Our Approach
Bookkeeping Is More Than Categorizing Transactions.
Accurate financial reporting depends on everything behind the reports being handled correctly.
Our bookkeeping process is designed around the complete financial picture of the business, including the profit and loss statement, balance sheet, supporting accounts, liabilities and the transactions that connect them.
A Complete Monthly Process
Our team follows a structured bookkeeping and monthly-close process.
- Revenue is recorded based on the underlying business activity rather than simply treating deposits as revenue.
- Bank and credit card accounts are reconciled to their statements each month.
- Loan and relevant liability accounts are reconciled so principal, interest and outstanding balances are properly reflected.
- Payroll activity is accounted for with attention to wages, employer payroll costs and payroll-related liabilities.
- Accounts receivable and accounts payable are maintained when applicable.
- The balance sheet receives ongoing attention so assets, liabilities, debt, cash and other material balances remain meaningful and supportable.
The objective is to make the financial statements work together as an accurate representation of the business.
The Monthly Close
Accurate Books. Reviewed Before They Reach You.
We don't simply categorize transactions throughout the month and generate reports.
Each client's books go through a formal monthly close. Bank, credit card and loan accounts are reconciled, the month's financial activity is reviewed, and the completed books receive a final quality-control review by our lead auditor.
Completed financial reports for the prior month are delivered by the 15th.
This structured close helps create consistency from month to month and gives the business owner financial statements they can rely on.
Management-Ready Financials
Books Built for the Business Owner.
Some businesses have bookkeeping maintained primarily to support year-end tax preparation.
That work may be sufficient for tax compliance while still producing financial statements that are too basic or aggregated to give the owner a clear picture of how the business is actually operating.
We approach bookkeeping differently.
Revenue, expenses, payroll, liabilities, debt and other financial activity should be represented according to what is actually happening economically inside the business.
That requires meaningful categorization and proper treatment of activity on both the profit and loss statement and the balance sheet.
Tax preparation remains an important use of accurate books. But management-quality bookkeeping should also give the owner dependable financial information throughout the year.
When the Books Need Work
Cleanup Bookkeeping
Not every client comes to us with clean books.
Our team can take over books that are incomplete, poorly structured, incorrectly categorized or otherwise unreliable.
That can include:
- Correcting account classifications
- Reconciling historical accounts
- Repairing revenue or payroll treatment
- Addressing balance-sheet problems
- Correcting system mappings
The objective is to bring the books to a condition that can support dependable ongoing monthly reporting.
Understanding Cash Flow
Profit Doesn't Tell the Whole Story.
Net income and cash flow are not the same thing.
Loan principal payments, new borrowing, owner draws and distributions, owner contributions, asset purchases and other balance-sheet activity can materially affect cash without appearing as ordinary income or expense on the profit and loss statement.
When appropriate, Bill works directly with business owners using a cash-flow analysis that brings together activity from both the profit and loss statement and the balance sheet.
The purpose is simple: to help the owner understand how cash actually moved through the business.