I'm officially a sole proprietor, but NEED HELP!

[allyandb]

I'm so excited because my business name was approved and I am now a sole proprietor! My shop is finally taking off and it's wonderful because I'm a stay at home mom and we need the income! However, I am so incredibly unorganized since I have such little time to work on etsy stuff with a two year old and a 5 month old.

But since I'm not tracking inventory or keeping up with bookkeeping, I have no clue how much I'm making and/or spending! I have GoDaddy bookeeping set up, but I've been bad about keeping up with putting my expenses in. I've also been selling a lot more clothing items, so now I'm starting to order bulk supplies, but I have no idea how to keep inventory or what a good method would be! I'm so overwhelmed! I have no business experience - my background is in early childhood speical education, however, I love, love, love selling my designs so I desperately want this to work! I feel like I need a "small businness for dummies" book! I'm sure they have that - I should check the library!

But seriously, has anyone else gotten to this point where they are making regular sales but then had to figure out all the technical aspects of running a business? What did you do to handle it?

Any advice is appreciated!

So far I have created a business email account and linked it to etsy, paypal, godaddy bookkeeping, and all my suppliers. Now that I have my DBA name, I am going to open up a business account and link it to etsy and paypal so my money can go there and can be separate from my personal account. Then I figure I will save 28-30% for taxes and pay myself monthly or bi-monthly with the leftovers. I was also going to open a business credit card and use that for all my supplies - is this a good idea? But then how do I pay it? Do I use the money in my business account before or after taxes? These are the things I am clueless about!

Thank you thank you thank you!!!

[allyandb]

Anyone? :-) thanks!

[PrairiePrimitives]

See if you can find a SCORE chapter in your area. This is part of the SBA and is staffed mostly by retirees who have owned their own businesses. Their programs are free!

[Former_Member]

I think you're going to just learn it as you go! In fact, sounds like you already have. Yes, open up a business bank account and do all your business transactions from there. You can then pay yourself from that account as well. And, yes, watch your balance so that you've enough to pay your taxes. Link PayPal and your bank account to your bookkeeping software and use your bank account or PayPal for all your expenses so they can be easily tracked. Focus on doing what you do best and have been doing, then research the answers to your questions when you have a few extra minutes, because we all know nothing is more important than spending your time being a mom. Congratulations.

[allyandb]

Thanks you guys!!

I guess I'll get it down one day!!

[AdlerandLennon]

Congrats on your success! I'm in a similar situation and I've just been learning as I go. For tracking inventory I created a couple of simple spreadsheets, as well as one for tracking cash flow. These are helping me have an idea of what I'm doing. Make sure you keep all your receipts for expenses! That'll save you a bit on taxes when the time comes. Don't want to pay any more of those than necessary. :) I pay myself 30% of my sales but it's not exactly income; more like debt repayment for all I spent at the beginning.

Your items are really great and your shop looks awesome! Good luck!

[allyandb]

Thanks Tiffany! Your shop looks great, too! And yes - definitley debt repayment still at this point since I started selling my clothing line! I can't wait until my supplies and inventory are stocked (working on it now) and then I won't feel like all I do is spend my revenue on supplies!