QuickBooks Cleanup, Catch-up & Bookkeeping for Small Businesses

You don't need an accounting degree to understand your business finances. But you do need to know a few important numbers. If you couldn't answer these questions without opening a spreadsheet - or calling your bookkeeper - it's probably time to start paying more attention to your financial statements. 1. How much revenue did you generate? Revenue is the money your business earns from selling its products or services. You should know: How much you've earned this month How much

One of the most confusing things about owning a business is seeing a profit on your financial statement while wondering why your bank account feels empty. How can both things be true? Because profit and cash flow are different. What is profit? Profit is generally the amount left after your business revenue is reduced by its expenses. Your Profit & Loss statement shows you this information over a specific period of time. For example: Revenue: $100,000 Expenses: $75,000 Profit:

For many small business owners, bookkeeping happens like this: January through December: Ignore QuickBooks. Tax season: "Oh no… I need to get my books done." Sound familiar? If it does, you're definitely not alone. But waiting until tax time to deal with your bookkeeping can mean missing opportunities throughout the year. Your books are more than a tax preparation tool Yes, your tax professional needs your financial information to prepare your tax return. But your books can d

QuickBooks Online makes bookkeeping easier. But it doesn't automatically make your bookkeeping correct. That's an important distinction. QuickBooks is a tool. The quality of the information going into that tool determines the quality of the information coming out. So how can you tell whether your QuickBooks file is actually in good shape? Here are ten things to check. 1. Have your bank accounts been reconciled? Every business bank account should be reconciled regularly. If yo

There's a common misconception among small business owners: "I have a CPA, so I don't need a bookkeeper." I understand why people think this. Your CPA handles your taxes, so it may seem logical that they handle everything related to your books. But bookkeeping and tax preparation are two different jobs. And having both professionals working together can make your business financially stronger. What does a bookkeeper do? A bookkeeper is responsible for keeping your financial r

Not sure if your bookkeeping is accurate? Here are 7 warning signs that your small business books may need a cleanup.

You had a great month. You brought in more revenue than you expected. Your customers are paying their invoices. You look at your Profit & Loss statement and see a healthy profit. So why does your bank account seem to disagree? If you've ever looked at your business bank account and thought, "Where did all the money go?", you're not alone. One of the most important things I want small business owners to understand is this: Profit does not equal cash in the bank. Profit and cas