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Whether you are starting your own business from scratch or whether you are taking up a franchise opportunity, there’s only one thing you need to know (and it’s a sobering pill to swallow). The buck stops with you. From now on, if it isn’t done right, there’s nobody to blame but you. There’s no such thing as 5 PM on a Friday when you are the last line of defence. It’s going to be hard work for those who want to reap the rewards. But the rewards can only be reaped if your finances are in check.
To that end, we’re going to look at your beauty startup and the benefits of invoicing (for invoice templates, check out a company like freshbooks.com)
Why Invoice Your Clients?
Let’s say that your beauty startup involves, for now, selling cosmetics from your home. People place their orders online, either over social media or through your website, and they arrive at your door at a given time to complete the transaction in person. You have a ledger in which you jot down your sales and you don’t worry too much about crossing any other bridges until you come to them. Life is simple. But there are issues. For one thing, your business name isn’t printed anywhere and you don’t look professional. Then there’s your ledger, which can be misplaced and unused for several days at a time over the course of a year, inevitably causing issues between your business and the tax office.
You can make things so much easier for yourself with invoicing software. From day one, invoicing can help you to appear to your customers like you have done your research and you know how to run your business. An invoice that shows details such as your business name, the value of the transaction, the names of the products purchased and the date of purchase is the very thing you need to align your company with the positive and professional traits that people look for in their trusted suppliers of beauty products.
Invoicing isn’t just there to make you look good and to give you a means of presenting your tax details. Invoicing can also be used to resolve payment disputes. A strict invoicing system that accounts for every single transaction (no matter how small) can help you to prevent a situation in which you incur a goodwill financial loss to placate an agitated customer.
What are the Benefits of Invoicing?
New business owners can be forgiven for thinking they can mentally cope with the loose ends that arise with business accounting. For a week or two, you may think that your pencil and paper approach to all things monetary is a satisfactory way to track your fiscal forays.
But things will soon start to develop in ways you can’t foresee, and you’ll wish you kept a regimented history of your business transactions.
Benefits of Invoicing include:
- Useful for tax details
- Your bookkeeping is kept in a regular and readable format
- Debts can be easily tracked and totalled
- Each customer has a uniform & running account of their purchases
Without an invoicing system, your business life can be tricky. Don’t delay. Invest in invoicing software now.