Overview
Accounting & Bookkeeping-Complete Overview
What is Accounting & Bookkeeping?
Accounting and Bookkeeping are the backbone of any successful business. While bookkeeping focuses on the systematic recording of daily financial transactions—such as sales, purchases, and payments—accounting involves interpreting, classifying, analyzing, and summarizing that data. Together, they provide a clear picture of your company’s financial health, ensuring that every penny is accounted for and that your business remains transparent and organized.
Eligibility for this Service
Every business entity, regardless of its size or legal structure, requires professional accounting and bookkeeping. Whether you are a budding Proprietorship, a Partnership firm, an LLP, or a Private Limited Company, maintaining statutory books of accounts is a legal mandate under various Indian laws, including the Companies Act and the Income Tax Act. Even freelancers and consultants benefit from these services to track their income and simplify tax filings.
Importance and Benefits
Maintaining accurate records is not just about compliance; it is about survival and growth. Systematic bookkeeping prevents costly financial errors, helps in monitoring cash flow, and ensures you are always prepared for audits. The primary benefits include informed decision-making based on real-time data, seamless GST and Income Tax filing, and building credibility with banks or investors when seeking business loans or funding.
The Systematic Process
The process begins with the collection of primary documents like invoices, receipts, and bank statements. These are then categorized and entered into accounting software. Following this, we perform bank reconciliations to ensure the records match your actual bank balance. Finally, we generate essential financial statements, including the Profit & Loss Account and the Balance Sheet, providing you with a comprehensive overview of your fiscal performance at the end of the period.
Documents Required
To initiate the process, you will need to provide basic financial records. These typically include Bank Statements for the relevant period, Purchase and Sales Invoices, expense vouchers, records of any loans or liabilities, and previous years' audited financial statements if applicable. Additionally, access to your GST and Income Tax portals may be required to ensure all filings are synchronized with your books.
How NYAYAPATH LEGAL LLP Can Help You
At NYAYAPATH LEGAL LLP, we take the stress of \"number crunching\" off your shoulders so you can focus on scaling your business. Our team of experts provides end-to-end support, from setting up your initial charts of accounts to final statutory audits. We leverage modern cloud-based accounting tools to provide you with 24/7 transparency. With our meticulous approach, we don't just record history; we provide the financial insights you need to write your business's future
