Now it’s time to dive into the WHAT. And the question here is really simple. What is bookkeeping? And really the answer is pretty simple too. Bookkeeping is an organized process of recording financial transactions in your business. Now those financial transactions might include things like sales, purchases that you make, deposits, payments, or transfers for example.
The frequent recording of these transactions ensures that your books are up to date and organized. Accuracy is key here. Every transaction that you enter should debit one account and credit another. This is called double-entry bookkeeping. We won’t get too far into detail there on what that is, but you’ll want to use accounting software that automatically utilizes double-entry accounting.
We will talk more about the specifics of software in the WHERE section of our bookkeeping course. So make sure to check that out. Also, be sure to dive into the content in the WHAT section of our bookkeeping course. I provide a lot of common bookkeeping terms and their meanings. I certainly will not go over all of them here, but you’ll want to read over them, read their definitions, and really just become familiar with those common accounting and bookkeeping terms.
Whether you’re going through our free bookkeeping course and hearing things that I’m speaking about or just talking with other business owners or reading about online software when you’re looking to choose your accounting software; things like that you are going to see some of these terms and it will be super helpful to know what they are and what they mean for your business and for the bookkeeping of your business.
To learn more about the WHO & WHAT of bookkeeping or if you want to go ahead and learn about the WHEN, WHERE, and WHY before our next blog comes out, sign up for our FREE BOOKKEEPING COURSE.
Or if you are wanting to outsource your bookkeeping we would love to chat with you about the bookkeeping and tax services we offer here at Steadfast! You can learn more about our company and what services would best fit your business by clicking right here.
We hope this course has a positive impact on your business! If it has helped you, please feel free to leave a comment below and let us know.