Owning a franchise, or having mulit-locations can create some logistical headaches when it comes to franchise bookkeeping. Franchise bookkeeping requires that comprehensive records be kept, the legal ramifications of incomplete records can lead to IRS audits or other unwanted occurrences. Many small business owners try to take on too much and important tasks fall by the wayside, don’t let this happen to you!
Keep it Straight
Owning multiple franchises can also bring about the headache that is caused by varying requirements from each franchisor. The availability of franchise bookkeeping can help to keep all financial records and reporting complete and accurate. Franchise investors also benefit from data and analytics that present their standing as compared to similar opportunities in the same industry and geographic region. Owners must understand how their performance compares to that of their peers, and also how each of their own stores is performing.
Proactive Use of Financial Reporting
Legally, franchisees agree to many financial reporting requirements with which they must stay in compliance. Retaining the services of a knowledgeable and experienced franchise bookkeeping firm can be the difference between useful reporting and a jumble of data. Above all else, financial reports are useful and present relevant data that can be analyzed in a productive manner to help guide future growth. Providing required data to the franchisor is the first step in a comprehensive company-wide financial reporting system.
Owning a franchise is one way to become a business owner while working within the confines of a successful model. Don’t let financial reporting requirements and other analytic requirements overwhelm your staff when there are competent franchise bookkeeping services available. If your franchise-related business is not producing effective financial reporting, both that required by the franchisor and the relevant analytics needed for your own decision making, it might be time to contact professional bookkeeping service like BooXkeeping.
For more information on how you can outsource your franchise bookkeeping needs contact one of our chief financial officers today!