Wednesday, September 14, 2011

Should you use QuickBooks for your Etsy shop or crafts business?

This is a very common question in the crafty and Etsy forums. Should you use QuickBooks for your Etsy shop or crafts business? It depends.

If you are relatively new and don't have a lot of extra funds yet, you can use a simple Excel bookkeeping worksheet.

Your business is growing
If your business is growing and you have excess funds then you should consider using QuickBooks. Keep in mind that just because you use QuickBooks you are not guaranteed that your bookkeeping will be in order. Think of it this way, you don't drive a car if you haven't had driving lessons. When you purchase QuickBooks you may need to pay a QuickBooks expert to set it up for you and to show you how to use it correctly and specifically for your crafts business. You should budget approximately $150 for purchasing QuickBooks and at least $300 for paying the QuickBooks expert for their services.

You replaced your day job with your Etsy or crafts business
If you have been able to replace your day job then you really need to get your bookkeeping in order so that you can manage your business properly and pay your taxes. In this case, you should defintely be using QuickBooks and consider hiring a bookkeeper so you don't have to do it all yourself.

There are of course other software products out there for Etsy shop owners and craftypreneurs, including Outright. Check them out and determine what's best for you. The main thing to remember is that any accounting software that you purchase does not guarantee that you will set it up correctly or use it correctly. Consider the funds that you have available and the size of your business.

For a free article "10 Things You Must Know About Taxes, Bookkeeping, and Business Licenses" and for free Excel worksheets just for Etsy shop owners and creative entrepreneurs visit my website

Stop worrying. Save hours of research online. Check out these Tax, Business, Accounting and Bookkeeping PDF e-book guides written by a CPA and creative entrepreneur just like you. Available for instant download.

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