Most new business owners can be overwhelmed with the tasks and paperwork they perhaps underestimated when dreaming of their business idea. Common feedback is that bookkeeping and paperwork is ‘not their thing’ and is the job they enjoy the least. Therefore, it goes to the bottom of the list which makes it a bigger job as it has built up, even more unenjoyable…and the cycle starts. Use these 5 tips to stay on top:
- Use a real time online accounting solution – ‘Xero’. This connects to your bank and imports the transactions for you, has the ability to communicate directly with your customers to manage quotes, invoices and credit control.
- Log in and keep the information up to date daily or as regular as you possibly can. It will be really quick and you will be more engaged when you can see real up to date useful information.
- Give your accountant and / or bookkeeper access. This will allow them to be much more helpful to you and provide you with real advice without a major headache.
- Take ownership of the information. You have decided to start your own business and this is a crucial element of your precious business idea surviving and thriving. Keeping up to date allows you to know who owes you money and who you owe money to so you can manage your day to day operations more effectively.
- Understand what the information is telling you. The system will contain everything you need to know about your business, but you need to know what this means for you and your business in order to make the best decisions. If it is a weak area for you – invest in some training at the outset.