Why you shouldn’t do your own bookkeeping.

by Jerry Slade, ByTheBook Keepers, Inc.

In the early 80s, I think it was, I was approached by Intuit to be an Alpha contributor to their brand new program called QuickBooks.  I was happy to participate in the program as I was “doing” bookkeeping for a few Tax clients at the time and nothing else was very good for Bookkeeping then.

QuickBooks turned out to be a great program for larger “small businesses” and companies with an experienced accountant on board, but it was mostly sold to small business owners who were told they could do their own bookkeeping.  Many could and still do, but……..why? 

  • Most small business owners can’t seem to get time to do their own Social Media which is much more important to the financial success of their business.  The ones that do are probably wasting their time and money.
  • Most small business owners have no time to collect their accounts receivable and often have no time to get their billing out timely.
  • Most small business owners have no time to spend on gaining new business, until it’s too late and they stop doing everything else.
  • Most small business owners have no time to do their business planning and research and try to figure out if it’s time to do their business modelling.
  • Tax deductions eat up 30-45% of the cost of a bookkeeper.  The cost of having an outside company do your bookkeeping can be offset with one or two new customers a month, even less if you don’t have time to “farm” your own client base for more business from your satisfied clients.
  • Many business owners work all day trying to get everything done and spend little or no quality time with their family.

Why do you do your own?  Because you think you’re saving money when you’re probably not.  Are you in business to do what you’re doing or are you in business to do your own bookkeeping?  I’ll let you answer that question.

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