Written by Frederik Kromann 30/9-2022
Digitisation - Avoid errors in your bookkeeping
You are a director of a large company and know that you have to stand up to investors and the board. Your numbers have to be right - otherwise you'll look like an idiot.
It's happened too many times already - and you've tried to talk to your accountant about the quality of the work. You try to talk about digital solutions , and not because you know what they should be or how to use them. You just know that something has to be done. And digitisation is on everyone's lips.
You've probably also read a bit about the new accounting law and once again there's another reason to do something about things.
You're heading for growth or maybe the opposite - either way, it's time to get your troops and your finance function in order. You've considered that you might need an accounting manager/controller because you can't handle budget tracking and reporting anymore.
In addition, you know that the figures you get are not valid, so you almost end up acting as a bookkeeper too. Unfortunately, you need to forecast cash flow more than you need to play bookkeeper - but you can't do one without the other.
It is clear that we see outsourcing of accounting as the way forward, at least to a certain extent.
3 things to do - and also a priority order so you know where to start.
We've seen it too many times - a finance function is too small and the task can seem overwhelming. Luckily, we have a lot of experience stretching that quality net under your accounting department so you can sleep soundly at night.
Quality assurance in your bookkeeping and your entire accounting function
As well as your bank having to vote, so of course does the rest of your bookkeeping. A good indicator of whether things are in order is the number of subsequent entries made by your accountant at the year-end. If there is more than just corporation tax, this is often an indication that the quality of your bookkeeping is not in order.
When we quality assure a month end there is a long list of check points. Here are a few of them.
- Vote your tax account - it's very nice to know if there is a debt to SKAT
- matches posted pay to payroll system and final income - it may be that your payroll and thus your result is completely wrong
- VAT reconciliation - again, things must be booked correctly and the correct VAT must be deducted.
- Reading through bank cards - the easiest way to make sure things are booked correctly
- Depreciate and accrue monthly - this is NOT an accountant's job and should be done every month so your results are accurate
- Save periods - there's nothing worse than sitting with a monthly report and then earlier months have been changed.
- Reconcile all balance sheet items - there is no way around it. Your accountant MUST know what is on all balance sheet items and why. This needs to be done every month, even if it takes mega time.
Digitising your bookkeeping - but you beat yourself
Once you've secured your quality in accounting, you're ready for the next step on the road. Efficient digital bookkeeping.
We have made a small model of the most popular tools for digitisation and how they relate to each other. Start by reading a bit about Corpayone or pleo-there are other tools that may be relevant.
There are many tools that together make sense for your business, and some you need to get up and running quickly, while others can wait.
But regardless, it will always make sense to get the full picture and put the pieces together to create the perfect digital bookkeeping solution for your business.
Education
While ensuring quality and implementing digitisation, it is important that your internal accountant feels up to the task.
It can be difficult to find exactly the right courses for the level your bookkeeper is at. There is no such thing as a dedicated bookkeeping course.
Therefore, we have actually created a solution to accommodate this. We call it the masterclass in digitised bookkeeping.
It is a subscription where you can choose between several different levels. The main focus is on quality and digitalisation.
What they all have in common is that your bookkeeper will have access to professional resources that specialise in optimising and running efficient and digital bookkeeping systems.
At the same time, we are constantly on the sidelines and make sure that you get the digital tools implemented and anchored in exactly the order and in the way that suits your company and employees.
In our masterclass, your accountant has the opportunity for peer training and monthly meetings where things are discussed.
In addition, ongoing telephone support both on e-conomic but also all the digital tools that are implemented. This means that there is only 1 contact person for all solutions instead of mail, chat and phone for 5-6 different software providers.
FAQ:
What is a bookkeeping? It's where all your records should be.
How much does a bookkeeper earn? It depends on qualifications and experience. But bookkeeper salaries range from 25,000 to 50,000 per month.
What does it take to be an accountant? Experience, experience and experience
What is the difference between bookkeeping and accounting? Bookkeeping is where you record things in your accounts
What is bookkeeping? This is the department that records all your receipts
What does a bookkeeper do? They make sure your accounts are up to date and correct
