Do you run a sole proprietorship and have piles of paper receipts? Then it’s time to get your sole proprietorship’s digital bookkeeping in order. At Accountview, we help self-employed individuals transition to a digital accounting system that complies with the Bookkeeping Act and gives you a clear overview of your finances. You’ll save time, reduce errors, and be able to view your earnings no matter where you are.
What does digital bookkeeping mean in practice?
Digital bookkeeping means that receipts, journal entries, and accounting data are stored in an approved system instead of in ring binders and spreadsheets. You scan or photograph the receipts using an app, upload them directly, and the system ensures they are archived, posted, and linked to the correct accounts. VAT is calculated automatically, and you can generate reports with just a few clicks. The latest accounting law requires that bookkeeping be done in a digital system registered with the Danish Business Authority. This also applies to many sole proprietorships, especially when revenue exceeds the specified thresholds. We’ll check which rules apply to your specific business and make sure you’re in full compliance with the law.
Here's How We Set Up Your Bookkeeping
We always start with a brief introductory meeting to get to know your day-to-day operations. Do you run a trade business, a consulting firm, or an online store? Do you have many small receipts or a few large ones? And what kind of relationship do you want with your accounting partner? Your answers determine how we tailor the solution. Next, we select an accounting software that’s right for you. We work regularly with Billy, Dinero, and e-conomic, and we know the strengths and weaknesses of all three. We’ll set up a chart of accounts tailored to your industry, and we’ll integrate your bank so that transactions flow in automatically. Finally, we’ll establish a simple routine for your receipt flow so you always know when to send things along.
The Main Benefits of Digital Bookkeeping
There are many reasons why sole proprietorships switch to digital bookkeeping. The most common ones are:
- Time Saved in Everyday Life. You won’t have to sort receipts or enter data manually. Just a quick scan, and the rest takes care of itself.
- Real-Time Overview. When you log in, you’ll see your cash flow, outstanding balances, and profits, and you’ll be able to make better decisions about investments or hiring.
- Fewer errors. VAT is calculated correctly, and the system issues a warning if anything looks suspicious.
- Legal Archiving. The attachments are stored securely for five years, and you can always retrieve them.
- Better Collaboration with the Auditor. We can work on your financial statements alongside you, and we see the same numbers that you do.
Many customers find that they now spend a quarter of the time on bookkeeping compared to before. You can use that time for customers, product development, or leisure.
A Brief Guide to Choosing the Right System
When we recommend accounting software for a sole proprietorship, we consider three factors. First and foremost, how many receipts you have each month. That determines how advanced the system needs to be. Next, we consider whether you invoice many customers and whether you need features like subscriptions, inventory management, or payroll. And finally, we consider how much you want to handle yourself. Billy is often the top choice for very small sole proprietorships because it’s easy to use. Dinero is a good fit when you’re growing a bit and has a robust app. E-conomic is the solution when you need more modules and integrations. We’ll help you make the right choice from the start, so you won’t have to switch again in a year.
Frequently Asked Questions
Does the new accounting law apply to my sole proprietorship?
The law applies to most businesses, but the deadline for going digital depends on your revenue and business structure. We’ll review the rules for you and make sure you’re ready by the deadline.
How much does it cost to get help with digital bookkeeping?
The price depends on the volume of documents and the desired level of service. We offer fixed monthly packages so you know exactly what it costs. You’ll receive a specific quote after a brief initial meeting.
Can I do my own bookkeeping and only get help with sales tax and the annual financial statements?
Yes, many of our clients handle their own day-to-day bookkeeping, while we take care of VAT, reconciliations, and annual financial statements. We tailor the setup to match your preferences and skill set.
What happens if I don't switch to digital bookkeeping?
This could result in fines and problems during an audit. In addition, you risk errors in your financial statements and VAT reporting, which can cost time and money to correct. We’ll help you make the transition smoothly, so you don’t have to worry about it.
Are you ready to make your bookkeeping digital and simple? Book a no-obligation meeting, and we’ll find the right solution for your sole proprietorship.
