Top Tips to Keep Your Bookkeeping in Tip Top Shape—Series #3

No matter the size of your business, it is unimaginable how it would properly function without a solid bookkeeping system in place. It serves a great purpose for tax preparation, succession planning and financial reports for making business growth decisions. Also gives a concrete indication of your company’s success and sustainability. But to maintain your books, keeping them accurate, timely and reliable is one of the biggest challenges. After all, you got into business to sell a product or provide a service, not to do bookkeeping. Let’s get it in shape and keep it that way.

  1. Digital Payments
    If you are managing bookkeeping at your company, accounts receivables and accounts payables, accepting digital payment is an efficient process for both you and your customers. There are many options, some within the software programs themselves. For example, QuickBooks has a built in Merchant Account module. This allows several options for accepting payments from not only credit cards, but electronic processing of checks, with quick returns of funds. Other stand-alone programs have very comparable features and are all very popular in this world, of fast and convenient services in high demand. Whether you use PayPal or an option your bank participates in, offering the ease of electronic payments for your clients, will surely be a win-win for both of you.

  2. Inventory
    Maintaining a detailed inventory is as important as offering digital payment processing, and sometimes, even more so. If you manage products on-site that are sold to your customer, knowing what you have on hand in your inventory should be as simple as looking at quantity on hand in your inventory software. Often, smaller businesses don’t have the benefit of specific staff assigned primarily to maintain the inventory, which is vital, but overlooked as more urgent matters arise. Accounting software programs can have an efficient inventory module, such as QuickBooks. However, if you need a stand-alone or a more specific program, there are many to choose from. A few of the top inventory software programs are, Fishbowl, which syncs with QuickBooks to enhance what is already in place, as well as Orderhive. The reviews are helpful when determining the best option to fit your needs. Utilizing an inventory management software is a great benefit, not only to ensure products are available to sell, but to minimize possible theft or misplacing inventory, or simply incorrectly distributing items in a sale. This can also increase sales, by reviewing trends and historical data for efficient buying procedures.

This third in the blog series, assists in developing procedures that maximize efficiency for you and your customers. Efficient processes are cost effective, making a positive impact on your bottom line. If you follow my series, and implement these changes, you will soon be in tip top shape, ready for changes, growth and more. You will be better prepared for a tax planning session in the 4th quarter, helping you to make the most tax advantageous decisions for your business. See you next month!