Financial accounting does seem complicated and confusing so many entrepreneurs avoid it until it’s too late cloud bookkeeping. Bookkeeping must be done from the first time the business is conducted. If you don’t have enough knowledge, at least there is simple bookkeeping that you should have prepared from the beginning. Meanwhile, if your business starts to grow, perhaps you can consider hiring some Cloud bookkeeping services.
Here are tips for making simple bookkeeping for small businesses including business students like you:
Expenditure cash book
One of the main aspects that must be present in your financial books is the cash book of expenditure or expenditure. Various expenses such as expenditure on raw materials, operations, employee wages, taxes, etc. must be recorded in detail and without exception. Group in a separate table or record so that you understand how much capital is spent on the business being undertaken.
The next mandatory aspect is the cash book income to record the results of sales and income in the business being run. Record in a separate table various income such as product sales or accounts receivable that have been paid. Make sure this income record is routinely done every day so that you can know the number of benefits obtained. Recording regular income can also read your product sales trends to take the next sales strategy.
Main cash book
The main cash book is a combination of cash tables of income and expenses that have been made previously. Thus, you will be able to find out the details of the advantages and disadvantages of your business. If for example the loss, can be seen whether there are expenses that can be cut. If the income is not optimal, an alternative marketing strategy can be found to increase sales. The main cash book also helps you see if there is leakage of funds or unexpected costs that must be addressed.