Some people prefer to build a customized solution for their number tracking efforts. It may require some man-hours if you need to build a sophisticated spreadsheet, or it might be extremely simple and basic, requiring not more than a few minutes to set up. At StartupNation, we not only use an off-the-shelf software solution to manage our numbers but we use a customized spreadsheet we created as well.
Hiring Bookkeepers & Accountants
If you aren’t very computer savvy or just don’t trust yourself with your company’s books, it might be best to hire a bookkeeper to do the number work for you. However, that route can prove costly. In the Phoenix area, for example, rates for bookkeeping can start at $50 per hour, says Michael Minyard, the president of an accounting firm in that city.
But a bookkeeper at that price may be worth it, too. Think of it this way: If you can generate more revenue than $50 for your company in that same hour, a strong argument could be made that contracting a bookkeeper makes sense. Like anything, one of the best ways to choose a bookkeeper is to ask other small business owners for any good resources they’ve used, or check with a local chamber of commerce to find a good fit. You can also use our online service to receive competitive quotes from providers on bookkeeping services.
And don’t assume that your work is done when you’ve finally found your dream bookkeeper. Once they do the basic data entry and flag glaring issues, it’s up to you to then identify the subtle and strategic takeaways. It’s up to you to manage those numbers and make them a platform for planning and taking action.
Whatever method you choose to track your numbers, just make sure that it is accurate, efficient, and regularly tended to. Strong bookkeeping will help you deal quickly with upcoming cash shortfalls, avoid future tax-preparation problems and give you the information you need to effectively run your business.