Accounting and Bookkeeping Articles

As the New Year approaches, many professionals become interested in finding more efficient ways to get the job done.  In BNet’s crash course entitled “The Quick-and-Dirty Guide to Getting Things Done,” author Kim Girard gives four tips on finishing projects twice as quickly.  They work well for anyone in a managerial position tasked with seeing a project through to completion, a description that applies to anyone who is self-employed.

Practice Bookend Management

This tip is taken from a book entitled, The Lazy Project Manager: How to Be Twice as Productive and Still Leave the Office Early. Author Pete Taylor argues that failing projects generally don’t get the necessary attention at the onset.  A manager needs to launch the project in the right direction and with the proper amount of momentum.  For this reason, you should pay particular attention to the start of a project, and then manage with the same intensity at the project’s end.

Note: Decide upfront how you will manage changes to the project.  Depending on the size of your operation, this may be as simple as acknowledging the change and making the necessary revisions to your timeline and subsequent steps.

Avoid E-Mail Abuse

Choosing to use email as your communication method of choice with team members can be dangerous.  If a large volume of emails are being sent and received, people tend to disregard them, assuming that much of what is being communicated is tedious and unnecessary.  Establish a system of communication that is clear for everyone.  Lynda Bourne, a blogger for the Project Management Institute, suggests that you only use email for items that require immediate attention.  All documents related to the project can be deposited somewhere else, for quick and easy reference, like a wiki or shared drop box.  All other communiqué can be accomplished via phone or face-to-face contact.

Put Out Fires Quickly

The longer you wait to resolve problems, the more they can interfere with your project’s success.  In order to avoid that, Girard recommends implementing Scott Berkun’s 7 steps in getting a project back on track, as taken from his book entitled Making Things Happen:

1.    Calm down

2.    Evaluate the problem in relation to the project

3.    Get the right people in the room

4.    Explore alternatives

5.    Make the simplest plan

6.    Execute

7.    Debrief

Perform a Postmortem

It’s important that you always perform an assessment after the project has been completed.  What worked well?  What needs improvement?  Girard suggests identifying three of each.

Note: Set some ground rules before you begin.  For example, ban usage of iPhones and BlackBerrys during this meeting, and ensure that everyone has a right to voice their opinion as long as they focus on problems and not personnel.

When you practice these four tips, you are better equipped to complete projects sooner.  Decide to implement them now, and enjoy a more productive New Year.

Increase Your Profitability as Well

There are two ways you can increase your income.  1) Work more efficiently, and 2) increase your service offerings.  Now that you know how to accomplish number one, consider working on number two.

By law, every small business must perform certain accounting functions.  This makes small-business accounting a great niche market.  And in this day and age of economic uncertainty, business owners don’t want to turn their finances over to just anyone.  They feel much more comfortable leaving their accounting to a certified professional: a Professional Bookkeeper (PB).

Set a New Year’s resolution that you can easily accomplish this year by enrolling in the Professional Bookkeeper program and earning your PB designation.  Not only can you earn valuable certification that will put prospective clients at ease, but you will also learn valuable accounting skills that will help you better serve your small business clients.

Here are just a few things this program enables you to do:

• Master accounting for retail and wholesale businesses
• Determine and establish the accounting method that best fits any given business
• Set up an efficient system for a “ma & pa” manufacturing company
• Track job costs simply and efficiently for a construction company
• Effectively handle flooring for an inventory-financed business
• Confidently consult with business owners on key business issues
• Enter data quickly and accurately
• Prepare payroll like a seasoned pro
• Avoid costly IRS penalties
• Spot and avoid dangerous trends before they become tragedies
• Save a company thousands of dollars in auditing costs
• Start your own bookkeeping and accounting business, using a step-by-step approach
• Acquire clients quickly and cost-effectively

One course will enable you to accomplish all that and more.  Talk about a powerful resolution!  Take advantage of the New Year and earn valuable certification that will help you advance your accounting practice and increase your bottom line.  Enroll today!

Resource

Girard, Kim.  “The Quick-and-Dirty Guide to Getting Things Done.” BNET Crash Course

Our telemarketers talk with many of your peers, some of whom have been laid off and are looking for work.  As we encourage them to see this time as an opportunity to launch their own accounting practices, they are hesitant, and some flat-out refuse, explaining that they want to find a job before they enroll in our training.

When we call them back in a few months, we find that they’ve run out of savings or unemployment and can no longer afford to enroll; they also haven’t found a job. It’s at this regrettable point that both the potential student and our salesperson realize that had that person acted 3 months earlier, he or she would be in a much better situation now.

Employment Uncertainty: The Perfect Opportunity

The recession has changed the workforce, driving many into self-employment out of necessity rather than choice.  If you’ve ever wanted to start your own practice, it’s important that you do so on your own terms, as the result of strategic planning and foresight.  Waiting for a pink slip to “inspire” your entrepreneurial spirit will launch your startup prematurely and on shaky ground.

If you currently have a full-time job, you can take steps now to plan for self-employment while enjoying the security of a regular paycheck.  If you’ve recently lost your job, don’t lose hope; you can still use this time to increase your skill-set and build a practice as your re-build your career.

Make Small-Business Accounting Your Business

Small business accounting is a valuable niche market.  In fact, over 90% of accounting opportunities can be found in the small business arena.  Universal Accounting Center (UAC) has been training professionals like you in small business accounting for 30 years because they recognize what many do not; most universities and trade programs are teaching students corporate accounting which isn’t preparing them for the typical, real-world accounting experiences they will encounter.

The Professional Bookkeeper Program

Becoming a small-business accountant doesn’t require years of your valuable time.  UAC’s Professional Bookkeeper (PB) Program is not only reputable, but it’s self-paced, enabling a busy professional like you to take your time or complete the program quickly, in less than 60 hours.

And when you take this program you are trained to act as your clients’ Profit Expert.  What is a Profit Expert?  A proactive accountant who realizes that the information he/she generates provides crucial data that can make or break a business.  It’s the accountant’s job to share this data with business owners, explaining it in such a way that they both understand what the information indicates and can use it to make informed business decisions.  The PB Program will train you how to do that.

You will gain the confidence and skill necessary to start and manage nearly every client’s books, and when you have a question, our follow-up program enables you to call and ask one of our seasoned professionals.

This valuable course provides you with access to the following:

• Flexible training you complete on your own time and at your own pace
• Rich and engaging training DVDs you can view again and again
• Hands-on instruction through which you gain much-needed experience
• Training in building and marketing your new practice
• 6 months of valuable follow-up support
• The opportunity to earn professional certification
• Our iron-clad risk-free guarantee

Success Stories

Countless students have benefitted from this training as evidence by the hundreds of testimonials we have received.  Here are just a few:

As an average for each client I am making about $30 – $50 an hour, I’ve been able to quit my full-time job. Thanks again to everyone at Universal Accounting Center! It has created for me a brighter outlook financially, as well as more free time in my personal life. And, I didn’t have to go to college for years and pay thousands of dollars for an education.-S. Thomas

This is the best investment for the money and for my future.-B. Davies

You gave a stay-at-home-mom the knowledge and understanding of accounting needed to go out and get work that can be done from home. -I. Snow

You’ll be glad to know that in the time since I completed the course, I have gone from 1 client, a friend of mine, to 27 clients in a matter of just 8 months. I’m finally realizing the potential that I always knew I had. -V. A. VonTonder

In this down economy, don’t wait until you’ve been unemployed for 3 months before doing what you’ve wanted to do all along: act now and enroll in the Professional Bookkeeper Program.  It’s could be the one Christmas present that you’ll use far into the future.

When managing your own office, it’s important to know that you’ve created a healthy work environment for your employees.  The more satisfied your staff, the better they perform and the longer they stay-both of which contribute to your firm’s success.  But how do you know whether or not your offices are inviting and comfortable?  Personal Life Coach, Ron Prewitt, suggests asking yourself the following questions:

1. Do employees laugh often?

While you don’t want your employees to spend their entire workday sharing jokes and yuking it up, you should remember that laughter is a sign of comfort and indicates that employees are happy.

2. Do employees freely share their ideas?

Often employees have the best ideas for improving a business.  Being allowed to share those ideas helps them feel valued, which in turn increases their job satisfaction.  If you haven’t already, establish an open-door policy encouraging employees to share their ideas regarding your practice.

3. Are your employee values and expectations clear?

Sometimes employees can’t seem to hit the mark because they’re unsure of what or where that mark is.  Consider creating an Employee Handbook that includes a mission statement, company policies, job descriptions and perhaps instructions for common tasks.  This, coupled with regular performance evaluations, will provide employees with the direction they need to be successful.

4. Do you work simply?

When tasks become complicated or even frivolous, you lose employee trust.  Ensure that all the projects you assign are absolutely necessary.  Assess your processes to guarantee that all employees are working together effectively, free of busy work and redundant tasks.

5. Is your organization reasonably orderly and comfortable?

It’s difficult to feel relaxed in a messy or cluttered work environment.  In fact, some may argue that external clutter is a reflection of internal clutter.  Organizing your office and creating a tidy work environment will enable your employees to work undistracted.  Also ensure that the furniture you provide is comfortable and ergonomic.

6. Do your employees have strong connections with others?

It’s important for your business to be actively engaged in the community.  Consider dedicating one day as a volunteer effort that will not only build morale but keep you connected with people from your target market.

Sometimes all it takes to improve a work environment is a more conscious reflection on how your staff interacts.  Take note of where your office might be lacking and make the necessary changes today because often your bottom line is just a reflection of your success as an office manager.

UAC Offers Onsite Employee Training

Offering job training can do wonders for employee satisfaction.  Not only does is it enhance their personal careers, but it increases job performance.  UAC has been training professionals for 30 years in bookkeeping, accounting and tax services.  We know what your clients need; we know what your business needs.  And a knowledgeable, trained staff will do wonders for your bottom line as well as employee morale.  Whether it be business management, accounting, or tax training, we can provide complete, onsite training for your employees.  And regardless of their positions, we can help them understand how their work contributes to your business model.  Learn more by visiting UAC’s website today!

Resource

Prewitt, Ron.  “Signs of a Healthy Work Environment.” Medi-Smart.com

In order to become more familiar with prospective clients and their pressing needs, you must perform market research.  Not only will it inform your marketing efforts, your service offerings, and your search for the right demographic, it will also give you a competitive advantage.

The US Small Business Administration, in their article entitled “Market Research” explains that market research can help you answer the following questions:

• Who are my customers and potential customers?
• What kind of people are they?
• Where do they live?
• Can and will they buy?
• Am I offering the kinds of goods or services they want at the best place, at the best time, and in the right amount?
• Are my prices consistent with what buyers view as the product’s value?
• Are my promotional programs working?
• What do customers think of my business?
• How does my business compare with my competitors?

You can imagine how valuable it would be to have the answers to all of those questions.  Performing effective marketing research can help you do just that.  The SBA goes on to provide seven steps in learning more about your market and gathering the information you need:

Step One: Define Marketing Problems and Opportunities

Most college research classes would tell you it’s pointless to begin gathering information when you haven’t yet drafted a pressing question or issue on which to focus your efforts.  This step enables you to articulate what you’re struggling with, as well as what untapped opportunities may exist for your business.

Step Two:  Set Objectives, Budget, and Timeline

As you can see, it’s all about direction.  What do you want to accomplish, and how much time and money will be spent doing that?  Without parameters like this, your market research could go on indefinitely and never do your business any good.

Step Three: Select Research Types, Methods, and Techniques

Before embarking on your market research, you should determine which type of research your want to perform.  Two basic types exist: primary and secondary.  Primary research is what you gather yourself through conducting surveys, interviews, etc.  Secondary research has already been done and merely requires you to find it; it is also less costly and can be accessed from something as simple as an Internet search or a visit to your local library.

Step Four: Design Research Instruments

If you plan to conduct primary research you need to create the instruments you will use to collect data.  The most common is the questionnaire.  The SBA advises, “Mix the form of the questions.  Use scales, rankings, open-ended questions, and closed-ended questions for different sections of the questionnaire.  The form or way a question is asked may influence the answer given.”

Step Five: Collect Data

At this point, after you have thoughtfully designed your market research strategy and created your research instruments, you are ready to collect the data.  It may be helpful to enlist the help of a professional researcher who can inform you how to implement everything you have prepared.

Step Six: Organize and Analyze the Data

A professional researcher can help you with this step as well.  The SBA explains how to accomplish step six: “Once your data has been collected, it needs to be cleaned.  Cleaning research data involves editing, coding, and tabulating the results.  To make this step easier, start with a simply designed research instrument or questionnaire.”

Step Seven: Present and Use Market Research Findings

Now comes the step you’ve been waiting for.  Begin using the information to improve your marketing efforts.  Also consider revising your current marketing plan accordingly, implementing the data you’ve gathered to create a more effective and profitable strategy.

UAC Provides Customized Business Assessments

While performing market research is extremely valuable to the success of your business, it can be difficult and time-consuming.  Allow Universal Accounting Center to help.

UAC is in the business of seeing small businesses like yours succeed.  And we know one of the ways to accomplish that is to provide you with all the valuable information of a customized business assessment.

Universal’s reports will interpret and explain your industry benchmarks and provide the following customized features:

• Executive Summary highlights strengths
• Industry percentile rankings for 20 major financial ratios
• Interpretation of variances from industry norms
• Bold graphs that show comparisons
• Profit improvement “what if” financial capabilities
• “Discussion Ideas” section that provides a springboard for action

Click here to view a sample business assessment performed by Universal Accounting Center.

Take the first step in gathering crucial information about your business. You owe it to yourself to get a complete financial picture of how your practice compares to others in the industry; in fact, make it an Christmas gift. It’s a tool that will enable you to better navigate through the recession.  Add to the detailed analysis provided in your business analysis an hour of business consulting, and you have an amazingly great value.  Call UAC at 1-(800) 343-4827 for more information about getting your own customized business assessment!

Resource

“Market Research.” US Small Business Administration

10 Questions to Ask before Taking the Plunge

Victor Kiam once said, “Procrastination is opportunity’s assassin.”  If you’ve been procrastinating your startup, it’s time to determine, once and for all, whether or you’re truly interested in the opportunity to build your own accounting practice.  Last week we posed the following five questions to help you gauge just how prepared you are for self-employment:

1. Do you enjoy making decision and taking charge?
2. Are you flexible?
3. Do you have a vision of what your business could become?
4. Are you self-motivated?
5. Do you have the necessary expertise?

This week we pose five more:

6.  Are you passionate about accounting?

If you answer “no” to this question, than go back to the drawing board.  You should be passionate about your business, otherwise you’ll dread the work you do, regardless of how skilled you are.  But if you are passionate about accounting, it will exude from you, attracting more clients who trust your enthusiasm and confidence.

7. It is financially feasible for you to quit your job to start an accounting practice?

This is where you ask yourself if you should continue to work full-time while serving a few clients in your spare time, or if you have enough clients to sustain your home business and quit your day job.  Maybe you’re ready to quit regardless, but do so with a well-padded savings account that can fill in the gaps until your income can support you.

8.  Whose your competition and how can you gain a competitive advantage?

You should do a little market research to see if the area can sustain another accountant.  And what are those other accountants doing that you could improve upon?  This could also be where you get some ideas on marketing.  How are they attracting clients and how could you improve on those methods?

9.  Will your family support your decision?

This is not the type of decision you casually break to your spouse.  “Honey, guess what I did today?”  In order to succeed, you’ll need your family’s support.  Be sure to discuss all the pros and cons together before making any decisions, because in a crunch you just might need to enlist their help in order to succeed.

10.  Will you be happy working for myself?

Ask yourself if you’re truly interested in running a full-time accounting practice.  Will you enjoy managing the business-end of your practice?  Is this something you will enjoy doing every day?  Because if you’re unhappy having your own accounting practice, then nothing else will compensate for your dissatisfaction.  But, on the other hand, if it’s something that will challenge and excite you, then pursue it with gusto.

Asking yourself the right questions can determine whether or not you’re ready to start your own accounting practice.  And just because you’re uncomfortable with some of your answers now doesn’t meant you can’t open your practice later.  It just means that you have a bit more to do in order to prepare for success.

UAC’s Training Can Help

The Professional Bookkeeper (PB) Program is just the course you need to prepare your startup.  For over 25 years we’ve honed our training in small-business accounting, the most lucrative market for contract accountants.  In less than 60 hours you can learn everything you need to know to start your own practice and attend to all your clients’ needs.

When you enroll in the Professional Bookkeeper Program you receive to the following:

• Flexible training you complete on your own schedule
• Rich and engaging training DVDs you can view again and again
• Hands-on instruction and practice sets through which you gain much-needed experience
• Training in building and marketing your new practice
• 6 months of valuable follow-up support
• The opportunity to earn professional certification
• Our iron-clad risk-free guarantee

The time is right to realize your dreams of self-employment.  Take action today and enroll in UAC’s Professional Bookkeeper Program.