I know bookkeeping is not the sexiest part of your business but, it is one of the most important to keep you legal.

The following 5 tips for successful bookkeeping will help keep you sane if you do the bookkeeping yourself and they will save you money if you hire a bookkeeper.

‘Truth Bomb Academy founders are not financial advisors nor accountants. Always consult your own financial advisor or accountant for your personal business’

Watch this video or continue reading below:

TIP #1

Maintain Accurate Records

That may sound like common sense but, after reading about the problems bookkeepers have with their clients common sense is not so common….🤷🏻‍♀️

Keeping detailed records of all financial transactions, including income, expenses, receipts, invoices, and mileage if you use your vehicle.

You can use an excel spreadsheet, an accounting software like Quickbooks or Xero, or hire a professional bookkeeper to streamline the process.

I’ll say it again – Accurate records will save you money and headaches.  Whether you’re doing it your self or a professional bookkeeper.

Regularly reconcile bank statements, credit card statements, loan statements with your financial records to catch discrepancies and ensure accuracy. EXTRA BONUS this helps you evaluate what you’re spending your money on and cancel subscriptions you forgot you subscribed too.

TIP #2

Organize Receipts and Invoices

That shoebox you’ve been keeping them in is not going to work. Implementing a system for your receipts and invoices is critical for accurate bookkeeping and God forbid you ever get audited.

I have found a scanner app on my phone to be invaluable for keeping my receipts categorized for easy retrieval when I need them. A digital copy (and a backup copy) create records for longevity. The ink on receipts often fades over time and won’t be legible in a few months.

The IRS (for the US) has great resources for record keeping, business expenses, eligible travel, gift and car expenses.

TIP #3

Separate Personal and Business Finances

Before you ever make a sale or buy something for your business open up a separate bank account for your business. If you’re a sole proprietor just getting started you can use a separate personal account. If you have formed an LLC, S-Corp, or C-Corp you will need a business bank account to maintain the integrity of the corporation.

Check out my previous blog post The Business Bank Entrepreneurs RAVE About 🤑

TIP #4

Set a Budget and Track Expenses

Establishing a budget for your expected income and expenses and regularly tracking your actual financial performance against the budget will identify areas for cost-cutting improvements. Closely monitor your discretionary spending and avoid unnecessary expenses that can impact your bottom line.

Set up an effective cash management system that I spoke about in my blog post: How Rich Women Profit First

TIP #5

Stay Informed About Tax Strategies and Obligations

This is a good one…. Staying up-to-date with new tax obligations, laws changing and deadlines will keep your business in compliance. Keeping track of deductible expenses and taking advantage of applicable tax credits will minimize your tax liability.

Consult with a tax professional for your individual business to ensure compliance with tax laws and to explore potential tax-saving strategies.

My favorite book on the subject is Tax Free Wealth by Tom Wheelwright. The newest edition just came out in January 2024. He talks about creative tax strategies most businesses don’t use. The tax codes have been written to benefit businesses and actually help them grow and provide jobs. I love how this book talks about the tax strategies and how to benefit from them.

Bonus Tip

Backup Data Regularly

Back up, Back up, Back up. Implement a reliable backup system for all your financial data. Whether you are using an accounting software or manual bookkeeping methods, regularly back up your data to prevent loss (and a lot of headaches) from unforeseen events like computer crashes or data corruption.

Implementing these bookkeeping tips, small business owners can maintain financial transparency, make informed decisions, and ensure compliance with regulatory requirements. If you have doubts about your bookkeeping, consider seeking professional advice from an accountant or bookkeeping expert. The sooner you get your financial books in order the more money it will save you.

You’re Invited

Come Create the Business of Your Dreams with Financial Education to Maintain it!!

The sad truth is most business training today is draining the life from you and your business. Sound familiar??

I love a good business conference. I love learning about new resources (like Relay Financial), marketing strategies, networking all the things.

But, when I get home and go to implement it all…….more often than not I’m overwhelmed and can’t possibly put most of it into action.

I could sum up most of the information I’ve gotten in Business Training is ‘Work more, sacrifice more’ all the while they talk about self-care and work/life balance.

It never computed for me.

😰the 5AM club

😰consistent daily marketing plans

😰sacrificing leisure activities

And you know what??

I know for a fact that is the training and mentality most business owners take when it comes to building their business…

“Do what others won’t do now so I can do what others can’t do later on….”

The saddest part of all that….

When it’s all said and done?

Most of you have little to nothing to show for it.

I’ve watched this happen over and over again.

The reason is it’s based on a flawed concept.

What we discovered is women will find success faster when they work with their natural rhythm. As a woman, we have an inner secret that most of us don’t even know about. Did you know that because we have a 28-day hormonal cycle vs the 24-hour male hormonal clock, we have DAYS, not just hours to be more productive, ask for money, and have more downtime and play in our lives?

Your body, life, business is NOT a simple machine – it’s a beautiful symphony☺️

With the help of my business sisters, we created Truth Bomb Academy. A business training app designed for women to enable them to transform their lives by tapping back into their flow. When you learn your cycle as a woman, you unlock possibilities and a new way of doing business.

Right now you have a rare opportunity…

Enroll in Truth Bomb Academy, to be one of the first 100 women who will become millionaires in the next 2-5 years. If you are ready for a paradigm shift, you will manifest and bring into life a business that will bring you joy, rest, abundance, and millions. It’s not a dream, it’s a reality if you choose to do the work to embrace your female rhythm. This training will challenge you and your beliefs. Yet the reward will be bigger than you can dream of right now.

Welcome to a new paradigm in female business training and implementation. I’m saving a spot for you!

To Your Success,

Heidi Mummau

truth bomb academy Founders Chef Katrina and Heidi Mummau
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