“One of these days I’m going to get organised…”
Well, until that day comes you’ll really struggle with the ins and outs of bookkeeping and admin which are two essential components of a successful business. Even if you outsource you’ll need to manage your documents and transactional information up to a point, and if you go the DIY route, which most startups will need to take anyway, the need is even more acute. Get in the habit of doing these tasks in a regular and structured way and you will find that you save yourself time and painful pressure points, along with developing a better understanding of your business.
So, what do we mean by Organised?
- Having a defined storage location for each of your business documents
- Being able to access these documents quickly
- Setting up processes to control your information flow e.g. sequential sales invoice numbers, alphabetic filing for supplier invoices and statements
- Using systems, either spreadsheets or online accounting tools, to record and control your transactions. Businesses that have a detailed understanding of their performance are in a much better position to grow. At the very least you’ll need to understand who owes you money.
Some of the above might seem like overkill if you’re just starting out but it’s about habit and, as you grow, solid structures will absorb the growth in admin that might otherwise sink you.
So, what do we mean by Disciplined?
- Basically stick with it!. Set yourself a documented routine taking you through the month and don’t waver from it. Accounting and admin are pussycats if done in a regular and focussed way but they will turn into your monster if you let them get out of hand. So be a little bit hard on yourself and push yourself to do those bookkeeping and filing chores…
In future blogs we’ll publish some more detailed guidance on how to setup your processes.