Bookkeeping for Dentists and Dental Clinics
As a professional dentist, you’ve got your hands full managing the ongoing dental needs of your growing client base. But, like any business, dental clinics require strict bookkeeping practices in order to thrive financially. Rather than spending your valuable time keeping your practice’s books, why not outsource your bookkeeping and save money. Read on to find out everything you need to know about outsourcing bookkeeping for dentists.
Bookkeeping & Accounting Services for Dental Clinics
The importance of bookkeeping for dentists
When you think of bookkeeping, you may think of data entry and filing bank statements. You may even wonder why you need a bookkeeper at all. After all, you’re already paying an accountant good money to prepare your financial statements each quarter and at the end of the financial year: why can’t your accountant keep your business’s books as well?
The answer is twofold. Firstly, while your accountant has many roles to play, bookkeeping for dentists is not one of them. Accountants tend to charge high rates: much higher than a local bookkeeper, and certainly higher than an overseas worker who specialises in bookkeeping for dentists. And while accountants are used to sole traders and small business owners handing them a bundle of paper receipts and a lever arch file full of bank statements every tax accounting period, the amount of time necessary to get the books in order before the official accounting work can begin can easily cost the client thousands of dollars. A much more cost-effective option is to outsource your bookkeeping for dentists to a specialised bookkeeper, who will undoubtedly charge much lower rates than your accountant.
Secondly, the purpose of maintaining good financial books is not simply to assist your accountant when it comes to preparing financial reports. Good bookkeeping provides a wealth of information to business owners and practice managers, giving an idea of the cash flow position of the business at any point in time. It is not sufficient to run your business blindly and only have insights into your financial position once a quarter or, worse, once a year. Businesses that would otherwise be profitable have failed, simply because no one was aware that there were insufficient levels of cash flow at a specific point in time in order to sustain the business’s obligations.
Why dentists shouldn’t do their own bookkeeping
You’ve worked hard to earn your dental qualifications, and even harder to build your own dental practice from the ground up. It is understandable that a part of you wants to take care of your own bookkeeping for dentists. We understand that it can be hard to hand over the reins to someone else, particularly when it comes to financial matters. On the other hand, it is important to keep in mind that you are only one person, and you must always prioritise to maximise your limited time.
As a qualified dentist, your time is best spent tending to your patients and managing your staff: not completing administrative tasks that can easily be outsourced. For many small businesses, bookkeeping is one of the first tasks to be outsourced: firstly because having someone handle bookkeeping for dentists and other small businesses is relatively inexpensive, and secondly because a qualified, experienced bookkeeper can handle the bookkeeping tasks in a fraction of the time that an unqualified person would take.
Outsource your bookkeeping for dentists to the right person
It is important to choose your bookkeeper very carefully. After all, you’ll be giving this person access to your business’s financial accounts, so it is imperative that you choose a person you can trust. At Free My Cloud, we choose the bookkeepers that we work with very carefully. All of our staff are located in the Philippines, and all have university degrees with a minimum of a four year Bachelor of Science in Accountancy. All bookkeepers at Free My Cloud are trained in the global International Financial Reporting Standard (IFRS), which is the standard used in Australia and other countries around the world except the United States.
To find out how Free My Cloud can handle all tasks relating to bookkeeping for dentists, contact us today.
Free My Cloud Pty Ltd can service dental clinics in all cities including Sydney, Melbourne, Brisbane, Perth, Adelaide and all regional areas.