As a small business owner, it’s likely you wear a lot of hats. From marketing to managing employees to sourcing products, there’s a lot of tasks to oversee. So where does that leave your bookkeeping? Properly maintaining a record of your business’s expenses is vital to both day to day operations and its long-term longevity. Every single one of those numbers is crucial and even one small mistake could spiral into a much bigger problem. Proper bookkeeping and accounting is important because they serve as barometers for your business’s success. Fortunately, small business bookkeeping doesn’t need to be something you dread. It’s often the smallest changes in how you approach bookkeeping that can make all the difference for improving accuracy and reducing headaches. Ready to streamline your bookkeeping process and gain a clearer view of your business’s financial health? Here are five small business bookkeeping tips for getting the job done. Be Meticulous with Invoicing As a small business owner, you’re wearing a lot of different hats and it can feel as though your attention is constantly being pulled in several different directions. With so much going on, it’s easy to become a little lazy when it comes to keeping up with your invoices. If there’s one thing you make a priority for bookkeeping, it should be to become meticulous with invoice tracking and record keeping. Take 15 minutes each day to update invoices and make sure all accounts reflect current activity. Separation Is Important A mistake that too many…
Most small business owners we talk to think that running a successful business involves hard work and loving what you do. While those two things are important, if you actually own a business, you know there are a few more details involved. One extremely important factor is bookkeeping. Bookkeeping is frequently an overlooked area in small business as it does not hold the flash and appeal that some other areas of owning a business hold. The good news is when it comes down to it, there are only a handful of things that actually matter. The sooner you incorporate the following five bookkeeping best practices, the sooner you can get back to focusing on working hard at what you love. 1. Not One-Size-Fits-All Bookkeeping is something that will differ from one small business to another. Specifically, you need to find a way to structure your accounts that makes sense for your unique business. Far too often, small business owners pick a template that works for others and assume they can fit their finances into this structure. Unfortunately, this practice comes at the cost of efficiency and accuracy, two things that should always be a part of bookkeeping. It’s fine if you need to revise your approach a bit as time goes on. The important thing is that you come up with an account structure that fits your business like a glove. 2. Organize Your Expenses Over time, you’ll most likely increase the number of credit cards and checking accounts you use for your…