If you’re spending more of your time as a CBO (Chief Bookkeeping Officer) than a CEO, then it’s time for a reality check.
1. Bookkeeping is taking up too much of your time
There’s a finite number of hours in the day so you need to be using them wisely in your business.
It’s not a sensible strategy to be spending the bulk of your time on things that you can outsource to a team member; your job is to focus on maximising profits!
2. You’re trying to scale
Are you bringing in a steady revenue month after month? Have you laid strong foundations for your business and brought in a team that works effectively? Do you feel ready to take your business to the next level?
Then I strongly urge you to outsource your bookkeeping!
Scaling up can be one of the most exciting times for your company – but also one of the riskiest.
I’ve seen businesses fail because they tried to scale too quickly. Or the wrong way. They’ve ended up in a worse situation than they started in – because they didn’t read the data.
So many entrepreneurs leap into scaling without taking the numbers into account. Maybe you’ve got a regular revenue stream. You might have even taken on extra staff in order to manage the increased workload. But if you’ve not considered someone to manage the extra financial reports then there’s a chance your attempts to scale will fall flat.
3. Your bookkeeping isn’t up to date
If you’ve let your books get out of order then I beg of you to hire a bookkeeper!
I’ve managed a ton of ‘cleanups’ for companies over my career and, let me be honest – they’re a pain in the butt. When the numbers haven’t been tracked for months on end, the task of organizing everything is definitely going to eat into your time.
Now, I’m not saying you can’t take on a task like this yourself. If you have the time, if you’re not afraid of some math and some work, then you can absolutely DIY your bookkeeping.
You might not have the budget for a monthly ongoing bookkeeping service, and that’s fine. You can contact me to discuss a one-time job to set you up. But you absolutely must keep on top of your finances if you want to bring home profits.
4. Your decisions are NOT based on your numbers
Whilst bookkeeping can be done yourself, it’s something you need to be consistent with.
Numbers don’t lie, and by consulting your financial data before you make any business decisions, you know you’ll be maintaining a profitable business.
If you’re not in the habit of using the data to guide your decision-making, then it’s time to outsource to someone who will.
5. You’re scared of the IRS!
I know, I know. Audits are never fun and most business owners dread them.
If you’re scared of what might be uncovered through an audit – then you need to hire a bookkeeper. Staying on top of your income and expenses – legally and legitimately – will keep you clean when the IRS comes to visit!
Owning a business can be hugely rewarding. But if you find that any of these signs apply to you then you need to consider outsourcing to a bookkeeper before the joy gets sucked out of what you do.
While you don’t need to outsource, and can take care of the books yourself, you must remember that bookkeeping is a necessity not a luxury.
If you need a consultation with us with regards to your business, any type of business – please reach out to us on email PA@matsobanemetja.co.za
Compiled by Ms. Dikeledi Seoloane on behalf of Matsobanemetja Business Consulting (Pty) Ltd
For more information: enquiries@matsobanemetja.co.za
“Bookkeeping is the art of recording and organizing financial transactions – it is the foundation of any successful business.”
– Unknown
Matsobanemetja Business Consulting Pty Ltd 