thenewdude Posted January 9, 2014 Share Posted January 9, 2014 Team, I have over 60 charity units placed and more to go...I am about to begin my snack box operation at some of my exhisiting bulk locations, I am adding 2 soda vending machines to the route this year and also distrubute donation boxes to squeeze out a little extra. I am hustling and coping new spots daily... I no longer use any of my own money in the business. I still have not receive ROI due to continuing to build and build. Everytime I get a new location I must buy new product before sending it to war. Which never allows me to see progress and I am constantly spending. Now I use money from monthly income to purchase and expand my operation. PROBLEM: I SUCK AT RECORDING KEEPING!!! PLEASE HELP ME UNDERSTAND THIS. How do I know what is mine and what belongs to the business. Do I give the charity after NET? Some of ya'll have been doing this longer than I have been alive. I would love for you to open your books and show me how a Jedi Master does it! HELP: Is there anyone out there that can teach me the easiest most basic way to record keeping? I seen downloaded attachments to help with routes but I really am awful at math at do not understand. I am pounding myself with youtube videos on accounts and it just doesnt click! Do I keep building until all my (another 60) machines are located then start reaping what I have sown? I am at such a stand still because I do not know what I am doing. My wife goes crazy because there is all this work and no funds at the end of it. I am losing control fast! Has anyone been here? What should be the goals of my business? Get back my ROI then continue to keep growing or just keep growing until I die? If there is any other information you need on my end please ask. ANY ADVISE IT MUCH APPRECIATED...Thanks, "Gum-Ball Joe" Link to comment Share on other sites More sharing options...
Rick Posted January 9, 2014 Share Posted January 9, 2014 First off put down the Red Bull. You're asking several questions and trying to solve multiple problems at once here. Let's take a quick inventory - you're no longer using any of your own money so we've established that you're making money - that's good. Have you established a business entity? Sole Proprietorship or LLC? If so, your next step is to get a business checking account at your bank. That will go a long way toward solving "what's mine and what's the businesses" question. You should be depositing all sales and purchasing all product with this account. Keep ALL business activity in this account. That way at the end of year there's only one place you and your accountant need to go for answers. Can I ask what's wrong with just stopping and not expanding for awhile? A few conversations with a good, experienced CPA will help get you on the right track. Link to comment Share on other sites More sharing options...
Makes Cents Posted January 9, 2014 Share Posted January 9, 2014 I use the 'Profit and Loss Tracking' spreedsheet on my computer. This spreedsheet is free from the download section. It works well and shows all income and expenses monthly and YTD. I also use a simple split sheet form which I designed and have in my car on clip board that I write all income or expenses for the month. Its perfect if your lazy like me and real easy to use. At the end of the week I type in the info onto the 'Profit and Loss Tracking' spreedsheet on my computer. I uploaded the form to the free download section, its called 'simple pl form'. As to increasing your net its real simple, slow your growth. Everytime you get a new location you have machine cost, product cost, transportation cost, maybe locator cost. All of that is eating away from your income. Link to comment Share on other sites More sharing options...
sherlock Posted January 9, 2014 Share Posted January 9, 2014 A few conversations with a good, experienced CPA will help get you on the right track. This advice from Rick is all you need to know. Proper bookkeeping will only become more difficult, and more important, as your business grows. Play to your strengths or you will fail in any endeavor. If math isn't one of your strengths, hire a pro. Link to comment Share on other sites More sharing options...
thenewdude Posted January 10, 2014 Author Share Posted January 10, 2014 First off put down the Red Bull. You're asking several questions and trying to solve multiple problems at once here. Let's take a quick inventory - you're no longer using any of your own money so we've established that you're making money - that's good. Have you established a business entity? Sole Proprietorship or LLC? If so, your next step is to get a business checking account at your bank. That will go a long way toward solving "what's mine and what's the businesses" question. You should be depositing all sales and purchasing all product with this account. Keep ALL business activity in this account. That way at the end of year there's only one place you and your accountant need to go for answers. Can I ask what's wrong with just stopping and not expanding for awhile? A few conversations with a good, experienced CPA will help get you on the right track. Your right, my fustrations are eating my brain away. I think now that it is the New Year and I have a better grasp on what needs to be purchased etc I am begining to see more clear. I kinda figured it out because its the new year. Am I right?: Any machines that need refill right now I will purchase what is necessary and refill. I will subtract the candy purchase, charity, supplies etc and what I am left with is my net for the month. I do not know why this was such a hard concept to grasp. I hope this clicks for someone else in the same boat as me. I think I was just recklessly buying to put machines out. As of yesterday I have estbablished my LLC. My uncle is a bookkeeper. They also try to explain these things to me but I wasnt seeing it until I looked at the Profit and Loss spread sheet. THANK YOU! THANK YOU! THANK YOU for that! As far as slowing down my growth, I want to be sure I do not loose the spot. So while the "YES" is fresh I like to make it happen. I guess I get excited and have "turf ego" lol. I love you guys, I love this forum and I love the VENDOR BREED. We are an awesome type of persons! I use the 'Profit and Loss Tracking' spreedsheet on my computer. This spreedsheet is free from the download section. It works well and shows all income and expenses monthly and YTD. I also use a simple split sheet form which I designed and have in my car on clip board that I write all income or expenses for the month. Its perfect if your lazy like me and real easy to use. At the end of the week I type in the info onto the 'Profit and Loss Tracking' spreedsheet on my computer. I uploaded the form to the free download section, its called 'simple pl form'. As to increasing your net its real simple, slow your growth. Everytime you get a new location you have machine cost, product cost, transportation cost, maybe locator cost. All of that is eating away from your income. Yes sir, you are right on the money! That spread sheet is awesome. My biggest change needed is to keep better track of my receipts etc. I am going to slow down after I place 10 or more that have given me the Ok. This advice from Rick is all you need to know. Proper bookkeeping will only become more difficult, and more important, as your business grows. Play to your strengths or you will fail in any endeavor. If math isn't one of your strengths, hire a pro. I agree! But I am determined to learn this side of the business. I can only imagine how much sharper my brain will become. CEO in training. Link to comment Share on other sites More sharing options...
sherlock Posted January 10, 2014 Share Posted January 10, 2014 I agree! But I am determined to learn this side of the business. I can only imagine how much sharper my brain will become. CEO in training. Even CEO's aren't up-to-speed on the intricacies of finance. Nor should they be. There is a reason companies have CFO's. Link to comment Share on other sites More sharing options...
casey259 Posted January 10, 2014 Share Posted January 10, 2014 I agree! But I am determined to learn this side of the business. I can only imagine how much sharper my brain will become. CEO in training. I work in corporate finance as a full time gig and this is right on the money. Numerous times I've been in meetings with the owner of our firm and have gone over several things relating on how certain things will impact the bottom line and numerous times you get the glazed look and on the verge of blood running out of their eyes. On a side note relating to bookkeeping. We all use different ways to account for everything. I use Wave. It's free and can link to your bank account so all transactions are accounted for, times and dates are loaded in automatically, and reports (inventory, P&L, etc.) are all automatically updated. For me at least at this point in the very small business I have it makes sense and it's easy. Link to comment Share on other sites More sharing options...
GagesVending Posted January 10, 2014 Share Posted January 10, 2014 Get a separate bank account (savings and checking) for your business. Use the debit card to purchase product and supplies. I think the main thing you need to do for yourself is set a goal. Maybe it's place 5 machines each month. Figure out how much it costs you to start up with those 5 machines (let's say $100) each month and set that amount aside for filling new machines. Link to comment Share on other sites More sharing options...
Recommended Posts
Archived
This topic is now archived and is closed to further replies.