10 Bookkeeping tips for small business
Posted on Monday 2nd April 2012
- You should only spend 5-10% of your time working on your books.
- If your business earns more than $55 an hour, then stop doing your own bookkeeping and employ a professional.
- Buy one of the easy-to-use accounting packages available for less than $400. Your accountant will love you.
- Keep your accounts timely. Try to deal with each invoice just once - twice at the most.
- Allocate a regular day to update your accounts data and pay invoices. Try not to touch the chequebook every day.
- Put as many of your regular suppliers as possible onto a monthly account. This will reduce your workload enormously.
- Systemise your paper trail for yourself and your accountant. Prepare for end of year now as you file.
- All information leads to something. Make sure you always get supporting documentation (e.g. invoices) so you can clarify any issues quickly and accurately down the track.
- Your accounts are a tool to measure how your business is performing on a monthly or even weekly basis. Get the most out of them.
- Utilise accredited trainers to help your staff improve their accuracy in bookkeeping. Getting it right first time saves you time and money.