Simple Record Keeping for Small Businesses

December 10, 2022
Published by Gonzales Group CPA

There are numerous reasons why it’s important to keep good records, even for small businesses. It helps with tax preparation, helps keep you compliant with various regulations and standards, and it ensures you know where you stand financially. Without solid bookkeeping, it’s hard to tell if you’re growing or failing and where improvements can be made. There are basic things you can do to keep up with your records, which can make things easier for you. You can also work with bookkeeping services in San Antonio TX, such as the Gonzales Group.

Always keep backups of all of your business records in case of theft, natural disaster, or other incidents. You should have at least two copies of everything, preferably in separate locations should one be compromised. You can keep a physical copy and make digital copies for a hard drive and/or cloud, or if you’ve gone paperless, keep one on a computer or a separate hard drive and one in the cloud. However, for all digital copies, make sure everything is securely encrypted and behind strong passwords with two-factor authentication.

There are various financial documents and records that need to be kept for specific amounts of time, such as taxes, which should be kept for seven years. Make sure you do have all of the relevant documents saved for the appropriate time period, but it is good to clear out documents once they’re no longer needed.

Ideally, at the start of each year, create a new digital file for the year’s records and documents. By having separate files for each year, it is easier to track what is needed and to find certain documents.

Ultimately, you should have some bookkeeping software to help you keep items updated and to keep track of everything. A good document control system is useful to keep track of your growing number of documents and statements. There is also accounting software that can keep track of spending and create reports.

As always, the more organized you are with your record keeping, the better you’ll understand how your small business is doing. It’s good to keep track of documents, statements, etc., for your own records, but there are bookkeeping services in San Antonio TX that can also help you, especially if you’re feeling overwhelmed. Contact Gonzales Group today to ensure you’re ready to start 2023 off in an organized manner to better grow your business.

Categorised in: Business Tips, Finance Info, Gonzales Group Info, IRS Tips, Simple Record Keeping for Small Businesses

This post was written by Gonzales Group CPA