Setting out on your path as a sole trader can be an exciting adventure. More and more people are going it alone to create a business of their own, challenging themselves to make it work.
One thing people tend not to think about too much as they embark on their new career as a sole trader is the task of keeping accounts. You’re likely to be focused completely on landing that first big client or getting a new product out the door. Keeping track of your income doesn’t seem important when you’ve yet to earn your first penny.
However many sole traders are surprised by how quickly they find themselves sending out lots of invoices and trying to keep track of when they’ve been paid, and who’s paying how much for what.
The early days and months of a sole trader’s business can be some of the most hectic as you take on every job that you can and try to juggle lots of different jobs and get used to working under your own steam.
Prevention is better than cure as they say so preparing for the day when the invoices start rolling out and the money starts rolling in is a good idea. If you are already in the habit of keeping track of your accounts when they start taking up a lot of your time you will be in a much better position. If you get to this stage without a system then you have even less free time to get started.
One of the main factors that dissuades sole traders from purchasing accounting software is what seems like a large cost for a programme with many features they are unlikely to use. Another aspect that puts many sole traders off is the learning curve of adapting to the new system.
Big Red Cloud provide online cloud based accounting software that is ideally suited to use by sole traders.
Unlike traditional accounting software platforms cloud accounting software can be provided as a service. This means that instead of a large upfront cost the service can be accessed for a single low monthly fee.
This means you don’t have to come up with a big upfront cost. This is particularly helpful at a time when sole traders are unlikely to have substantial income never mind substantial capital.
The other main barrier for sole traders is the learning curve. Even very small businesses may be able to employ someone with a financial background to help keep track of their accounts but the self employed business owner has to take care of everything.
Big Red Cloud have designed the functionality of their software to be as much like filling out a traditional ledger book as possible, hence the name, Big Red Book. The interface is clear, easy to read and should be instantly familiar to anyone who has used the ledger book format.
Simple to use, Big Red Cloud provides the ideal accounting software solution for sole traders. There are a number of additional benefits for self employed business owners that come with online accounting software and Big Red Cloud in particular.
Being able to automatically compile and send invoices is a feature you will really appreciate once you start bringing in work. As you gain new clients and your arrangements with existing clients change it can be really tough to keep track of invoices.
Forgetting to send an invoice or forgetting to keep track of whether or not they have been paid can result in a real nightmare. The main problem is you don’t get paid. You then have to waste valuable time sorting through your records trying to find out if you were paid or not. Asking a client to pay an invoice they have already paid is not only embarrassing but also reflects badly on your burgeoning business.
Big Red Cloud can compile invoices automatically when you enter the billing details. It can also be set to automatically send invoices and confirm when they have been paid into your account.
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