|Yes yes, I know, everyone has New Year's resolutions. I'm not suggesting you do that, but you will anyway, and you'll likely not follow through on that weight loss plan, get rich scheme, or other bright idea that, at 11:45pm this evening, will seem like such a good idea three shots in, but will be just a blur of an idea the morning after.|
Instead, consider that, from a tax and bookkeeping standpoint, beginning to use accounting software like Quickbooks (at right, the TOP link is the PC version - 2008, and at BOTTOM is the Mac version, currently 2007, make sure you pick the right one!), MYOB, or invoicing/estimating software on January 1, 2008 is, in fact, the easiest and cleanest way to get your financial house in order.
It's not that you shouldn't have done it months ago, in fact, the day you started your business (or before) you should have, but it's high time you do so if you have been procrastinating.
(Continued after the Jump)It's as simple as buying the software today, Monday, and it'll likely arrive by Friday. Over the weekend, you can learn a bit about it, and when your bank statement for December arrives a few days later, use as the closing balance for your December statement (which probably actually closed between the 31st and the 7th) your opening balance in the software.
As checks from jobs from December come in, just re-create your invoice in the software as they were however you did it previously, using the categories that apply, like "photographers assignment fees" become "professional services", and so forth.
After several months, the notion of going back to reconstitute several months' worth of transactions is daunting, so you have a wonderful window of opportunity to get your act straight in a real and meaningful way for the coming year. In addition, six months from now, you'll be able to, with a few clicks of a mouse generate reports that make you look like the real business that you are, and show you how your income is trending, and where your profit centers are. Sound foreign? If so, what are you waiting for, get on it!
Happy New Years!
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