Bookkeeping Practice Business Plan and SWOT Analysis

Bookkeeping Practice Business Plan, Marketing Plan, How To Guide, and Funding Directory

The Bookkeeping Practice Business Plan and Business Development toolkit features 18 different documents that you can use for capital raising or general business planning purposes. Our product line also features comprehensive information regarding to how to start a Bookkeeping Practice business. All business planning packages come with easy-to-use instructions so that you can reduce the time needed to create a professional business plan and presentation.

Your Business Planning Package will be immediately emailed to you after you make your purchase.

Product Specifications (please see images below):

  • Bank/Investor Ready
  • Complete Industry Research for the Industry
  • 3 Year Excel Financial Model
  • Business Plan (26 to 30 pages)
  • Marketing Plan (24 to 28 pages)
  • 425+ Page Funding Directory
  • PowerPoint Presentation
  • Loan Amortization and ROI Tools
  • Three SWOT Analysis Templates
  • How to Start a Business Guide
  • Easy to Use Instructions
  • All Documents Delivered in Word, Excel, and PowerPoint Format
  • Meets SBA Requirements

Bookkeepers an extremely important role in the day-to-day management of any size business. These individuals often act as accountants in that they tally up all revenues, manage invoices, manage expenses, manage bill paying, and perform a number of other administrative functions that are common to bookkeeping. Additionally, many bookkeepers will work closely with the company’s CPA in order to ensure that they have access to important financial records for specific tax filings. As such, bookkeeping businesses are in continued demand among businesses of any size. The startup costs associated with starting a bookkeeping practice is relatively low. Usually, these businesses can be stored for as little as $5,000 all the way up to about $50,000 depending on how many staff bookkeepers will be hired at the onset of operation. In most cases, a bookkeeping practice starts when the owner-operator wants to expand operations beyond providing full charge bookkeeping on their own.

The demand for bookkeeping is not expected to wane in given that more and more small businesses being started each year. In regards to licensure, there is really nothing that prevents anyone from holding themselves out as a bookkeeper. However, some states to require that the individual is considered to be either a CPA or an enrolled agent if they are looking to provide ongoing tax advice to their clients. However, most of these practices operate strictly in a bookkeeping capacity. The gross margin generated from services usually range anywhere from 95% to 100% depending on whether or not the individual accepts credit cards as part of their service offering. The other factor that is usually put into the cost of goods sold is the bad debt expense.

Given the highly predictable and highly recurring streams of revenue generated from bookkeeping services, most banks and lenders will provide a working capital one credit to these institutions in order to get them off the ground. Of course, a bookkeeping practice business plan is going to be required. This document should include a three-year profit and loss statement, cash flow analysis, balance sheet, breakeven analysis, and business ratios page. Special attention should be paid with a business plan to the number of medium and small size businesses operating within the bookkeeping practices target market radius. This includes an examination of estimated revenues, estimated profits, number of employees on staff, and industries that are predominant within the target market. It may also be beneficial to include a small examination of the individuals living within any specific market given that some people to hire bookkeepers to manage their ongoing bill paying. However, most bookkeeping practices only have about 5% to 10% of their customers use these types of services for personal use.

A practice marketing plan should also be developed so that people can easily find business. Foremost, the most bookkeeping practices will operate within a 20 mile radius and distribute flyers, print advertisements, and related sales literature directly to small businesses within this market. This can be accomplished relatively easily as many online services we provide a list of the number of businesses, their addresses, and other pertinent information directly foresee. As such, for a nominal fee these addresses can be acquired and mail can be sent to potential clients.

It is also imperative that he bookkeeping practice maintain an expansive online profile with a proprietary website that shows the key biographies of staff members, pricing information relating to bookkeeping services, hours of operation, and the menu of services offered. Not all bookkeeping practices operate in a full charge capacity, and as such – these businesses need to have a clear list of what is provided to customers. Beyond maintaining a proprietary website, most bookkeeping practices will maintain expansive profiles on platforms such as FaceBook, Twitter, and Google+. A presence on social media is important given that many small business owners will turn to social media communities in order to get a recommendation from a service provider. As such, a FaceBook profile or Google+ profile will ensure that people who are looking for recommendations for bookkeepers can easily find business within the target market area. A social media consultant can be hired to assist the bookkeeping practice with establishing and maintaining a FaceBook or Google+ page.

A bookkeeping practice SWOT analysis should be produced as well. This document outlines the strengths, weaknesses, opportunities, and threats that are common to this industry. As it relates to strengths, most bookkeeping practices are able to remain profitable and cash flow positive in any economic climate given the very strong demand among small and medium-size businesses for outsourced bookkeeping services. The gross margins are considered to be very high barriers to entry are very low. As it relates weaknesses, these businesses to carry a significant amount liability given that they are handling a number of financial transactions and putting together financial letters on behalf of their customer base. As such, a proper liability insurance policy – which can be expensive – needs to be acquired in order to ensure that the business is economically secure. For opportunities, these businesses are able to easily expand by the hiring additional staff bookkeepers that will assist the business and increasing its monthly billings. These businesses may also establish secondary locations if they are located within major metropolitan areas. For threats, this is going to be one of the major issues that phases bookkeeping practices moving forward given that there is a risk of automation. There are now a number of pieces of software as well as online services that allow small businesses and medium-size rations to have their bookkeeping handled very quickly and for a moderate fee. However, these businesses often do not understand the complexities of a smaller business and their procedures and protocols as it relates to accounting. As such, these businesses will often choose to work with someone that will come to your office and complete the bookkeeping on a day-to-day basis.

A bookkeeping business can be a highly lucrative opportunity for someone that is very good with numbers and wants to work with a number of different small businesses. One of the nice things about these businesses is that given that once a bookkeeping practice has a number of different clients, the revenues become very economically stable as they are not working for this one person but rather a number of small employers. As such, if the client goes out of business he bookkeeping practice will still have a substantial number of clients from which to produce revenues and profits. This industry is poised for growth over the next five years as a number of small business continues to increase.