On Thu, 26 Jan 2006 11:13:22 -0600, Swingman wrote:

"Brian Mahaney" wrote in message
Hello,

I am looking for a book that would cover accounting/bookkeeping for a very
small manufacturing business. For example, I build custom furniture. I
don't keep any materials in stock. I buy only what I need when I need it.
I have two books: one is fine for a small retail business, the other is
from a class I took back in the late '80's, and it's fine if you are
say...WMH Toolgroup (I don't remember much from that class). I have been
building custom furniture for the last year and have been tracking my
finances with Quickbooks Simple Start. It doesn't seem adequate, and I'm
not sure I'm even using it properly. Specifically, it would be nice to
have info on properly setting up my chart of accounts. I know that
visiting an accountant would be smart at some point (perhaps that point is
now), but I am on a very tight budget and was hoping to delay a little
longer. Any suggestions would be greatly appreciated.

Any accounting advice you get here will be worth what you paid for it. A
visit to an accountant appears to be in order, if for no other reason than
to have them steer you in the right direction.

That said, with no employees, no inventory and operating on a cash basis,
you may find that just about any software that will let you categorize your
income and expenditures for a Schedule C , plus good tax software at the end
of the year that will do things like depreciation on items that you can't
outright expense, auto mileage, etc. can be made to work in your scenario.

Some accountants may tell you otherwise, but I run two businesses using
QuickBooks, with accountant participation; and two using Quicken, with no
accountant participation, and have for years.

Basically, you have to find your comfort level for your particular
situation, but do talk to an accountant to get you started in the right
direction.

This is good advice. I seek out professional help in any situation I'm
not familiar with. I listen and then do what I'm most comfortable with.
In the case of accounting, my wife is a CPA so she does all my work.
However, she has lots of clients in your situation. Some have her do
monthly book keeping and end of year taxes; some have her do quarterly
statements (for the banks) and end of year taxes; for some she just
consults and helps them over rough spots, they do all the work. A good
CPA should be comfortable with any of these arrangements. I'd suggest you
consult a CPA for advice. Pick a smaller firm or a sole practitioner
with at least ten years experience and a modest office. In most cases
such firms have a more personalized service. This of course has been
my experience YMMV.

DGA