Now that you have what you need to plan your expenses, and figure your burn rate, it’s time to track the actual expenses, of your business. Here’s how you can save a little money by bootstrapping your accounting with Google Sheets.
I would recommend getting started with QuickBooks Online, but if you’re bootstrapping your business, and you need something that doesn’t cost, my next few posts will walk you through how you can use Google Sheets, which is absolutely free, to track everything, until you’re ready to get started with QuickBooks Online.
Think about the information you need to describe about a given transaction. These are your columns:
- Transaction Date
- Paid Date
- Trans Type
- Invoice #
- Check #
- Product / Service List
- Paid From (Account)
- Name Type
- Category Type
There may be more, but don’t worry, we can add them later. If you’re wondering about having the date, and then the month and year in their own columns, this is derived by formula, and gives us better reporting later on, when we want to create reports.
Watch the video, and see how we set this up.
Then in the next segment, we’ll look at how to setup drop down lists for some of the columns. This keeps the data consistent, which makes reporting more reliable.