Bookkeeping is probably the one area where most business owners struggle; yet, it is actually quite straightforward. Unlike marketing, human resources and other areas of management which are dynamic and require a degree of subjective decision-making, bookkeeping is a relatively simple process which follows strict guidelines and rules. If you are a business owner, one way you can save on expenses and become more intimate with your business is by doing all, or some of your bookkeeping yourself. At first, bookkeeping can be challenging, even if you took business courses in college. The solution is to find resources that are stripped of unnecessary material and focus on getting the basics right. Today we are sharing our selection of the best bookkeeping books for small businesses so you can get to grips with bookkeeping as soon as possible.
Why Bookkeeping Books Trump Online Courses
You might not be convinced that using a bookkeeping book is the best option for you, and yes, there are other alternatives, like signing up for a short online or classroom course, watching videos, following a bookkeeping blog, etc. Reading might take up a bit of your time, but good bookkeeping books have several advantages over other channels of learning.
#1. Books are great wealth of knowledge
When you buy a bookkeeping book, what you really get is a transferable store of knowledge you can carry with you. You could take a course online or even locally, but you may not be able to refer to that information as easily as you can refer to a book. An offline course will ultimately depend on your notes and online courses are not as easy to navigate as a bookmarked section in a text. An additional benefit of buying a bookkeeping book is that you can easily pass it on to your staff if you want them to learn or improve their bookkeeping skills.
#2. Most books are relatively cheap
A solid bookkeeping book may cost a fraction of a bookkeeping course, and can offer more information and more detailed examples and illustrations. If you would rather not pay full price, you also have the option of buying used books which will drive the cost down further.
#3. You can easily focus on specific information
With books, it is easy to focus on the particular bit of information that you need. Find the table of contents, find the chapter or section you are looking for, and flip through to the corresponding page.
With videos, it is usually a bit more challenging to identify the specific points where the material you need can be found.
The Five Best Bookkeeping Books for Small Businesses
Learning, in general, is a challenging process, and it can be even more daunting with a technical subject like bookkeeping. A good bookkeeping book will simplify the process of learning and make it easier for you to understand seemingly complex ideas while providing the crucial information that you need.
If you are looking for a great bookkeeping book that will show you the ropes in terms you can understand and apply, these are the top five we recommend:
#1. Alpha Teach Yourself Bookkeeping in 24 Hours by Carol Costa
You will not actually learn everything about bookkeeping in 24 hours when you read this book, but it does cover the fundamentals of bookkeeping in a way that is relatively simple to read and understand.
Fast learners will like this book, since it is information-dense and logically arranged, allowing readers to get started with the basics in no time.
#2. Keeping the Books: Basic Recordkeeping and Accounting for the Small Business by Linda Pinson
As the name implies, this book was written to provide solutions specifically for small business owners like you. If you are running a small business and you just need to know enough about bookkeeping to not mess your accounts up, you will find this book tailor-made for you.
#3. Bookkeeping All in One for Dummies from Consumer Dummies
Considered one of the best bookkeeping books for small businesses, this book covers simplified explanations of the bookkeeping process, using plain, non-technical language that will not put off readers without an accounting background.
In under 600 pages, this book will take you through everything from day-to-day bookkeeping to preparing financial reports and year-end accounting protocols, offering great insight for people who are new to accounting.
#4. Accounting for Small Business Owners from Tycho PRess
This book promises to show you how to:
- Set up and run your business
- Manage and sell your product or service
- Perform a month-end balancing of accounts
It provides definitions of basic accounting terms, along with lots of practical examples which will help you get started in setting up and running your own accounts.
#5. Frank Wood & Sheila Robinson’s Bookkeeping and Accounts 8th Edition
Frank Wood & Sheila Robinson are names that are revered in the world of bookkeeping and accounting texts. This college-level textbook provides clear definitions along with demonstrated examples, making it ideal both for students and small business owners.
While there are many good accounting and bookkeeping books for starters, the ones we have highlighted in this list are among the very best bookkeeping keeps for small business owners who want to give bookkeeping a shot.
If you would like to shop around for more accounting and bookkeeping books, look for books with the attributes below.
Simple explanations
As a beginner, you do not need to learn advanced accounting concepts and methods that are used by professionals working on large-scale projects. The best bookkeeping books for small businesses are simple, stripped of all unnecessary jargon and presented in a way that is easy to understand.
Current and Updated Material
The field of accounting, and bookkeeping in general, is continually updated with new regulations, improvements and information. Since you are going to be doing your books soon, you need to learn from a resource that is up to date and current. It is always recommended to check the edition of any text you are buying, as well as the year of publication.
Written by an Expert
Nowadays, almost anyone can write a book (particularly eBooks) and be an “expert.” Authors who hold positions in reputable universities can be relied upon to be more thorough and reader-friendly in their writing.
Relevant content
There are several different areas of accounting and bookkeeping, some of which may not be relevant for you depending on the nature of your business. As a small business owner, you will generally need guidance in these areas:
- Cash vs. accrual accounting
- Books of prime entry
- Single vs. double entry bookkeeping
- Reconciliation
- Reading and creating financial statements
Practice questions and examples
Bookkeeping is a very practical subject, and the best way to learn and understand the important concepts and principles of bookkeeping is by constant applied practice. Look for a book that includes many examples and problems for you to solve, similar to these best bookkeeping books for small business.
Bookkeeping is a business process that follows set conventions and rules. If you learn these rules with practice, you can start doing your own bookkeeping in no time. Even if you end up hiring a professional bookkeeper down the road, it makes sense for you as a business owner to at least understand how these processes work and contribute to a properly managed business. These are the best bookkeeping books for small business can help you grow your business accounting skills.