Accounting in your business can seem daunting to say the least but it really shouldn’t. Understanding your businesses performance will enable you to make sure your business is a continued success and allow you to understand how to grow your business.
I’ve collated 4 of the best hacks to help you feel comfortable with your accounts and enable you to make better, calculated business decisions. This is by no means an exhaustive list but it’s a good starter for every business owner.
1. Become a “receipt Ninja”
Take photos of your receipts on a mobile app that connects with your accounting software like FreeAgent. This will save you loads of time when it comes to doing your accounts and it’s paper free so less clutter.
2. Less Numbers, More Visuals
Turn your books into charts and graphs where you can quickly and simply understand your books in an instant. Numbers can be overwhelming to understand a high level view of your business growth trend, the phrase “a picture is worth a 1,000 words” has never been more true!
3. Romance your books
Schedule a “date” with your books, whether it’s once a week or once a month. By setting this time aside, you will give your books the attention they need and deserve. This may feel daunting in the beginning but it will get easier and easier. Knowing your businesses performance in numbers and graphs will allow you to see what you’re making and what your paying out, this intel gives you the best chance to make tweaks to your business to maximise your profits, performance and business growth.
4. Outsource Superhero
I don’t know many people that become business owners so they can run books (outside of accounting business owners of course). You have better things to do with your time than try and figure out your books. Let outsourced help work their magic for you and take away the pain. This doesn’t have to be a weekly outsourced task but maybe once a month or every three months. Don’t outsource everything though, having a hand in your books and how your business is performing will allow to make calculated decisions in your business.
Final thoughts
Like I mentioned at the beginning this isn’t an exhausted list of accounting hacks but this will get your on the right path to understanding your books and ultimately making better, well inform business decisions. Cashflow and performance are he life blood of any business so make sure you understand where you’re losing blood and how you can make more, ensuring your business is as healthy as possible.