Does my business really need a bookkeeper? Have you ever found yourself wondering this age-old question? Well, you’re not alone.
Recently, I stumbled upon this very question in a Facebook group – So today I’m not only going to address the necessity of having a bookkeeper for your small business but also unravel the real issue at hand: The choice between outsourcing your bookkeeping or tackling it yourself.
To decide what is right for you, I want you to ask yourself these three questions…
Is your business generating less than $100,000 per year?
When you’re under six figures, paying a bookkeeper or paying an accounting firm will end up being about 15% of your revenue. At this point in your business you’re already paying yourself so little, that I want you to take more of the pot. Plus, I’m confident that you’re capable of doing the bookkeeping.
Side note: Once you’re generating over six figures, the cost of a bookkeeper is such a smaller percentage versus your overall revenue that it makes sense to outsource (check out our bookkeeping services here). And it’s very likely that your time would generate more revenue or provide more value to your business if you spent it elsewhere.
Are you willing to learn how to use the accounting software to manage your bookkeeping?
The great thing about accounting software is how helpful it is to streamline the bookkeeping process. We recommend QuickBooks Online – because of how user-friendly it is and it’s so widely used that you can easily find answers and tutorials for any questions or problems you have. If you’re looking for a free software, WAVE is a great option. But whatever software you use – you have to be willing to learn how to use it and use it accurately.
Are you willing to do the bookkeeping timely?
The important thing to remember about bookkeeping is that it needs to be done consistently. Are you willing to commit to consistently managing your books and it not just being some chore you do once a year?
If you answered YES to these questions then the answer is simple: Do your own bookkeeping!
Now, you might be thinking, “Numbers aren’t my thing – can I really handle my own bookkeeping?” Absolutely! If you’re savvy enough to start a business, you possess the intelligence to manage your books and save those hard-earned dollars. The key is commitment. You have to be willing to dive into the numbers and take charge of your financial narrative.
If you need help learning how to handle your books – so well, that you aren’t stressed at tax time and can actually take a paycheck? (one that is worth talking about) Our QuickBooks Confident course will take you from saying “what on earth am I doing?” to becoming the boss of your own books. All in small bite-sized, easy to follow tutorials that you can do at your own pace! (Get it inside our Money Mastery Toolbox for just $24 now – limited time only)
Whether you choose to enlist the expertise of a bookkeeper or embark on the DIY route, the key is to be informed and confident in managing your business finances. Remember, you’re not just a small business owner; you’re the captain of your financial ship steering your business to success.
Cheers to Profit! 🥂