No matter how much or how little of your
small business's bookkeeping you do, you need a place to do it and the right
tools. But this doesn't mean you have to go overboard buying materials,
equipment, and a dedicated office space. In fact, you can accomplish a lot more
by focusing on just the right elements for your bookkeeping office. Here are
six key things every business should include.
1. Comfortable Desk
To begin with, you'll need a comfortable
desk and chair. Some bookkeeping tasks will take longer than planned, so you
need to be ready to spend the extra time. The desk and chair don't need to be
fancy, but an ergonomic setup is best. The less comfortable your desk
arrangement, the more likely you are to procrastinate or avoid taking the time
to research issues.
2. Physical Storage
Even if you plan to do everything using the
cloud or digital storage, be prepared for at least a little physical file
storage and accessories. Most companies continue to receive physical documents
like invoices, statements, employee paperwork, and legal notices - some of
which may need to be maintained in original form for a period of time.
Depending on the size of your business, you
might be able to start with a two- or four-drawer file cabinet alongside your
desk. You can then scale up your storage or work on moving more to the digital
realm over time.
3. Organization System
Bookkeeping can get disorganized quickly,
particularly for new business owners. And, unfortunately, disorganization in
your accounting work easily leads to missed deadlines, penalties and interest,
payroll issues, or incorrect billings.
Plan your organization system by following
the flow of documents or data through your office. For accounts payable, for
instance, you likely need a place to keep incoming invoices before they are
processed, a way to match them against orders or receipts, a location for
invoices awaiting payment, and a filing system for paid invoices.
4. Computer and Internet Access
While you can do most bookkeeping tasks in
actual ledger books, most businesses can't grow using a paperonly system. Plan
ahead by using a computer and accounting software - even if you don't take full
advantage of it when the business is small. If you get used to the software
early, build on that to use more features as you need them.
5. Mobile Device
Today's business owners have many options
for using mobile apps and devices to handle bookkeeping jobs on the go.
Ideally, you should be able to do such things as track and approve time, track
jobs, create invoices, invoice customers, take payments, look up invoices, or
check bank balances on a connected app. The more access you have, the better
you can keep up with your bookkeeping.
6. Locked Doors
No matter whether you use software or hard
copies, a bookkeeping office should be locked when not in use. There is a lot
of sensitive data on hand - including personally identifiable information for
employees or customers and company financial information. You may have cash,
checks, or credit card information. And computers, equipment, or mobile devices
can be expensive.
Never leave the bookkeeping office
unsecured, even if you use it for other tasks. Additionally, lock the
individual storage cabinets and petty cash boxes. Ensure the use of good
passwords. And, finally, purchase a safe to keep cash and cash equivalents.
These six components will result in a
bookkeeping office that you'll enjoy and find functional - without busting your
budget. Want to know how to incorporate any element into your particular space?
Start by consulting with an experienced bookkeeper. At Williams & Associates
Tax Services, we can help you get started and create a useful system. Call
today for an appointment.
