In honor of May being Small Business Month we have put together 13 bookkeeping and back office tips every small businesses owner needs to know.
- Outsourcing your bookkeeping may cost less than you performing the services in-house and it can free up your time to focus on growing your business.
- Use credit monitoring and credit checks to protect your business by researching and monitoring your customers, suppliers and subcontractors.
- Make sure you protect your rights by getting help with lien compliance.
- Credit checks can help you determine your risk before taking the job and hiring subcontractors or suppliers.
- It costs less to stay out of trouble than to get out of trouble. It’s essential to understand financial risks before you provide a quote, bid or proposal and before you enter into contracts.
- Credit services help you get all the information you need about your clients, subcontractors and suppliers to help protect your business and reduce the risk of not being paid.
- Determine if the subcontractors you want to hire are financially sound, so they don’t default, before you starting working with them.
- The ability of your clients to pay you is essential to the survival of your company. Do your due diligence on them before you take the job.
- The ability to file a lien is the most powerful tool you possess when it comes to getting paid.
- When it comes to lien compliance it can be confusing to know what has to be filed, when things have to be filed and who can file them. Get help when you need it.
- Lien laws can be very confusing and differ in each state. It can pay to get help from those who know about your state.
- It is important and time consuming to monitor your projects from the initial notification letter through the notice of completion. It can be beneficial to find a partner who can handle this for you.
- It is vital and takes time to ensure you receive all the lien releases from your subcontractors and suppliers. Let someone else handle this for you so you can focus on job instead of the paperwork.
Bookkeeping and back office tasks are not activities that contribute to your business’s bottom line so they are often overlooked or put on the back burner by many small business owners. It is important for all small business owners to realize just how vital a role they do play in the success of the business, even if they are not the top priority. Outsourcing your business’s bookkeeping and back office tasks could be just what your small business needs to ensure you are adequately protected and positioned for growth.