There are some things a business owner can do on their own. You can manage inventory, update social media, oversee operations, and strategize. If you’re a designer, you design websites yourself. You may design pillows or clothing yourself. But if something is not within your abilities, or takes away from the important things, it can be harmful to the health of the company, risking other business elements just because your time is being consumed by a time-sucking and confusing task.
Payroll, bookkeeping, invoicing, taxes… these topics can be confusing, complicated, and take up a lot of your valuable time; time that could be better spent running and growing your core business or developing your services and products.
DIY (Do It Yourself) Accounting is a great way to avoid extra expenses in your small, but growing business' budget. But DIY also takes up a lot of your time and runs the risk of being wrong. If you don’t have a degree in accounting or are not trained in accountancy, you won’t know all the little yet important nuances of the field.
I have come across many clients during the onboarding stage who present me with Excel sheets, claim to have boxes of receipts, have outdated Quickbooks files, and sometimes just bank records. These forms of DIY bookkeeping don't cut it when you're trying to grow a business.
So let's triage your financial situation:
Critical: Establish a system with expertise
Start by signing up for an accounting software like Xero, getting yourself out of Excel and into a system that you can learn to manage with accuracy and with a support team available.
Crucial: Stay aware of your financial situation
Advance yourself further by learning the intricacies and advantages of software like Xero. If you have free time and the attention span for accounting, watch Xero's guides to learn how to invoice, create new categories in your chart of accounts, and pull reports. You can learn to make the software work for you.
Advised: Don't be afraid to let go and outsource
As the owner, entrepreneur, or person in charge of a small business, you don't have a lot of time to study up on accounting software and ensure everything's compliant and done accurately. This is where a solution like Upsourced Accounting makes sense. We have the expertise. We have the ability to manage your books for you using Xero. You can focus on growing your business. Most importantly, you can sleep at night with peace of mind, knowing we're handling it and doing it right.
For our clients, once they outsource their bookkeeping and accounting to us, we reiterate the crucial and critical points made above. We establish a system with them, one that fits their business needs. We offer them the expertise in accounting and finance to meet those needs.
As for our clients staying aware of their finances, we strongly encourage each to be involved with their books and stay empowered over their business with knowledge of their finances. We send monthly financial reports to the business owners and they have the ability to log into Xero and click around in the numbers.
DIY Accounting Software can be incredibly helpful in cutting costs, but don't let it cost you your valuable time--better yet, don't let it cost you the business should the accounting be wrong. Let an established bookkeeper like Upsourced manage this software for you so you have peace of mind and plenty of time to grow your company.