Maybe There Isn’t A Bookkeeping App For That?
Most small business owners feel lucky to turn their passion into a profitable business. Working on something you love every day is certainly a perk of being an entrepreneur but the role also comes with a long list of lack lustre tasks, like bookkeeping, that need to be done in order to keep their business growing.
We can almost guarantee that any small business owner would list bookkeeping as one of their least favourite business tasks, but we would rank it as almost the most important. Thankfully, there is an app for that! But hold on a minute. What do you do if small business bookkeeping programs and apps are not for you?
Technology can be of great service in so many ways, but don’t panic if using a bookkeeping app doesn’t feel right for you. Just because the technology is there, that doesn’t mean you need to use it. There are many other ways to manage your small business bookkeeping. Let’s take a closer look at some alternatives.
Don’t be afraid to go back to basics and use paper and a pencil! Because every business is different, this method really will allow you to customize expense categories and revenue streams and build a tracking system that makes sense to you. The most important factor is tracking – make sure you track all revenues and expenses, no matter how small. Don’t forget to take copies of the paper documents you create, just in case!
If you prefer, using Excel is the next step up from pencil and paper. Still highly customizable for your business, but also gives you some more functions to analyze and track your transactions. If you aren’t overly familiar with Excel, we suggest getting comfortable with top functions like SUM, VLOOKUP, COUNT, MAX and MIN. These functions can help you total your income and expenses, find a transaction, sort payments by amount, and figure out hourly income. These are just a few options, there is much more that can be done using Excel formulas and pivot tables once you get more comfortable with the program.
Hire a bookkeeping service. If you can’t commit to tracking your income and expenses and preparing for tax season, hire a professional bookkeeping service. You will be worse off in the long run if you make too many errors while trying to manage the task on your own. Find a local company that specializes in small business bookkeeping and take some time to figure out what services they offer that work for you. They can help with your taxes and even reconcile your finances each month to help you stay on track and meet your business goals – either way, investing in the financial health of your business is never a mistake.
Simply Bookkeeping is a bookkeeping service that supports small businesses in Oakville, Mississauga, Milton and Burlington. Our services offer our clients choice on how we work together to improve their financial health. Contact us today to find out more about what we can do for your business.