For thousands of years before computers were invented, small business owners kept their records using a ‘cashbook’ record.
The cashbook was setup with separate sections for money received and money paid. On the left side there were columns to record the date and the name of the customer or supplier, and to the right there were columns to match the various types of receipts or payments for the business.
When they received money from a customer or a payment was made they would record the details and then simply put the amount into the column that matched the transaction.
With the advent of computers, software developers were able to create software that gave small business owners easy access to the more complex ‘double entry’ accounting methods that large business and accountants used.
The problem is that double entry accounting is quite complex and requires people to be educated in accounting to understand it properly.
The result was that in using these programs, small business owners who thought they were keeping good records, were actually causing more work for their accountants who needed to spend significant amounts of time fixing mistakes before they could complete financial statements and tax returns.
Cashflow Manager was developed by an ex-tax auditor who had seen the problems small business owners get into when they do not keep good records. When he started his own practice he found that recordkeeping was something most small business owners struggle with.
But it’s not your fault. You are expected to use systems that are more complicated that you need or require you to spend many hours in training.
So he wanted a very easy system that would give small business owners the best opportunity to keep good records.
That’s why Cashflow Manager is based on the cashbook method successfully used by small business owners for thousands of years.
So with Cashflow Manager, you simply record money received from your customers in the column that describes what the money was for (e.g. Sales). When you pay someone, you just put the amount in the column for the type of payment (e.g. Telephone, or Purchases, or Stationery etc.) It’s that easy!
If you are registered for VAT, it calculates the VAT and creates your VAT Return that you can even lodge online. And of course the other important ingredient is to make sure your records balance to your bank accounts. Cashflow Manager makes that really easy too with a simple ‘wizard’ to help you.
With all Cashflow Manager products, the primary goal is on developing the simplest small business accounting solutions on the planet. So no matter what product meets your needs, you will find it very easy to use.