How to Start a Bookkeeping Business – Your Business Plan

If you are about to start a bookkeeping business, a business plan is an essential part of your start up requirements. This might not sound like a news flash, but many people start their own business by accident and they stumble along getting clients slowly or doing the books for their family business.

Although this is a great starting point, but if you want to take your bookkeeping business to the next level and want to create a sustainable long term business, you will need a business plan.

Many people run for cover when your start talking about creating a business plan, but it really is a wonderful tool to make your business grow to the next level. A business plan gives you all the information you need at your finger tips. Your business plan then becomes a reference tool and can help guide you in the choices you make in you business life.

You can pin point what your market is, who you market is and how you will capture your market when you have a business plan. You will be able to understand your own weakness and strengths with a business plan. It will give you a road map of where you are going and how to have a successful bookkeeping business.

There are many things which you can include in a business plan and it doesn’t need to be a 10 page novel. Short statements about what you want to achieve and how you will achieve it is fine. Waffle will not make your business plan any clearer and the age old expression, keep it simple stupid rings true.

What is your business? This is an important question for you to really understand what your business will do. Is it targeted to specific industry? You might have a lot of experience in a certain sector, such as retail or hospitality. If so, capitalise on this and market your expertise to this sector.

Is there a market for the bookkeeping business? This is a very fundamental one, but often not asked. You will need to make sure there actually is a market for a bookkeeping business in there you wish to operate in.

Is the market expanding or contracting? It is a good idea to understand what is going on in the market so you can assess if there is a long term future in the bookkeeping industry. Fortunately, bookkeeping services and the ongoing need for bookkeeping is expanding in Australia, US, UK, Canada and New Zealand.

How are you going to price your bookkeeping service? What will you do which is unique, what is your competitive advantage? Who are your competitors? What are your strengths? What are your weaknesses? How will you overcome your weaknesses and capitalise on your strengths?

These are only examples, you can use these questions as a template and modify it for your purposes and add your own ideas and requirements to it. It is a good starting point. Not only will you be made to think clearly about your bookkeeping operations, it will also assist with making the business become a reality. Additionally, it will make you feel more professional and you never know when your business plan may be needed for something.