Here’s how to automate your accounting system with a simple solution

What’s the software you use to manage your small business accounting? Specifically, we are talking about invoicing and collections today.

This may not be the most exciting topic for some of you, but it’s still one of the most important aspects of any business.?

When you are using the right software and automating the process, all you have left to do is to sit back, relax and watch the money hit your bank.?

No forgetting to invoice your clients.

No unnecessary follow-ups.?

No confusion on how the client needs to submit payments (domestic or international).?

It’s beautiful! Say ahhh…?

I’ve been using FreshBooks since 2016, and that was the very beginning of Feisworld LLC. My fellow entrepreneur and friend Jordan Clayton and I used to say that FreshBooks is the best $25 we spend each month.?

Here how I use it:?

The Setup:?

• I create all my clients (name, email, address) as contacts inside FreshBooks and add new ones as needed
• I draft one-off invoices as soon as a project receives a verbal commitment. When the clients are ready to move forward, I immediately send the invoices to them right from FreshBooks??

On the invoice, I make sure to:

• Set clear due dates (Net 5 - that’s right, I get paid within 5 days of the sent invoices; for retainer clients, they always pay at the beginning of each month)?
• Multiple options for payments including domestic and international options - I use Wise, Zelle and Bank of America?

○ It may feel silly at first to include many payment options, but it really does save so much time in the end for you and your clients. If your clients are ever unclear on the best payment option, that's a great discussion to have upfront and not wait until the payments are late or ignored.?

• Automatic reminders after 1 day of late payment (and you can schedule more than one reminder)?

Dashboard and trends? That’s another feature you’ll be greeted with when you start FreshBooks. You will see how your finances are trending in terms of collections, expenses, date payments and more.?

What about taxes? I don’t use FreshBooks for this purpose. Though I saw this feature years ago, this part of FreshBooks just didn’t impress me so I’m sticking with TaxAct (my go-to tax software for half a decade)?

How’s accounting for your business? Is there anything you’ve learned to simplify and make it better? Leave me a comment, I’d love to know.?

Fei