News & Resources

The Hultquist Blog

Why Bookkeeping Is Vital…

BookkeepingI can’t think of anything more boring for a business owner than bookkeeping!  I don’t know many small business owners who really enjoy doing it.  But bookkeeping is deceiving.  It’s deceiving because it is so essential to your success – and not just entering numbers wherever you want, but having your bookkeeping done right.  And this applies to small business owners as well as large business owners.

Sure, if your business has grown and is beyond the “small” years, you are most likely not entering all of your bills, cutting checks, etc.  But that doesn’t mean your bookkeeping and accounting functions are any less important.  In fact, they are even more important.

Here’s why – the numbers, when put in the right accounts and categories, will unlock secrets about your business.  These secrets reveal so much about your business that you would never even know if you didn’t have good accounting.

What makes money and what doesn’t?  What are your margins on certain products or services?  How much is your payroll as a percent of sales?  How much revenue per employee do you have?

You see, good accounting and bookkeeping gives you metrics.  And metrics allow you to see how you are doing.  The metrics also show you what you need to do to improve.  And when you track these over time, you start to see why accounting and bookkeeping is so vital to your success.


Get In Contact