What are the benefits of business accounting

What are the benefits of business accounting?

If you think that business accounting only deals with bureaucracy, know that it brings many advantages to the company. Check out the main ones:

Compliance up to date

Naturally, one of the main advantages of business accounting is having tax, legal and labor compliance always up to date. In this way, the company avoids penalties such as fines and inspection actions, in addition to maintaining an exemplary conduct before the market.

Financial control

Business accounting provides a series of reports that make up a complete financial picture of the business. Thus, managers are able to follow the evolution of finances and seek solutions to increase profitability.

Tax opportunities

The accountant is also an important ally to take advantage of tax opportunities. With good accounting, it is possible to do tax planning to reduce taxes and take advantage of tax incentives offered by the government.

cost reduction

Accounting for companies is also focused on reducing costs for the business. By recording all financial transactions and making the company’s general balance sheet, the accountant is able to identify opportunities to cut expenses and use the available funds more efficiently.

Support for strategic planning

Every manager needs business accounting to guide their strategic planning. With the reports and financial statements, it is possible to understand the current situation of the company and make accurate projections.

As a result, the decisions taken are much more accurate and based on relevant data.

Transparency

Having efficient accounting also provides greater transparency for the company and its managers. Without this service, entrepreneurs work “in the dark” and cannot visualize business numbers and processes.

Have a chart of accounts

Another essential point of business accounting is the chart of accounts. It gathers the company’s accounts payable and receivable, being necessary to organize the obligations and rights of the business.

Analyze accounting statements

Accounting statements are reports that show in detail the financial situation of the company. The main ones are:

DRE (Income Statement for the Year), a summary of revenues, costs and expenses that shows whether the company made a profit or a loss in the period;

Balance sheet, which compares the company’s assets and liabilities;

Trial balance, which functions as a partial balance sheet delivered during the year.

Together, these reports offer a complete view of the business situation and help the entrepreneur to predict his next steps.

Manage taxes

Much of business accounting is dedicated to the tax management of the business. This means calculating, calculating and paying the taxes owed by the company, in addition to submitting the declarations required by the Tax Authorities.

Depending on the business type, taxes can be simpler or more complex. In Simples Nacional, for example, it is enough to pay a single monthly contribution slip with all taxes. The Real Profit and Presumed Profit regimes require a more detailed assessment.

 

Take care of work obligations

Business accounting also covers labor and social security obligations. Every month, the entrepreneur must transmit information about wages, vacations, admissions, dismissals and other events through eSocial.

Hire an accounting service

As we have seen, accounting can be quite complex, so it is recommended that you hire a professional service to take care of this area. Today, there are several digital accounting companies with affordable monthly fees that resolve all bureaucratic procedures and guarantee your business obligations over the internet.