Companies Act, 2013 states that it is mandatory for every company to maintain a Books of Accounts; on accrual basis and in double entry form. It is often noticed that several start-ups face difficulties in maintaining their books of accounts while being busy setting up their businesses. Maintaining books of accounts internally can be tedious job, hence it is in best interest to outsource for bookkeeping services so that promoters and shareholders are well-informed about the flow of funds and expenses.
By putting your bookkeeping and accountancy into the hands of highly skilled staffs who understand best practices and how to properly work on certain tasks, your job becomes a whole lot easier and effective.
It is quite easier to raise funds or take a loan if the company has maintained its accounts properly and as per the guidelines set up under the Companies Act.
Major decision making in any business is dependent on its financial data. Decision making becomes quite easy when books of accounts are maintained on regular basis.
Every company is required to preserve its books of accounts for a period not less than 8 financial years immediately preceding the relevant financial year.
Following persons shall be responsible:
Whole time director
Chief Financial Officer.
Failure to maintain books of accounts leads to non compliance under Companies Act, 2013 which may lead to:
Imprisonment up to one year, or
Fine of minimum Rs. 50,000 and maximum Rs. 5,00,000 or
Filingenie has true professionals when it comes to taking care of business bookkeeping services. Even with our complex business model, Filingenie was able to make sense out of our numbers and provide comprehensive reports that were both accurate and easy to understand.