Planning Weeks 9-10

Set Up Your Accounting System

When I started my first business I barely knew a debit from a credit. Installing QuickBooks and using a bookkeeper saved me financially.

Survival and growth of your company depends not only upon setting appropriately profitable pricing, but it also demands that you collect money owed to you and keep a close eye on expenses you are paying.

This process is greatly accelerated through the use of accounting software.

Our recommended choice is QuickBooks Pro marketed by Intuit.

How To Do It

1.Purchase a copy of QuickBooks Pro Desktop Version.

There are various places to purchase the software. Amazon sells the program for $199 which is usually the best price you find for it.

2. Install the QuickBooks Pro software

How you go about installing the software has do with what version of Operating System you are running on your computer, for example you may be running Windows 10, or if you use an Apple computer it runs its own special system

We recommend that you do a web search for a phrase like this: “How do I install Quickbooks Pro 2021 on _______.”

This should lead you to step by step installation instructions.

3. Create a  word processing document and title it: “Chart of Accounts”.

Your VI Coach will discuss with you during your coaching call for Planning Weeks 8-10

Notes on titling accounts

– When you first start off you will likely need only one or two income accounts. For example, if you are running a consulting company then your revenue account title can be “Consulting Income”.
– Your expense accounts should use the titles you typed into your spreadsheet when you were doing your expense estimation.
– You will probably start with just a couple of asset accounts. The most common ones are:
a. Your business checking account – normally you title this account by using the name of the bank and then the word “checking”.
b. Your equipment. This includes desk phones, office furniture, computer software and computer hardware, etc. The value of all equipment is usually totaled and placed into one account title: “Furnishings & Equipment”.
– Unless you have borrowed money in the name of the business to start your company, the only customary liability account title is for a business credit card. Use the name of the credit card issuer as the account title, such as “Chase”.

Great Online Resources

Click here to find a Certified QuickBooks Provider.