InvoiceSherpa Blog
Posted on January 11, 2021

Crucial Checklists You Need to Help You Handle Your Small Business Accounting

Small business accounting is no walk in the park. 


Especially when you’ve got a million other things to worry about when it comes to your business. There are many things to keep an eye on and many actions to take on a daily, weekly, and monthly basis. 


By giving yourself a checklist, you can ensure you don’t get overwhelmed, but also that you don’t miss a crucial step or make a big mistake. As we like to say at InvoiceSherpa, “plan the work, then work the plan” is a foolproof way to guarantee you’ll produce consistent, impactful and profitable - work every time.


To help you stay organized, we’ve created all the small business accounting checklists you need. Use these checklists every day, week, and month in order to stay on track and give yourself some peace of mind.


The Daily Small Business Accounting Checklist

Doing accounting on a daily basis may seem like a lot, but the truth is that upkeep is key. 


By completing a handful of accounting tasks each day, you can save yourself a lot of time in the long run. Here’s our checklist of everything you should do for your small business’ accounting every single day, and why:

  • Record inventory: Review your inventory status daily to clear out products and ensure that you order new ones in time.
  • Send out invoices: Sending out invoices promptly can help you get paid faster and avoid a huge pile of invoices that need to be sent by the end of the week or month.
  • Reconcile cash: Understanding the position of your cash flow is the most important daily task to conduct.


The Weekly Small Business Accounting Checklist

Make every week an amazing week by ironing out what the week’s most valuable activities should be at that point in time.


While these aren’t tasks that need to be done or checked every day, they are important to keep tabs on each week. Here’s everything you should do for your small business’ accounting every week, and why:

    • Record your transactions: Depending on how many transactions your business has, you will need to record your transactions either daily or weekly. This includes recording every transaction either manually or using your accounting software.
  • File documents and receipts: Ensure that your files are organized on a weekly basis. If you use accounting software, you may need to scan and upload receipts.
  • Pay your suppliers: Take a look at accounts payable and ensure that all your vendors are paid on time.


The Monthly Small Business Accounting Checklist

Your monthly accounting checklist is one of the most important, because it encompasses your month-end closing procedures


At the end of each month, it is standard to go over and reconcile all of your transactions from the month, ensuring that everything is accounted for. 


This process allows you to stay organized in increments, and it also allows you to create financial statements and get a good idea of your business’ financial position. 


Monthly accounting processes allow you to make decisions about your business, so it’s crucial not to overlook them.

  • Balance your books: Ensure that your books are balanced at the end of each month and that each transaction is accurate.
  • Review any receivables that are past due: Take a look to see if you have any outstanding payments from customers. This is a good time to send out invoice reminders.
  • Process payroll: Ensure that your payroll is processed on the right schedule and that you consider your payroll tax requirements.
  • Review your profit and loss statement: Take a look at your monthly and year to date profit and loss statement. Now is a good time to compare your projections with your actual numbers and get an idea of your financial statement.


Organization is the key to small business accounting, and running your business as a whole. An organization is organization!


Using a checklist, or several, can ensure that you don’t miss small tasks that can pile up and cause a big issue. 


Be sure to modify these checklists to your exact needs- every business is different. And don’t forget to check off invoice automation from your list. 


Try InvoiceSherpa free for 14 days and see just how much time you can save by automating your accounts receivable.