It’s no secret, every business (big or small) wants to streamline their bookkeeping & analysis records. It can be difficult to fiigure out the best strategy to make everything more organized and fool proof. Even with the smallest of businesses, records can get a bit confusing if organization falls through. We have some helpful basic tips and tricks that you may want to consider when looking at reorganizing or even just starting out!
The number one rule in bookkeeping, which is absolutely fool proof, is keep business and personal expenses completely separate. Having a card solely used for the business will streamline all of your paperwork and will ultimately help you de-clutter.
Tip #1 – Automate, automate, automate
The amazing world we live in now has the capability to automate workflows and help you avoid errors that manual bookkeeping can increase. There are automations for almost every industry workflow and it also depends on what specific software your business uses. Some software such as Quickbooks even has a way to link all of your accounts to better keep track of expenses.
Tip #2 – Stay Up to Date on Payables and Receivables
Be sure to follow up with the expenses you owe and invoices not yet paid. It is mind blowing how quickly this paperwork can get lost with the craziness of running a business. Being able to analyze your cash flow will help you plan accordingly during slower months and help you correct trends you wouldn’t have seen normally.
Tip #3 – No Cash
Avoiding using cash for business expenses will save you the headache later especially if you didn’t get a receipt. Unfortunately without the paper trail of using a credit / debit card or check, it can give you more and more problems later when figuring out your cash flow for the business.
There are always ways every business can improve their paperwork. The Kael Company would love to be in touch with you to find out how we can help ease the stress of bookkeeping!
