Here are some tips to help you get your finance admin back on track.
Let’s be honest – as a small business owner, your admin isn’t always a top priority. You’ve got a pile of receipts that you keep meaning to sort, invoices you haven’t quite got round to chasing, and that nagging feeling that you’re not entirely sure where the money’s gone.
If this sounds familiar, we want to reassure you with two important facts: you’re not alone and more importantly, you’re not beyond help.
It happens to lots of business owners, whether you’re running a team or working on your own. What starts as a small to-do list can quietly snowball into a full-time admin position. Before long – you’re feeling stressed, scrambling for the records to complete your return, and making decisions without a clear picture of your finances. But it doesn’t have to be that way. Here are some simple, practical tips to get things back on track – whether you tackle them yourself or get a little expert help along the way.
Step 1 – Do an “admin audit”
Before you can start fixing anything, you need to know where you actually stand. Gather your bank statements, invoices, receipts, and any outstanding bills into one place and get a clear picture of the current situation. It doesn’t have to be perfect – it just has to be honest.
Struggling to find all the pieces of your financial puzzle? This is a great first task to hand to a VA (Virtual Assistant). Getting that clear starting point is half the battle.
Step 2 – take action by following these simple steps
- Separate your business and personal finances. If you’re still using one bank account for everything, this is the first thing that needs to change. Mixing personal and business money creates confusion, wastes time, and causes a real headache at tax time. Open a dedicated business bank account and use it exclusively. It’s simple and the impact is immediate.
- Set a regular bookkeeping schedule. Admin only feels overwhelming when it’s been left for too long. Set aside a regular slot each week – even if it’s just 30 minutes – to log expenses, review what’s come in, and stay on top of things. Think of it as your “Finance Friday”.
- Track every expense – no matter how small. Every unrecorded expense is money you could be claiming back. Make a habit of capturing receipts as you go – most accounting apps enable you to capture them on your phone in seconds. A simple rule to live by: no receipt, no claim.
- Reconcile your accounts regularly. Reconciling your bank statements against your records – ideally monthly – is how you catch small errors before they become big problems. Without it, your numbers can’t be trusted, and decisions that are made on inaccurate figures can be costly.
- Get your invoicing under control. Late invoices lead to late payments, and late payments will cause cash flow headaches. Raise invoices as soon as the work is completed, set clear payment terms, and follow up on anything overdue – promptly and professionally. Your accounting software can automate regular invoicing, so be sure to take advantage of this feature.
- Use cloud-based accounting software. Platforms such as Xero can take a lot of the hard work out of managing your finances. It can automatically pull in transaction data, track income and expenses, and generate reports. If you’re still using spreadsheets (or worse, a pen and paper), it’s time for an upgrade.
- Review your financial reports monthly. Your profit and loss, balance sheet, and cash flow statement tell the story of your business – but you won’t understand if it’s a triumph or tragedy if you don’t look at them. Set aside a little time each month to check in on your numbers. If you’re struggling to understand the plot, or you’re finding each chapter a little confusing, it’s worth asking for a bookkeeper or accountant to create a little clarity.
- Stay ahead of your tax deadlines. Missing a tax deadline with HMRC is an expensive mistake. Map out key dates for VAT returns, self-assessment, corporation tax – and make sure that your records are in good shape before each one arrives.
If you’re struggling to catch up…
Getting on top of your admin is absolutely achievable but you don’t have to figure it all out on your own. The team at Timewise VA are here to help you to build systems that work, clear the backlog, and keep things running smoothly going forward.
Your accounts are not a lost cause, so stop losing sleep. Asking for a little help can go a long way. Get in touch, we’re here to help.