Good books are necessary if your business is going to survive!
If you would, please allow me to point out the obvious —> In order to get the financial statements you need to make great decisions, it is necessary to have one thing. Good books!
Good books are the foundation of accurate financial statements. When a business maintains accurate books, it can produce financial statements that give a clear and precise picture of its financial performance. These are good numbers!
Knowing and Understanding the Numbers: The Key to Small Business Success
There is a misconception that exists out there. Having a cutting-edge bank that offers nifty online banking and having a state of the art accounting software are enough to cut it.
They aren’t.
Regular bookkeeping is a must. Don’t get me wrong, a good bank and reliable accounting software are important. But, to do it right takes knowledge and time.
Good bookkeeping involves:
Keeping track of all financial transactions
Categorizing transactions
Reconciling accounts
Monitoring cash flow
Keeping receipts, invoices, and other documentation.
Preparing financial statements
Reviewing and analyzing financial reports
Skipping any one of these things can lead to problems. Neglecting them for more than a few weeks can spell disaster!
Bookkeeping is often described as a daunting and stressful task by small business owners.
It's understandable if you feel this way.
As a small business owner, you have a lot on your plate already - from managing employees and serving customers to developing and executing your business strategy. Adding bookkeeping and financial management to the mix can be overwhelming, especially if you don't have a lot of experience or expertise in these areas.
But, whatever you do, don’t neglect it!
If you are reading this knowing that you haven’t done your books in many months, I don’t have to tell you your business is in a precarious situation.
Before you start hyperventilating, let me say this. There is a way to help you get a handle on your books. In the bookkeeping world, we call it a Bookkeeping Recovery.
Until then, I would encourage you to begin step #1: Assembling your documents. You will need bank statements, credit card statements, invoices, receipts, and any other financial documents you may have.
Let me end with this: it is possible to get your books back in working order. It is just going to take a lot of time and hard work. However, the benefits far outweigh the pain.
Are you ready?
Here is how we can work together when you're ready…
Receive a FREE consultation where I will perform a review of your business’ books and formulate a plan for how my professional bookkeeping services can take you to the next level. Click the link below to get started: