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You’ve Been in Business for 3+ Years—But Are Your Books a Mess?

If you’ve been in business for more than three years, you’ve already beat the odds. You’ve built something that works, and you’ve probably even increased your revenue year after year. But here’s the truth that many service-based business owners and nonprofit leaders don’t like to admit: your books are a mess.

You’ve filed taxes every year. You’ve been bringing in more clients. But if you’re still relying on spreadsheets, outdated software, or trying to DIY your books, you’re leaving money—and opportunity—on the table.


Why Your Bookkeeping Matters More Than Ever

As your business grows, the financial side becomes more complex. You’re no longer just tracking a few transactions a week—you’re juggling income from multiple streams, vendor payments, payroll, tax liabilities, and more. Without accurate bookkeeping, you’re flying blind.


✅ When income isn’t categorized properly, you could be overstating your revenue.

✅ If personal expenses are mixed in with business, you can’t measure true profit.

✅ Your financial reports become unreliable, making it impossible to plan for growth.


Bookkeeping is not just about organizing receipts—it’s about understanding the story your numbers are telling. And if the story isn’t clear, it’s time to bring in help.


When It’s Time to Get Professional Bookkeeping Help

Not every business needs a full-time CFO or finance department. But if you meet any of these criteria, you need more than spreadsheets:

  • You’re earning over $100,000 in annual revenue.

  • You’ve been in business for 3+ years and haven’t had a financial review.

  • Your tax preparer asks for reports you can’t pull.

  • You don’t know how much profit you’re actually making.

  • You’ve got multiple bank accounts, merchant processors, or contractors.


A professional bookkeeper will ensure that every transaction is recorded properly, that your accounts are reconciled each month, and that you receive accurate Profit & Loss and Balance Sheet reports to guide your decision-making.


Is It Time to Restructure Your Business?

As you grow, another critical question arises: Is your current business structure still the right fit?


If you’re operating as a sole proprietor or single-member LLC and your net profits consistently exceed $50K to $75K per year, it may be time to consider restructuring to an S Corporation.


✅ Benefits of Restructuring to an S Corporation:

  • Save on self-employment taxes.

  • Separate salary and distributions for better cash flow planning.

  • Establish payroll and reduce audit risk.


✅ When Should You Consider Restructuring?

  • Net profit exceeds $50,000 annually.

  • You’re taking owner draws but not on formal payroll.

  • Your tax bills feel too high, and your tax strategy is unclear.

  • You want to build long-term credibility for loans or investor opportunities.


✅ What’s Involved in Making the Switch?

  • Filing Form 2553 to elect S Corp status.

  • Setting up payroll (through a platform like Gusto or ADP).

  • Reviewing your chart of accounts to match your new structure.

  • Building a formal accountable plan for reimbursements and expenses.


This isn’t just about tax savings—it’s about creating a structure that supports profitability and scale. With accurate books, we can help you decide whether now is the time to take that step.


Bookkeeping for Service-Based Businesses & Nonprofits

If you run a nonprofit, you have an additional layer of compliance: grants, restricted funds, and board accountability. Clean books are essential not just for tax filings, but for donor confidence, audits, and reporting.


For service-based businesses—coaches, consultants, therapists, marketers, tech professionals—your time is your product. When you’re spending that time managing messy books, you’re losing profit.


We specialize in bookkeeping for businesses just like yours:

  • Coaches & Consultants

  • Therapists & Health Providers

  • Marketing & Branding Agencies

  • IT & Cybersecurity Firms

  • Real Estate & Notary Professionals

  • Nonprofit Organizations


What’s Next? Let’s Clean Up the Books and Prepare for Growth

If your books are a mess, or you’ve been unsure how to move to the next financial level, we can help. We don’t just “do the books”—we empower you to understand what your numbers mean.

Let’s clean it up, plan for growth, and get your business on the path to true financial clarity.

If you have any accounting-related questions, call Michelle Wilson at 888-379-1397. To schedule an appointment at your convenience, please find the booking link in the first comment.


 
 
 

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