Keeping the Books Balanced as a Small Business Owner
Updated: Aug 15, 2021
Small business owners never feel like there is enough time in the day to get everything done. In result, they often feel as if they are constantly playing catch-up. At Raleigh Bookkeeping, we have seen that keeping the books balanced is one of the first things that falls behind.
While we’re here to assist you with that majorly important task, we are also here to offer tips for keeping the books balanced as a small business owner. So, let’s start with the basics:
1. Stay organized: You’re probably thinking, “Oh sure, that’s easy for you to say,” but it’s still necessary. All businesses create paperwork—accounts receivables, payables, inventory, cash, credit card statements, invoices, taxes, insurance forms, etc. Set up a filing system to keep it in order, and it will make the job easier.
2. Check your bank statements: Spend time checking bank statements every month. Banks make mistakes just like people do. It also helps you gain a better understanding of your cash flow and where you are spending your money. In addition, it makes it easier to catch fraudulent activities.
3. Separate business from personal: Do not mix the two. It will become a logistical nightmare that you won’t want to deal with.
4. Get a receipt for everything you buy—no matter how big or small: EVERY transaction needs to have a paper trail backing it up. When you order something online, print off the receipt or invoice from the website. Then, store it in your organized file.
5. Hire a professional bookkeeper: Of course, we would say this. If you are struggling to keep up with your daily paperwork, hire us to get your books in order. We are your local experts on bookkeeping for small businesses. Contact us for help today.
So, there it is: our five basic tips that will help any small business owner keep their books balanced. For more assistance, book a free consultation with us today