Mixing personal and business expenses is a common pitfall for small business owners. Open separate bank accounts and credit cards for your business to maintain clarity in your financial records. This separation simplifies the reconciliation process and ensures that your business’s financial health is accurately represented.
Implement a receipt management system: Keeping track of receipts is an integral part of bookkeeping. Leverage technology by using receipt scanning apps or simply taking photos of receipts and storing them digitally – it not only reduces clutter but also makes it easier to retrieve and match receipts with transactions during audits or tax filing.