QuickBooks is designed to make your business run as efficiently as it possibly can. QuickBooks software allows you to manage your business without the hassle of having to manage stacks of paper to figure out where your business is going. Every business owner makes mistakes but QuickBooks allows you to easily identify and correct those mistakes. Here are five of the most common errors business owners make:
1 – High Payroll Costs
You may have over hired because you want to make sure your customers get the service they need. QuickBooks payroll reports can help identify where you are over staffed so you can make adjustments and improve earnings.
2 – Unrecorded or Misclassified Expenses
Every expense you have as a business owner needs to be recorded and classified properly for tax purposes. Saving cash receipts and correctly classifying purchases such as current expenses or assets is critical to avoiding inaccurate financial reports and hassles with the government. If your records are correctly maintained you will owe less money to the government and improve profits.
3 – Improper Input and Analysis of Financial Information
Many business owners will try to cut costs by trying to handle their bookkeeping through QuickBooks on their own. If you are not be able to use QuickBooks effectively you are wasting your time working on the books. Consider outsourcing your bookkeeping and payroll functions to a QuickBooks expert.
4 – Uneducated Cost Analysis
A QuickBooks expert can help you analyze your costs on a regular basis and can show you where you are spending money unnecessarily so you can cut back and increase profits.
5 – Overstocked Inventory
While you should always have enough products on hand to satisfy the needs of your customers, some items do not sell quickly. With professional help from a QuickBooks expert, you can manage your inventory so it yields the highest profits for you.
The author: Dawn Contardi, owner of Sharp Bookkeeping Service, a Certified QuickBooks ProAdvisor and a member of the American Institute of Professional Bookkeepers with 25 years of experience can be reached at 732-458-3800 or contact us.