Bookkeeping Tips for Small and Start-up Businesses

Accurate and systematic bookkeeping is a must for any small or start-up business. The general perception of bookkeeping is that it is an overwhelming area which only contains boring monotonous task of recording the details. But this is not true. Bookkeeping in real sense is a wonderful practice which makes the business owners to understand where they need to reduce the expenses and which one would gain more profit. The following tips would help you to keep your books up to date and maintain hassle free records.

1. Audit trial: It is all about keeping your invoices and checks in numeric order with respect to the invoice number and not skipping check or invoice number and separate bank account for personal and business funds.

2. Keep a due date reminder: You should follow a check off list whether you have a payroll services or you are preparing payroll tax returns by your self. Keeping a good due date reminder will be the best idea to pay the payroll tax on time.

3. Consistency is essential: Being consistent would always lead to success. Always be sure to head your columns the same way, if you are using paper bookkeeping system, it may be a trivial but it would save you and your accountant time and stress.

4. Keep genuine records: Many business owners will not keep good records. Bookkeeping is a paste that keeps your business together. If your records are in a weak status, you will not be able to understand the expenses and the income and not be able to decide on the profit.

5. Utilising the deposit ticket books would help you to handle your bank deposits.

6. Bank Statement: Request a bank statement from your bank with a month-end-cut-off date. This will save your time while reconciling your records with the bank statement every month.

7. Many small and start-up businesses make purchases paying small amount of money. In such cases, setting up s petty cash box would help you to control the unnecessary purchases. It is important to maintain the same value all the time.

8. Improve the habit of depositing the cash immediately at the bank once you received. This would ensure that the incomes are properly recorded.

9. Complete your bookkeeping tasks each day. It is not advisable to postpone it.

10. Restricted categorization: Do not over categorize the items. This would increase the complexity.

Read more on our bookkeeping services

If you need any help in bookkeeping or tax contact KVS Accountants for advice. We provide outsourced accounting and bookkeeping services for many clients in the area surrounding Battersea, Parsons Green, Earlsfields, Clapham, Clapham South


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