Accounting Tips for Running a Gentlemen’s Club
Most businesses need accounting help from time to time but certain industries face specific challenges that need specific help and tips to keep everything in order. After all, the last thing any business owner wants is an audit from the IRS. Knowing what needs to be accounted for and getting the right help is the first step to making sure your business stays financially viable and doesn’t end up in a tax-related sinkhole that you can’t dig out of.
Accounting is about more than taxes though, the whole point of proper accounting is to make sure your business is as profitable as it can be. In this post, we’re looking at one particular type of business, Gentlemen’s Clubs, and providing accounting tips to help them stay solvent and avoid an audit in the process.
Itemize Basic Expenses and Account For Revenue
Since labor wages and other things don’t work quite the same at a Gentlemen’s Club as they do at other types of businesses, the first step to take is to itemize what expenses you can. These can be things like alcohol, serving equipment, music equipment, lights, chairs, tables, couches, pretty much anything you use to actually do business.
The second part of the equation is tracking your revenue. This can be difficult for a business that deals primarily in cash, but things that are easy to remember are things like cover charges, drink sales, atm fees, and any membership dues or other direct charges. These are usually flat amounts paid to the business, so keeping tabs on these things will have you well on your way to keeping the books straight.
Consider Accounting Software For More Complicated Bookkeeping
If you have lots of hourly workers or just a large number of revenue streams to consider from your business and keeping the books yourself is a problem, then it may be a wiser decision to use accounting software to keep track of everything including labor costs, invoicing, and other transactions.
Hiring talent, paying vendors, purchasing new equipment, and keeping your building in good shape are all expenses that need to be itemized as well, so having a program to help facilitate this process can make running your gentlemen’s establishment much easier and lower the risk of getting your accounting all out of whack to the point where you need professional help.
There are accounting tools and services which are available for small and cash-based businesses.
Get Help From An Accounting Service
That leads us to our last tip: if your accounting is something you can’t seem to get under control or you just want to make sure everything stays well put together, then it might be best to hire a professional who knows how to properly handle the intricate details of accounting for a Gentlemen’s Club.
If it means whether or not your business is ultimately successful, then it is a good option to take.