Bookkeeping is a specific component of accounting focused on collecting, organizing, and maintaining financial documents for your company. For new entrepreneurs especially it can be overwhelming to wear so many hats so much of the time. Some things are bound to fall to the wayside, and one of the most commonly overlooked responsibilities is bookkeeping. This article addresses the basics of bookkeeping for small businesses. Let’s take a closer look at some of the best practices you should follow to make bookkeeping a simpler, less overwhelming task every month. 1. What Does Bookkeeping for Small Business Entail? 2. Choosing Your Method of Bookkeeping a. Single-Entry Bookkeeping b. Double-Entry Bookkeeping 3. Accounting Terms You Need to Know It helps to be fluent in the language of bookkeeping and accounting so that you can converse about your finances with on partners, investors, accountants, and so on. Here are some terms you need to know. a. Accounts Receivable b. Accounts Payable c. Chart of Accounts d. Payroll e. FICA f. Reconciliation g. P&L 4. Tips for Smarter Bookkeeping Outside of choosing your bookkeeping method, there are several things you can do to ensure you stay on top of your finances. They include: a. Set aside time for bookkeeping b. Keep your business and personal expenses separate c. Track all of your business expenses d. Use accounting software e. Manage overdue invoices f. Manage your inventory carefully g. Be prepared for big expenses h. Pay attention Want to know more about online bookkeeping services? Then you can stay tuned with us at https://accountsly.com/xero-bookkeeping/