Several decades ago, if you stayed home with your child or children instead of working outside of the home, you were dubbed to be “just a stay at home mom or dad” and not much else.
Thankfully, times have changed and our world has come a long way in a few years. With technology coming along as far as it has, we literally have everything we need to run a successful career all from the comfort of our own homes.
The use of technology means that we can be as successful and productive as a person who works outside of the home, and bring home just as much bacon as the traditional “breadwinner” does.
Technology has come a long way and the thought of being able to work from home is more than appealing to many people, but before going out and starting up your business at home, you need to be ready to organize and handle every side of working at home so that things are handled the way they are supposed to be from the very first day onwards.
If you want to have a successful business, you have to be able to organize the money you bring in and the money you spend.
This process can get quite murky, but if you are using an online accounting software, the bookkeeping process can be a lot more simple.
Below are some tips that will help you, as an already busy stay at home parent, learn how to do accounting the right way for your new work at home business.
1. Set your accounting software up first
Starting up and running a business will go much smoother overall if you have a strong accounting software. The most popular one out there right now is QuickBooks which is inexpensive, user-friendly and organizes your financial records down to the smallest detail.
Once you have the software downloaded, all you have to do is enter in you and your business’ information and the get started!
2. Learn how to invoice efficiently
If your business is going to survive you will be experiencing a lot of cash flow both in and out.
One thing you will experience is sending invoices to customers that includes what they are paying for and how much they owe you.
It is imperative that you learn how to write out an invoice and send it to your customers, then keep your own records in an organized manner of the invoices you have sent and whether or not you have received the money from them. If you want your business to succeed, then you will have to stay on top of sending bills to clients and collecting the money they owe you. Create a schedule with detailed dates of when you make and send out invoices and never deviate from it!
3. Get paid that money owed to you
Just because you send an invoice, or five, does not mean your clients are going to pay you on time, and some people may try to get away with trying to take advantage of you and not paying you for your services at all!
In order to speed up when you get paid, set up a convenient way for people to pay you quickly and easily. If they are able to pay you through an app like Paypal or Venmo, then they are more likely to get the money to you on time.
It is also important to make it very clear as to when their payments would be due or how long they have to make their payments after they receive their invoices.
If they are late to make a payment, you can give them one chance by a gentle reminder (you are a home run business after all) to pay their bill. If they still refuse to pay, continue to follow up weekly and include a late fee that goes up until they pay.
To protect you and your business, make sure it is included in the invoice that if they do not pay the bill they owe you by a certain date, then they will incur late fees onto the total that they will also have to pay.
4. Storing data in the cloud
It is of utmost importance to back up all of your important business information. In the unfortunate event that something happens to your computer or your website, you have to be doubly protected so that all of your financial records and important client information are saved and kept secure.
Using software like cloud storage will help keep your accounting and bookkeeping section running smoothly and efficiently.
It will also automatically back up all of your important records straight onto the cloud. This ensures that your sensitive information is never compromised. Having all of your information stored within hybrid cloud infrastructure also means that you can access your records from any device at any time.
So if your business takes you on the road, or if you are simply out and about with your family and need to do some quick business, you can whip out your mobile device anywhere and get to the important information you need that is stored in the cloud.
5. Stick to an organized schedule
Stay at home parents are already required to stay on top of everything in the house and are the ones that keep life running smoothly for their families by keeping everything organized. So, staying scheduled and organized in your business should come relatively easy!
Make out a schedule that tells you when to pay your bills, organize all the bills you have that you need to pay, keep organized financial records so when tax time comes all of your information is in one place, have a set schedule for dates when your invoices go out to clients, etc.
Having these things set in place will keep you on track to success and will make doing your finances much less of a headache. Accounting or bookkeeping for your own business is a lot less scary and stressful when you stick to a schedule and keep all of the papers you need in a safe, organized place.
6. Get help from a professional accountant
With a lot of hard work and dreams that never stop, your home-based business can take off in no time and become a huge success. Once your business starts to grow and gain a lot of traction, many more factors come into play.
You may have to start hiring employees to help you out, you have more invoices to keep track of, and bills to pay, and you still have to be a parent to your littles!
If you find that the accounting side of your business is just getting to be too much to handle on your own, you can reach out to a professional who does this type of thing for a living!
An accountant can help you keep track of all your financials and give you financial advice that will help scale your business without making any financial mistakes!
Take Accounting Into Your Own Hands
Starting a business can be scary, especially the money side of it, but it is not impossible! With a little bit of patience and a lot of organization, you can be a successful business person without ever leaving your children!
