To give yourself more time to focus and develop your new business, you have decided to engage the professional services of a Singapore Accounting Firm. Outsourcing to accounting services providers is a proven efficient and economical move as customised accounting packages based on your specific business environment and niche requirements cut down your cost, while keeping your books and accounts in order to make annual compliance reporting as straightforward and uncomplicated as possible.
Singapore Accounting Services
As different firms offer different Singapore Accounting Services, a business owner should first be familiar with the three most basic and essential services that a company usually requires.
General ledger reports, trial balances, profit and loss statements, balance sheets and schedules are typical items a company has to deal with in terms of generation and upkeeping. Your service provider ensures that all relevant documents and information, such as financial statements, tax computation and supporting schedules, comprehensive profit and loss statements, are consolidated and kept for easy reference. In other words, the bookkeeping services you pay for usually include maintaining accounts payable and receivable, billing, payroll, taxes and preparing monthly bank reconciliations. You’ll be able to access these information, which are kept thorough and updated, anytime to help you understand your company’s financial standing to help you make better business decisions. You can also identify problems related to costs, expenses and cash flow early to avoid serious problems from arising. Having a provider on top of your books will also help to speed up the retrieval of documents for statutory reporting and filing of taxes.
A Free Bookkeeping Quote Calculator is an excellent resource for estimating the costs involved, which will help you work out your budget before making a decision.
2. Tax Accounting
First, a brief note regarding the difference between accounting and bookkeeping. Bookkeeping (a subset of accounting) is the data entry of financial transactions pertaining to all income and expenses of a business. With the available organised data, accounting is responsible for summarising, analysing, interpreting and reporting these financial information where necessary, which may consist of activities such as
- Preparation of periodic management reports
- Processing of accounts payable and receivable
- Preparation of budgets, financial analysis, business reviews etc.
- Bank reconciliation
- Auditor and tax liaison
- Drafting of financial statements and completing of income tax returns for compliance reporting, as required under the Singapore Companies Act
A professional and reliable Singapore accounting firm will also help your company develop long-term effective tax planning strategies to achieve significant tax savings through maximising all kinds of tax reliefs and treaties.
3. Compliance Reporting
Legal obligations regulated under different business laws that a company has to comply with are a given in any country or territory. It is the responsibility of every business to prepare and submit their tax reports. Depending on business model and scope of activities, some of these requirements include the notification of changes of share capital when new shareholders or directors are added or removed, as well as a list of tax and accounting documents to be filed with various regulatory authorities involving year-end financial statements and board resolutions. As the last thing you need running a new business is the business or tax authorities flagging mistakes in your books and accounts and requesting for investigation of your past records, all of which could result in waste of time and resources, even hefty fines for non-compliance and errors due to negligence or otherwise.
Competent and timely tax planning and preparation will help reduce your company’s tax burden. Engaging a professional Singapore Accounting Firm with financial expertise will ensure you comply with often convoluted statutory requirements.
VentureHaven | Leading Singapore Accounting Firm
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