Resolutions again? Yep! It’s that time of year; time to revamp, revise and revitalise your business processes to set yourself up for success in 2016.
Bookkeeping to a small business owner likely incites little to no passion and chances are you would rather spend your time doing a million other things. Not an option!
Make small changes to your system like these seven tips:
- Automate. The biggest impediment to staying on top of the books is time. Today there is more opportunity than ever before to access very smart software at inexpensive prices. Most cloud-software can automate invoicing (and chase slow payers) as well as carrying out many other aspects without you having to get involved at all.
- It is nice to be regular. Keeping up with the books on a daily basis will save you a lot of time as well as ensure you get early indication if something isn’t trending right. Your role as a business owner is to keep your finger on the pulse rather than your head in the sand.
- Reconcile often. Chances are your bank is able to stream data to your software package and this helps you to keep track of who owes you money. Cash flow is a problem for most small businesses and having a firm handle on your bank balance can protect you from a lot of problems in the future.
- Information is power. Knowing how well that marketing campaign is going or how well your work in progress or inventory levels are being managed can strengthen your customer relationships. And that’s great business. Understanding what all those numbers mean is critical for your success. They are more than just numbers. They are what all that toil has been for. Make it count.
- Keep things simple. Your success won’t come from how many graphs you can print out and study. Or how many spreadsheets you have before you. Success is keeping track of the right Key Performance Indicators that apply to your business. Focus on what really matters. And ignore the rest.
- Keep your personal things personal. Don’t use your business as an extension of your private life. Pay yourself a salary and live off that – just like your team members do. That will ensure you don’t bleed your business and miss out on opportunities that require investment but promise to pay off big in the longer term.
- Introduce your accounting software to your other software and watch your business hum. Nowadays modern bookkeeping software can interact with many other aspects of your business. Your customer relationship management system, your marketing programs, your inventory control or workflow management systems, your email and a whole lot more.
Allowing your business processes to “talk” to each other can streamline your business making for greater productivity, more efficiency and greater opportunity.