There are many challenges that can come with having your own business. Ismail Sirdah tells us how to take one stress off our plate. Finances can be a long and stressful part of being a photographer. There are a few tips that he has devised that have helped him over the years. He wants to share them with you here.
Picking an Accounting Service
Convenience can mean a big difference in the industry. Having an accounting service that is online can make matters easier and faster. There are other conveniences as well. One is easy access. You can have access to your financial information no matter where you are. Use your phone or tablet anywhere for the access you need. There also are no extra fees and no software that needs to be downloaded. Also, your information is protected with the latest technology as well.
Maintain a Schedule
Another tip that he tells us is to keep a schedule. Time is money in the photography world. You are constantly busy with one appointment or another. Time is also spent on updates and researching the newest trends in the industry. Make sure to designate some time once a day or week to work on your books. This will make matters easier down the line. You could have bookkeeping once a month, but it could take hours or days to finish. If you keep up with it daily, then it will make matters smoother, easier and faster at the months and years end.
Sending Payments and Invoices
In order to be paid and keep up with a business, you have to receive a revenue. You need to put a manual of sorts in effect when it comes to invoicing. There are many different software options on the internet to create and send invoices. Invoices can be mailed manually or sent electronically. Either way, you need to keep up with it and have a good way of doing it in place. Following a procedure will make it easier and more effective. Many accounting services that are found online offer this ability in a plan as well. You can do everything from the same place which will make things better as well. This is an important step in the business because without invoices you won’t get paid. Without money, there is no business.
Keep Up With the Money
Another important step that Ismail Sirdah points out is to keep track of everything. Make sure to have a tracking procedure in place for the invoices that are sent out. This will make it easier to sort out which invoices have been paid and which ones haven’t. Also, make sure to track your own spending as well. Little things like gas or an extra light will add up fast. Make sure to keep receipts for everything so that it is easier to track what you have spent. This will include things like meals, travel expenses, software fees and anything else to do with the business. Remember that even if you are to be reimbursed by the client you need to record it. You will need a receipt to receive the money from the client. Also, you need to record that you have spent it. Then you can record when it came back in. This way there will be no confusion on what things are when you receive the credit card bills and stuff that come in.
The World of Taxes
Taxes can be confusing and time-consuming. At the end of trying to figure them out, you could be pulling half your hair out. It is important to keep everything up to date including your taxes. Keeping track of your taxes means more than just taxes coming up at years end. Taxes will include many things. This will include personal property tax. This is the tax that has been paid on any vehicles or property that are used for the business. It will also include state sales tax. This can be seen on anything that is purchased for the business as well. This can include little things such as paper and pens to large things like a new computer.
Some states do not require state income tax, but many do. Make sure to do your homework. You need to look taxes up in the county and state where your business is located. It can be completely different from where you live if it isn’t in the same county. Also, remember that some cities have extra city taxes as well.
Owning a business means that you are responsible for many things. Reporting the companies withholding is one of those. You are also required to report it annually as well. Even if there is no income for that tax period, you are required to file taxes regardless. This means that you will put the total as zero.
Finances for your photography business can be tricky. Ismail Sirdah gives a few tips to follow. However, remember to record everything and do your taxes routinely no matter what.