How to Implement an Accounting System

There are many important aspects to running a successful business.  However, none is more important than effectively managing your finances.  Implementing an easy to use accounting system is a great way to help track and control your company's income and expenditures.

1. Gather your purchase receipts.  This will help you determine what products your customers routinely purchase from your company.  This is invaluable information as it helps to determine your company's most successful products and biggest source of income.  Set up an organizational system for your purchase receipts, whether it is a paper record or you decide to scan the receipts and organize using a computer system.


2. Create a list of customers and a list of creditors.  These two lists will help you determine who owes money to you, and who you owe money to.  It is important to pay your creditors on time so that you keep a favorable credit rating and business relationship with them.  It is also important that you keep track of your customer's payments to you, as this is an important source of your company's income.


3. Select the accounting system that you are going to use.  There are numerous systems available on the market, such as QuickBooks, Quicken and PeachTree.  These are three business-level accounting systems that will help you track your income and expenditures, recurring payments and payments that customers make to you.  These are very user-friendly systems.  Many offer online training and course information to help you implement and use the systems with ease.


4. Print regular accounting reports.  Once you have determined which accounting system you are going to use, print and review regular financial reports.  This will help you determine your profits and losses and keep your business running smoothly.  Organize these reports so that you have an up-to-date financial record that you can review at any time.