Monday, May 07, 2007

Small Business Bookeeping

One of the right and royal pains of running a small business is trying to keep the bookkeeping straight. All of the laws and regulations about how much information you must keep and so on are written on the asssumption that you've got at least a full time bookkeeper, if not a whole department. When you have to do this yourself, over and above trying to find customers and service them this is obviously a severe drag on your performance.

You can indeed try to hire a bookkeeper but this can be very expensive, thousands of $ a month.

So the solution might well be to use Quickbooks

However, even that requires a large amount of record keeping as well as learining the system itself. The real solution is to outsource the work to someone who will do it for a reasonable price, like Accounting Paradise. You can see how they work here and look at their payroll services (very worthwhile) here.

Accounting is necessary, yes, but you're usually far better off getting someone else to do it so that you can concentrate on growing your business.

2 comments:

Marissa Pratt said...

I like this post. I'll have to keep it in mind because I plan on running my own business soon. I know it’ll be challenging, but I’m up for it and will appreciate all the help I could get with the ins and outs of running a business. Instead of starting one from scratch, I've thought of buying a business. Any suggestions? Advice? Thanks.

Grace T. said...

@Marissa - It will be challenging, especially during this times, but don't let things bog you down. It'll be very rewarding in the end when you love doing what you do. That being said, I suggest weighing the options of buying versus selling. There are a lot of resources for buying a business. I know of this site called BizTrader.com, which is an online global marketplace where you can buy or sell a business. You can also use for other services, like finding a lender, or a broker. I also suggest checking out your local small business groups. Like, the site, you'll be able to know what's available in your area.
Good luck!