Bookkeeping Hints for Small Businesses
- QuickBooks and other accounting software offer a variety of reports that allow business owners to track spending, stay current on Accounts Payables and ensure you are current on your billing.
- Keep your business & personal finances seperate to reduce errors, streamline your bookkeeping and give less reason for the IRS to audit both.
- Review your expenditures regularly to make sure you aren't outspending your growth.
- Use job features within your software to compare job costs to income. Regularly check your profit margins. As prices increase during these times, make sure your costs aren't eroding your profit.
- When times are good, it's easy to ignore your Accounts Receivables. Review them regularly to help prepare you for when times get rough.
- Use QuickBooks budgeting features to create a budget based on past spending and income. Review the budget to see what changes you've experienced recently so you can prepare adequately.
- Don't put off getting a bookkeeper or other professional just because you feel you can do it yourself. Putting off hiring an expert won't necessarily reduce your cost, it may just delay it.
- Knowledge is power - Just because you shouldn't prepare your own taxes, doesn't mean you shouldn't know where to get IRS resources. Click this link to see IRS publications.
