At this time of the year, many small businesses are behind on their bookkeeping. Their bookkeeping is driven by what others need from it — like filing taxes. Many business owners don’t make bookkeeping a priority because they 
have not made it a part of making better business decisions. To be frank, bookkeeping is not the most desirable task for most business owners. Bookkeeping can also be intimidating for most and not the best use of the owner’s time.
A neglected bookkeeping system will not be able to produce the information you need in a timely manner. When you can’t produce accurate business financial reports quickly it says a lot about your business acumen, too. Once a business has matured or has had a crisis, the owner realizes that bookkeeping is important and needs to be updated regularly.
Here are four (4) reasons why your bookkeeping is behind and how to overcome each.
1. Lack of Time
The number one excuse we hear for not keeping updated books is the lack of time. It is not a lack of time that keeps you from updating your bookkeeping it is a lack of -making- time. Unattractive tasks like bookkeeping get pushed further and further down the to-do list until you are tired and the day is over. So, you push the task to the next day. The next day, you think of all the other things you would like to do, or need to do, other than bookkeeping. This cycle continues and once you fall into this habit it is tough to break.
Solution: Block some time on your calendar each week for bookkeeping and get it done. Consider using outsourced bookkeeping services for a few hours per month, or per week, to keep your books updated on a regular basis.
2. Lack of Knowledge
Many business owners are not accountants. While many may have a degree in business or some aspect of business,
they may not have focused in accounting. That leaves most business owners with an accounting education that is an overview at best. Worse, that minimal accounting education may have happened a long time ago. As time goes by, bookkeeping becomes a more difficult task to accomplish with confidence. So, if you don’t have the knowledge to do your bookkeeping anymore, how do you get it done?
Solution: If you still want to do your own bookkeeping consider hiring an expert to provide bookkeeping support, QuickBooks expertise along with years of experience and efficient processes to get the job done right.
3. You Hate Bookkeeping
A common theme working with small businesses is that many business owners dislike the bookkeeping tasks. Some cringe at the very mention of the word “bookkeeping”. No doubt, small business bookkeeping can be painful; and the further behind the bookkeeping gets, the more dreaded the chore becomes to bring the books current. Yet, bookkeeping needs to get done.
Solution: If you don’t like bookkeeping, find someone that does. As odd as it may sound, there are people out there that enjoy small business bookkeeping and they are very good at it, too.
4. Accounting Is Intimidating
Accounting can be an intimidating task. What if you code something wrong? What if things don’t balance after
many hours of work? What if you get audited by the IRS? There many things that can go wrong when handling your own bookkeeping. The thought of handling your bookkeeping incorrectly makes it a stressful task, too. The last thing you want is to have neglected bookkeeping result in a compounded problem later.
Solution: Along with a professional bookkeeper for month to month support, we also recommend that you have an experienced Tax CPA on your team. Make sure your Tax CPA thoroughly checks over you books annually to assure everything has been handled correctly for tax time.
There could be many reasons why your bookkeeping is behind. However, your bookkeeping system can provide you with valuable information that can help you run your business. No matter what your reason is for letting your bookkeeping fall behind, find a way to get current, keep it updated and use it to your advantage.
Focus on what you do best
YourBizManager can help! You can start the process by sending us an e-mail to info@YourBizManager.com or by texting or calling 424-246-6006.
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About Doris Cristiano & YourBizManager
As an independent bookkeeper, Doris Cristiano has been providing flexible business services on the west-side of Los Angeles since 1997. To support business needs and growth, YourBizManager tailors its services to each unique situation and works closely with its Clients’ at their business or home office. More About Us
