2020 Best Bookkeeping Hacks Every Small Canadian Business Owner Needs to Know
If there’s one task that most small businesses and startups—such as gyms, trading, fintech, retail, and e-commerce companies—could avoid, it’s probably bookkeeping.
Bookkeeping is a tedious process and is often regarded as the bane of most business owners. It may not sound as captivating or easygoing as marketing and sales, but bookkeeping is just as vital for success as any other business function.
Fortunately, wrangling the entire practice of bookkeeping doesn’t necessarily have to entail losing your mind over tracking your bills, invoices, and receipts. You also don’t have to sacrifice time on any other part of your business, especially if you use the right bookkeeping hacks.
If you’ve been suffering because your bookkeeping but are well-aware of the fact that you need it to thrive, here are a few tips that you can use to make it easier for yourself:
#1: Invest in bookkeeping software
Startups should capitalize on the opportunity to outfit their operations with a modern bookkeeping software option.
Bookkeeping software works best because it minimizes the need to carry out time-consuming and exhausting data entry practices. Through the use of dependable bookkeeping software, all you’ll need to do is feed it with necessary data from your transactions, and it can take care of the compiling and computing processes for you.
For example, certain types of accounting software, such as Xero or QuickBooks, can be availed of for a minimal price and are guaranteed to take a significant chunk of required effort from your operations. These types of bookkeeping software come with all the nooks and crannies that you’ll need for the foundation of your practices and can also be tailored to suit your needs.
#2: Keep a separate bank account for your business
One particular bookkeeping mindset that applies to any type of business is to keep a separate bank account for your business from your personal account.
A separate small business bank account is essential because it will yield better financial habits in the long run. It will also be much easier to track your transactions and keep your business’s finances afloat by having a clear view of its finances and overall performance.
“Simplify. Simplify. Simplify. Keeps a clear division between business and personal income and expenses” says Scott J. Armstrong, of Armstrong Financial.
#3: Outsource a professional to deal with the nitty-gritty for you
Let’s face it: unless you’re running a financial service or accounting firm, the chances are that you don’t have the necessary skills or expertise to handle your books efficiently. Fortunately, you don’t have to take accounting courses or go through a costly trial-and-error process to keep your books. One pretty much viable option is to outsource the task to a professional bookkeeper.
The outsourced professional bookkeeper can take on your business’s transactions and make sure your business’s financial health is kept in check all-year-round. Blueprint Accounting, for instance, offers a wide range of packages for any small Canadian business. The Ottawa-based accountants with Canada-wide reach prepare statements, cover hundreds of transactions, manage documents, and remit tax on sales and use—all at a relatively low cost.
Conclusion
With the help of the right bookkeeping hacks, you’ll be able to conquer the challenges posed by your business’s financials easily and keep every single effort you expend geared towards eventual success.
We understand running a small business is complicated. Your financials shouldn’t be. Take the guesswork out of the accounting and let us help you build your blueprint for success.
Contact us today for your free assessment to find out how Blueprint Accounting can support your business.