As you sell products, book projects, or turn leads into appointments, your small business gets one step closer to lasting success. To keep track of these trials and triumphs, you’ll need to stay up-to-date on your bookkeeping efforts.

How to Balance Your Books

1. Open a Separate Bank Account

When you’re just starting, you’re probably putting all your own money into gaining capital and setting up your business’s infrastructure. At this point, a business bank account might seem pointless.

However, once you start to keep track of your profits and expenses, this separation will make bookkeeping exponentially easier. When you have a free afternoon, head to the bank to set up a business account so you can keep your personal finances separate.

2. Conduct a Weekly Wrapup

After the grind of weekday operations, you might be eager to forget about your business to-do list for the weekend. However, going through the numbers at the end of each workweek is essential for your future sanity.

Balancing the books at the end of a week might take an hour or two, but a month of work could take several days. Plus, this short period of reflection will allow you to follow up on unpaid invoices or set profit goals for the coming week. 

3. Use Software to Your Advantage

If your employees work on an hourly basis, keeping track of their hours can be one of the most time-consuming aspects of DIY bookkeeping. Simplify this task by turning to time-tracking software.

Your employees will be able to clock in and out from their devices, a computer, or the cash register. You can choose software that automatically calculates hours worked and inputs these figures into your payroll system, minimizing the time you spend behind the computer.

Even with these tips, bookkeeping can take hours away from more important responsibilities, like running your small business. To maximize your potential, consider outsourcing these duties to Erie & Associates, P.C. of Texarkana, TX. This skilled CPA offers financial statement analysis, cash flow management, and IRS audit help, as well as general bookkeeping services. To learn more about their offerings, visit the website. Call (903) 792-6651 to schedule an appointment with an accountant.