There are few things that make new business owners more uncomfortable than the prospect of keeping their finances in order. Add in the necessity for some form of E-commerce integration, or the fact that a staggering number of new enterprises, ranging from retail shops to maid delivery services, are hopping aboard the E-commerce train, and you can find yourself with one major headache. Fortunately enough, Accounting Solutions Ltd. is well versed in the trials and tribulations that budding business owners face while trying to manage their money. Accounting is our specialty, our bread and butter, and we are happy to provide our loyal clients with some tips that will make their descent into the world of E-commerce financial management a whole lot easier:
Step One: Be Aware
This seemingly obvious step is one that is forgotten by amateur executives on a surprisingly consistent basis, and should always be taken into consideration when assessing an organization’s finances, regardless of whether the Internet is being used or if one is scribbling numbers on a notepad. Researching and studying which laws and regulations apply to your business in your region is absolutely paramount, and may be something that you should considering enlisting the services of a CPA to do. Calculating which tax brackets and financial implications in terms of the status of your enterprise and which time frames may apply to it are great things to keep an eye on. Don’t forget that this research process is on-going, as rules and regulations have a tendency to change with every tax season.
Step Two: Bookkeeping=Record Keeping
Keeping track of your financial statements is probably the most elementary part of actively accounting in the E-commerce realm. Prior to embarking on any major entrepreneurial transformations or additions to your business, always be sure to have a system prepared in order to keep track of the monetary ins and outs. Any and all important files should be stored as digital copies and arranged in an logical sequence that you can understand. As a basic tip we advise that you order documents based off of their type as well as the date. This can not only save you a lot of time in the long run, but also permit flexibility down the road; nothing will hamper your productivity more than passing over your accounting responsibilities to someone who is unable to decipher the files that you have created! Fortunately enough, there exist a variety of forms of accounting software that are excellent management tools for your records.
Step Three: Which Solution Works For You?
The two aforementioned steps, when applied properly, are essential to the implementation of any accounting program. What you may have noticed is that they are rules that can be applied outside the realm of E-commerce. In order to bring things full circle you must integrate those two steps within the context of an accounting solution: a type of software that is tailored to suit your business needs. Each of the programs listed below has different positives and negatives, therefore a research and planning phase should always be taken into consideration prior to adopting one:
- Xero: When it comes to the scope and scale of services, few manage to line up with the high standards set by Xero. This software is reliable and intuitive, making it perfect for those new to the E-commerce accounting world. Flexibility within the cloud is a large draw with this one, with important functions such as handling payroll and cashflow being easily managed through the online system. There are boundless opportunities for you to find your ideal accounting niche through Xero, which comes with a great 24/7 support service, multi layer security, as well as a impressive assemblage of apps.
- Wave: This software is perfect for those starting off with little financial flexibility simply because it is free! Don’t let the non-existent price tag dissuade you, however, Wave is adept at handling accounting, payroll, invoicing, and more, and is compatible with Excel and other external apps and data sources.
QuickBooks: Thousands of small businesses utilize QuickBooks on a daily basis, and for good reason. It offers a number of different options in terms of scalability and is flexible enough in order to be applied to organizations both big and small. QuickBooks also works on a smart system that cuts down on menial data entry tasks, making tracking your earnings, inventory, and invoices very simple. We recommend that you explore the different software packages on offer here as there exist quite a few options that can conform to exactly what your business requires.
Kashoo: If you are drawn to Apple computers due to their simplicity and ease of use, Kashoo may be right up your alley in terms of accounting software. User friendliness is the name of the game here, and novice accountants will be pleased with the effective means of data entry on display here. One of the main selling points of this accounting solution is that it can be learned in just one day, and, fortunately enough, their support system extends for a lifetime, as users will have access to a large video tutorial library.
Starting a business is no easy feat, especially when taking into consideration the necessity of accounting and financial management. Fortunately, with the right guidance, even the least experienced entrepreneurs will be able to take the reins and steer their company towards success. E-commerce is a continuously expanding field within our connected world, and being able to easily integrate accounting solutions within its boundaries is something that every enterpriser should understand prior to embarking on their ambitious venture. By following the aforementioned advice and picking the right software and resources, we are confident that you will be able to find success. Looking to determine which solution works best for you? You know who to call.