This task is not fun for most people, but keeping the books for your business is going to help you in the long run. You will be able to make smarter decisions in your business and cut back in areas that are not making you money.
To be able to track each income stream and make sure that it really brings you an income, you should track each “stream” separately. It can be easily done on an excel spreadsheet. If you only want to do the books at the end of each month then keeping each month of receipts separate and in their own envelopes will be a huge help to you and if your business really takes off your tax preparer will thank you for it as well.
Starting off with good habits when the number of transactions are low will help you when your business picks up.
Filling out your expense and income once a month is suffice, just don’t forget to add a transaction. Believe me, life happens.
Keeping the recipes and putting them in one spot so you can come back to them at the end of the month.
There are many different methods that you can use to keep track of what you are spending and want is coming in. You will have to find what works best for you and adapt it to your needs. Listed below are a few free and paid options for keeping the books in your business.
We are DIYrs by nature so when starting out you will most likely be doing it yourself in some form of free tracking system. However, once you start gaining a bit of income it might be worth hiring an accountant. If you can make more money in the time it frees up for you then the actual cost to hire them. Then it is a wise decision to break the purse straps and get some help.
If you need a little help setting up a system that will work for you. Set up a call with me and we can work together to find a system that works for you.