15760 Ventura Blvd, Suite 610 Encino, CA 91436
15760 Ventura Blvd, Suite 610 Encino, CA 91436
Personal, Affordable Payroll Services, Bookkeeping, and Tax Processing for Small Business throughout Los Angeles County.

5 Expert Tips for Small Business Bookkeeping

As a small business owner in Los Angeles, you have a lot on your plate including essential small business management responsibilities. While bookkeeping might feel like administrative busy work, but it’s critical for keeping your business in the black. These five tips for business bookkeeping can help you manage your business finances and be prepared for the IRS.

Make sure your invoices are paid

This might seem like a no-brainer, but making sure you get paid for the products and services you provide is critical to cash flow. You must keep money coming in, on time, to keep your business moving forward.

Watch your spending

You also need to make sure that you are cautious about spending. Certain business expenses are necessary but you need to make sure you’re not making too many extraneous purchases.

Plan for major expenses

If you know you have equipment that will need to be replaced or that you’ll need to expand your team and hire new people, plan ahead and make sure you have the capital cushion you need to cover these expenses.

Save for tax time

Whether you pay your taxes quarterly or annually, they’re a huge business expense and you need to prepare for those bills by saving. You may forecast that you’ll have enough capital to cover your tax bills when they’re due, but even with the best plans there’s always a chance you may be short, so save a percentage of your income to cover your taxes.

Keep detailed records

Speaking of taxes, you should keep meticulous records about your business income and expenses in case of an audit. Save your receipts, keep detailed and specific records of mileage and your expenses.

Your skills and passion lie in the services or products your business provides, so you may be best off hiring someone to take care of your small business bookkeeping and accounting. You could consider investing in accounting software, or you could leave the bookkeeping and accounting to the specialists. The experts at ATPP, a full-service payroll, tax-planning and business accounting firm located in Southern California, provide the support you need to run your business efficiently so you can focus on what you do best. Contact ATPP today for the expert accounting service your business needs.