The business carries out various transactions in the course of the year before the final production of the annual accounts. The information which comes in various forms such as receipts, bank statements, invoices, bills and various other forms of business transactions. The informtion if not categorized and sorted out becomes meaningless and would help anyoone to understand what exactly is happening in the business. The information has to be captured, categorised and reported out to produce the accounts.
Systematic production of well laid out financial information and which can easily be traced to source documents is the hallmark of a sound Bookkeeping. FAFS offers this service to its client especially for those who do not have time to sort their documents. We however need to emphasize the fact that the less orderly information is presented to us as your accountant the more it take us time to extract the relevant information to enable us to produce the client’s accounts hence the cost of doing to do so. All businesses must keep and preserve certain records and accounts and be able to present these upon request to HM Revenue and Customs (HMRC). If you’re VAT registered you must keep records and accounts and/or if you’re importing or exporting you must declare any goods you move and keep appropriate records. Although a lot of trade is carried out electronically it’s still important to have an efficient system of record-keeping and to know how long to store documents