, accurate records and cash flow statements that indicate your business’s financial health.
Types of Bookkeeping Services
Not all bookkeeping services are created equal. Depending on how much of a headache you want to avoid, you can choose from three main types of bookkeeping:
DIY Bookkeeping: “I’ve Got This”
If you love spreadsheets, have extra time, and enjoy reconciling numbers instead of running your business, DIY bookkeeping might work for you. With bookkeeping templates, you can track transactions, send invoices, and generate reports yourself.
However, DIY bookkeeping only works if you keep up with it. If your idea of financial management is stuffing receipts into a shoebox and “dealing with it later,” this will backfire fast.
In-House Bookkeeping: “The Inside Job”
Hiring a bookkeeper as an employee means you get someone dedicated to managing your books full-time. This option is best for larger businesses with high transaction volume and a need for daily bookkeeping support.
Note: in-house bookkeepers come with salary, benefits, and overhead costs. If you’re not ready to commit to a full-time hire, this might be overkill.
Outsourced Bookkeeping: “Why Didn’t I Do This Sooner?”
This is the sweet spot for most small businesses. Instead of hiring someone in-house or struggling to do it yourself, you partner with a professional bookkeeper or a professional bookkeeping service to handle everything remotely. You get expertise and peace of mind—without the cost of a full-time employee.
Signs You Need a Bookkeeper (It’s Time to Fire Yourself)
Let’s be honest—if you’re reading this, there’s a good chance your bookkeeping situation is already a little (or a lot) messy. Are your receipts stuffed in a drawer, does your bank balance never quite match your records, or is scrambling every tax season your favorite type of torture?
If any of these sound familiar, it’s time to fire yourself from bookkeeping and bring in a pro:
#1. You’re always behind on your books.
If your idea of bookkeeping is a quarterly (or, let’s be real, last-minute) binge session where you try to remember what that $227 charge from three months ago was, you need help. Bookkeeping should not be a panic-inducing event.
#2. You have no idea if you’re making or losing money.
If you don’t know your actual profit or avoid looking at your financials altogether, that’s a red flag. A bookkeeper guarantees you have clear, up-to-date numbers so you can make smarter financial decisions.
#3. Tax time feels like a horror movie.
If April rolls around and you’re scrambling to find receipts, match transactions, and make sense of what you think you earned last year, it’s time to let a bookkeeper take over. No more chaos—just organized books ready to hand off to your accountant.
#4. You’re missing invoices or forgetting to pay bills (yikes).
Late payments and lost invoices make you look unprofessional. A bookkeeper keeps track of what’s owed to you and what you owe, so you’re always on top of your finances (and no longer dodging awkward vendor calls).
#5. Bookkeeping is taking over your (limited) personal life.
If you’re spending nights and weekends buried in spreadsheets instead of growing your business, something’s got to give. Bookkeeping is essential, but it’s not where your time is best spent—and outsourcing bookkeeping frees you up for what actually matters.
#6. Your financial records are a hot mess.
If your books are a mix of paper receipts, random notes, and “mental accounting,” it’s time to bring in structure. A professional bookkeeper organizes everything so you can see your financial picture clearly—without squinting at last month’s napkin notes.
How to Hire the Best Small Biz Bookkeeper (For You!)
Your business is your baby—and you wouldn’t let a stranger hold handle your baby, right? Asking the right questions to see if a bookkeeper is a good fit for your industry is super important. Here are a few questions to get you started.
- What accounting software are you most proficient in, and why do you prefer it?
- Can you share your experience working with businesses in different industries?
- What steps do you take to identify and fix bookkeeping errors in financial records?
- Have you ever transitioned to a new bookkeeping system? How did you manage the switch?
- How do you stay updated on changing bookkeeping regulations and best practices?
- What tools or methods do you use to keep financial records organized?
- Can you explain the three-way match process and why it matters?
- If you spotted a small discrepancy during a business bank reconciliation, how would you handle it?
- How do you communicate complex financial details to business owners in a way that’s easy to understand?
Bookkeeper for Small Businesses: Frequently Asked Questions
How much does a bookkeeper cost for a small business?
Small businesses typically spend 1-5% of their monthly revenue on bookkeeping services. The exact cost varies based on factors like transaction volume, business complexity, and the level of support needed.
Is a bookkeeper cheaper than an accountant?
Yes, bookkeepers are generally more affordable than accountants. Bookkeepers handle day-to-day financial tasks, while accountants focus on tax planning and financial strategy. Small businesses often use bookkeepers for routine work and accountants for tax filings and complex financial needs.
What is the best bookkeeping method for a small business?
The best bookkeeping method depends on your business size and needs. Accrual accounting is ideal for businesses with inventory or credit transactions, while cash accounting works well for small businesses with simple finances. Many businesses also use bookkeeping software like QuickBooks or Xero to streamline the process.
Take the Hiring Stress off Your Shoulders and Find Your Perfect Bookkeeping Match
It’s time to fire yourself and hire the help your business deserves. Get back to doing what you love (aka running your fabulous business) and leave the bookkeeping to a perfectly matched pro. Let’s talk!
