Accounting & Bookkeeping: Critical for Growth, Yet Often Neglected
CONGRATULATIONS! You took the courageous plunge to create a promising business, and you are successfully securing sales. Even in these early stages, keeping your finances in order is a critical component to ensuring the profitability and viability of your business.
However, one of the most common mistakes most entrepreneurs make when starting and even during early-stage growth within their business, is investing in the management of their finances.
Below, Danielle Thongdy, our co-founder and partner leading our accounting and bookkeeping consulting services, shares her insights from her first-hand experience servicing dozens of industries at various stages of business.
“Some entrepreneurs take on the accounting and bookkeeping responsibilities themselves and very soon realize that this is a daunting task especially as the business starts to scale. The good news is that it is never too late to create a viable plan on how to get your accounting practices under control.”
1. Get organized! Gather all financial documentation in one collective place.
Some business owners have put their Excel spreadsheet skills to the test to record their early data, however, ideally their business activity is tracked using current accounting software. Regardless of where you find yourself in this timeline, the earlier you convert from one system to a better-suited other, means less disruptions to your business and more money saved.
2. Bring in the experts. Invest in a knowledgeable bookkeeper.
Your time as a business owner is better spent doing what you do best! Rely on quality assistance to lead and prepare daily financial processes. Through efficiency and systems, a bookkeeper should provide insight into the health of your business along with clarity on how to lead it to greater success. Grant yourself peace of mind, keep your numbers accurate and reduce stress around your business’ finances.
3. Strong foundations create future success. Prioritize your business’ profitability.
It is impossible to gauge where your business is headed and when to soundly implement different strategies without accurate financial records. Producing financial statements is integral to presenting data for future uses such as budgeting and capital raising. Nearly all questions, both internal and external, can be answered with accurate up to date information. Set your business up for manageable growth and great profit.
If you find any of the above insightful and relevant to your business and wish to discuss beyond the confines of this post. Contact BlueShores Management Consulting, we offer the first 8 hours of consultation, free."
Co-founder & Partner