Planning to start a business can be the most brainstorming and exhausting task for a person. It needs a great idea with a plan for execution as everybody wants to make extra money rather than incur losses. People often start with a small business or sole trading because of less investment and lesser risk and then expand it after it becomes a brand. But most of the time people complain about lack of time to expand the business as they are indulged in daily tasks only.
A business is all about making transactions, buy and sell products and services, collect and make payments. But for a small trader, doing these entire things take up all the time and no time for other promotional activities is left. Sole Traders and small businessmen who work entirely on their own, don’t get much time make receipts and book of accounts which lead to information getting all lost. Receipt Management for small business and traders is the technique to handle all the activities efficiently without neglecting one or another. It is a simple way out for the business people t manages their daily tasks and not making it pending for months.
Many businessmen have the habit of waiting for the receipts to be collected for a month and then by the end of a month, they sit down and make all the entries. This is the worst kind of habit any person can have, as it takes much more than required time to complete books and often people forget to note all the entries further leading to mistakes and confusions.
The proper procedure of How to File Receipts for Small Business is:
- Getting Started: Instead of waiting for a month to finish, make a habit to write down about every transaction by the end of the day. This will make work easy and no need to memorize anything once written.
- Sorting: Many Different files and folders must be maintained for sorting each and every receipt to its separate folder. There should a file for office work, another for household expenses and so on, and the receipts or expenses to be charged to its corresponding file.
- Make Folders: For every bundle to file there must be a folder to protect it from tearing and any receipt getting lost. These folders are to be safely kept in the cabinet for further assistance.
- Order: It is always helpful to name the cabinet and folders as per the relevance and organize them in proper order. This not only saves time but also doesn’t leave any chance for confusion.
Small Business Receipt Management is a very easy task if followed by the above procedure, but since there is a lack of time with the owners, they often hire agencies and individuals who have expert knowledge about management and accounting serving the purpose for the same. So, to avoid any kind of mismanagement, then surf for the right people and allocate the work and be hassle free.