30 Jun 3 Tips to Bookkeeping Better: Businesses
If you are pondering where did the that “big check” go you just received, you may need to rethink your approach to record keeping. Not knowing if you are reaching your initial “for profit” purpose is stressful and is one of the many negative outcomes of weak accounting processes. Note the below tips that are a start to your journey of using better bookkeeping processes within your business:
- Set standard bookkeeping policies for your business such as the accounting of income and expenses is mandatory, a deadline for submission of expense reports, separation of duties within accounts receivable and payable, etc.
- Choose software that is understandable and reliable. Be familiar with basic accounting terms such as accrual versus cash, capitalize, equity, etc. Add a bank feed to your check register to enhance accuracy and save time on data-entry.
- Be involved in the bookkeeping process by reviewing your bank statements, reconciliation of the book versus bank balances and the bookkeeping software’s built-in reports at your weekly financial meeting.
Bookkeeping is a partnership that your business cannot live without. Use bookkeeping as a frame of reference to evaluate the growth of your business. Best wishes!