Accounting Services For Small Businesses Singapore
There is a widespread misunderstanding that terms like "bookkeeping activities" and "accounting activities" are interchangeable. This may not always be incorrect. But it's crucial to understand the differences between the two.
Only documenting financial transactions according to assets, liabilities, equity, income, and costs is the focus of bookkeeping tasks.
Recording, measuring, categorizing, confirming, summing up, analyzing, and conveying financial information are all included in accounting operations. Accounting discloses a company's profit or loss for a specific time period as well as the asset, liability, and shareholder equity values. Informational support for decision-making is the main goal of accounting.
We may utilize the financial data produced by the accounting software for an unincorporated business form like a sole proprietorship or partnership. There are extra criteria for incorporated company forms such private limited corporations.
Any private limited firm must create an unaudited financial report if it meets two of the three requirements stated below:
- The company's annual revenue in the fiscal year should not surpass SGD 10 million.
- The company's total assets during the fiscal year should not exceed SGD 10 million.
- At the end of the fiscal year, there cannot be more than 50 full-time employees.
The private limited firm must prepare an audited financial statement if it does not meet two of the three aforementioned requirements.
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