You have your own business and it does pretty well. You are successful and you do your best to keep up with the books and financials when you have the time. Of course, you are also doing all the marketing, generating new clients and handling all the other aspects of the business. Let’s not forget about keeping horses happy and sound, working with the farrier, prepping for the season, staffing, repairing all broke machinery, etc... the list never ends. With all of this under your belt, you realize that t's getting crazy, as is common for all small business owners.
Although you are handling the books yourself, are you also taking the time to prepare and look at monthly, quarterly and yearly reports? Are all of your boarders, students and owners set up on automatic invoicing and online payments, or do you still have to generate these yourself? Are any other financial issues slipping through the cracks?
Bookkeeping reports, such as the balance sheet (assets, liabilities and equity), and income statement (aka profit and loss) provide excellent “hard” pictures of the financial health of the business. What about checking through the way you are classifying your expenditures, assets, etc., to help ensure that you are saving money and are able to avoid the dreaded audit? Do you periodically check ways to save money with your banking, or in other ways in your business? What about ensuring that you are putting profit into your business equation, not just when there is money left over?
What these reports and bank reviews can show you may surprise and startle you, too. All too often, small business owners are so busy that really good bookkeeping/financial management gets a “once-over”. Profit only gets made after all other things are covered, leaving little left at the end. Also, business owners are so personally involved with the business that they can fool themselves about financial issues needing immediate attention, or not make the little changes that can lead to potentially huge savings.
The tremendous benefits of having a great and competent person/company looking over your books and business management is that they take the time and extra steps to eliminate/fix all of the aforementioned problems. Great bookkeeping can actually save you lots of money because they are not personally involved. Their goal is your success, making wasteful eliminations and changing routines possible to improve profit and cash flow, or decrease debt. Going through reports and itemization's may seem dull, but these are the very tasks which can dramatically alter cash flow and increase profit.
With some extra effort, or by getting qualified bookkeeping help, you will be on your way to increased business savings and financial improvement through careful examination of your books and financial reports. Please contact me if you ever need help decreasing waste and improving efficiency in your business. (352-229-4868, or kismetbiz.site.) In the meantime, have a GREAT holiday season and a Happy New Year. Don’t forget to put profit first and trot on.
Kismet Business Services, LLC
Virtual Bookkeeping and More
YOUR EQUINE INDUSTRY SPECIALIST