Keeping accurate financial records is important for small businesses for several reasons: 1) It allows owners to monitor the success and failures of the business through key financial metrics like profits, expenses, and sales. 2) Financial records provide the information needed to make important business decisions by showing the potential financial impacts. 3) Banks and other lenders require financial statements and records when seeking financing. 4) Financial records are needed for tax filings, budgeting, and other legal requirements like payroll. Outsourcing bookkeeping to a professional ensures compliance.