How to Keep Organized Accounting Records for Your Dog Grooming Business
We’re going to show you how easy it is to keep organized accounting records for your dog grooming business. We’ve been helping businesses set up their bookkeeping systems for many years. Unless you are one of the mega-stores in the mall with a lot of inventory, your dog grooming business falls into what we call “businesses with very simple bookkeeping needs.” That’s right. We said simple! It might not seem that way to you, but trust us, it is. Yes, there is a learning curve, but it is a small one if you follow a few simple rules and use the unique features of Big E-Z Accounting for Google Sheets Add-on.
Bookkeeping Tips for You
Tip #1: You will need a separate checking account and credit card for your business. Please don’t try to combine business with personal transactions. It’s too difficult to keep straight. And besides, there are so many banks offering free checking accounts. Better yet, check into getting an account at a local credit union. I’ve used one for years for my business. Tip #2: You will want to determine which categories to track. We can help you there also. (See Expenses below for a link to suggested categories.) The idea here is to use the Big E-Z system as a way to crunch your numbers for the entire year down to a dozen or two category totals for your tax return. That’s one of the goals of keeping organized records, right?Income
I recommend you have just one income category for all sales but break down your sales into income subcategories to determine which items sell the best or which events brought in the most income. A simple Point of Sale (POS) cash register system should give you a breakdown of items sold for the day, along with taxes collected, and how customers paid you, for example, cash, check, or charge.Expenses
Determining the correct expense categories to track is just one piece of your financial puzzle. Go to this link to see a list of suggested categories for deductible expenses for a dog grooming business. Expenses are pretty straightforward as you will see from the list. Additionally, if you have expenses related to specific events you can set up subcategories to track those as well.Payroll & Taxes
We recommend you use a payroll service to pay employees and just record the payroll totals in the system to track taxes withheld and taxes owed. Please don’t spend withheld tax money. This will cause you all kinds of trouble with the tax authorities. Try to put this money aside until it is due. Using a Cash Management form like the one in Big E-Z Accounting can help you keep reserved money reserved. This is another one of the financial puzzle pieces we can help you solve. Tip #3: Manage your business more effectively by viewing how well you are doing on a monthly basis. You will want to see clear, concise reports you can understand and trust. You will want to know your profits for estimated tax payments and if you are overspending in a certain area. Viewing our Cash Flow Direct Method report will give you a unique view of where your money is being spent. Even some of the top-selling accounting programs don’t have this unique view of how your money is being spent. But we do!How Easy Is It To Correct?
Most people don’t even consider this important feature. Think about it – time is money! Or should we say wasting time is wasting money? If you have ever tried to correct an entry error in a cumbersome accounting program you know exactly what I mean. You could spend hours of your precious time troubleshooting and doing Google searches to find the best way to correct something. Big E-Z is truly easy to correct. How much easier does accounting get than to enter some amounts under a few columns, categorize your entries and get professional-looking reports? There is power in that! It is a great feeling to know you are in control and everything is running smoothly. Need some inspiration? Here’s a list of benefits:Benefits
- Know your true bank balance at all times
- Track all your income and expense right down to the penny
- No need to pay someone to do it for you
More Benefits You’ll Receive
- Get professional-looking reports
- Keep your financial records organized for tax time
- Prove the value of your business if and when you decide to sell