The 'tax-pain' TV commercial is one of the best I've seen. And it certainly relates to this time of year -- tax time! April is often the month when many small business owners are trying to sort out both their personal & professional finances. I remember my own Aha moment.
Like most start-up businesses, during the early years of my retail store, I had more time than money! So I did my own bookkeeping! By about year 3, I was frustrated with the bookkeeping (not my specialty). I kept saying to my dear husband that we should hire a bookkeeper but being a bit of a control-freak, he insisted -- NO! Another year passed, and I finally put my big girl panties on; researched a bookkeeper; and found out that her services would cost us about $50/month!!! What had I been waiting for?
WHY had I been taking on all of this frustration for just $50/month? I realized that my time was much better spent 'selling' than bookkeeping. The bookkeeper was hired immediately and it was perhaps one of the best decisions I ever made! So if you are suffering from 'tax-pain' or bookkeeping pain -- hire an expert! They will do it in half the time you can and with MUCH less frustration.
But here's a few tips to keep your receipts in order for the bookkeeper!
- Keep track of your income & expenses DAILY. Empty your wallet daily of receipts. If it's a luncheon with a client -- write their name on it immediately. Then file your receipt in an envelope for your bookkeeper for her next visit.
- Print receipts immediately (from pay pal, etc.) and write on them whether they are office expenses, marketing, utilities, etc.. File them in the envelope for your bookkeeper.
- If you have a bookkeeper that you SEND your information to -- if a receipt comes via email, simply forward the receipt to your bookkeeper with a note as to what type of expense it is.
- STOP thinking that you have to do everything yourself. As entrepreneurs we often get caught up in this cycle. Remember, an expert can do the work in half the time and save you money. Your time is BEST suited to making money in your business.
- Although it's fine to hire a bookkeeper (and accountant), it is ultimately your responsibility to understand what these figures mean. You can't abdicate your responsibility for analyzing and making necessary changes to make your business successful.
Good luck and I hope you aren't suffering this type of pain! If you need help growing your business, please to apply for a FREE Business Breakthrough Session where we can discuss some of your challenges!