Bookkeeping is the process of recording your company’s financial transactions into organised accounts on a daily basis. For a number of reasons, bookkeeping is an important aspect of your accounting process. Companies can track all information on their books and make key operating, investment, and financing choices with proper bookkeeping.
Individuals who manage a company's financial data are known as bookkeepers. Companies would not be aware of their current financial situation or internal operations without bookkeepers.

Importance of Bookkeeping

1. Proper bookkeeping delivers a reliable measure of a company's performance
2. It also serves as a guide for making general strategic decisions and a benchmark for the company's revenue and profit targets
3. In short, once a company is up and operating, it is necessary to devote more time and resources to preserving accurate records
4. Due to the high cost of full-time accountants, many small businesses do not hire them
5. Small businesses, on the other hand, are more likely to hire a bookkeeper or outsource the task to a professional agency
6. One thing to keep in mind is that many people who want to start a new business forget the necessity of things like keeping track of every penny spent
7. It also helps in detecting frauds or bank errors.