BOOKKEEPING TECHNIQUES FOR “MORONS”

Please don’t think I am calling you a “moron” to hurt your feelings in any way. I was a moron when I first started setting up my files. I hated accounting in school and am the type that would much rather add 2+2 on a calculator than in my head — but you have to do it. You have to force yourself to do it NOW — right at the beginning! Many a business has collapsed simply because they lacked organization in their basic accounting business practices. Don’t be one of them!

As a small mail order business you don’t have to really do much in the beginning. Here is how to set up your files from ground zero:

1. Take out a hanging file folder and a label of any kind. (Hanging folders and labels for them can be purchased at K-Mart, Wal-Mart and any office supply store.)
2. Type or hand print “Receipts” on the label and place it on the hanging folder.
3. Now, place 5 MANILA file folders inside the hanging file folder (which you labeled “Receipts”) and label each of the manila file folders with the following headings: 

•  
  •  Advertising
  • Postage
  • Office Supplies
  • Utilities and Rent for the Office
  • Miscellaneous

You now have one large hanging file folder with 5 separate manila file folders inside it. Carefully place your hanging file folder in your metal file cabinet or cardboard banker’s box. (A banker’s box can be purchased at any office supply store also and normally cost around $4.)

Now, wasn’t that easy? Some of you reading this will think that I am attempting to insult your intelligence. This is NOT my intention. This report is broken down in a simple, step-by-step way so everybody can understand it — regardless of their previous knowledge and experience. Remember, some people have never worked in an office their entire life. What seems simple and accepted to some of us, may be something another person would never have known.

Okay, let’s go back to where we were. You now have one master file completed and we’re ready to make another just like it. This time we’ll name the hanging file folder “Income” and label 3 manila folders inside it with the following headings:

1. Completed and Shipped Orders
2. Inquiries and Correspondence
3. Open Orders Still Pending

See how easy? From now on, you simply make another folder as the need arrives and you’re files will always be easy to maintain. (Once you get this concept down pat — you can easily think about getting a computer. A computer organizes its information in the SAME manner. Believe me — this same system works! You’ll be amazed at how many mistakes it will help you prevent.)

Yes — bookkeeping is a very simple process. All you have to do is keep the system going. For instance, every order that I process, I completely finish before moving on to the next order. Example:

1. Mail is received and opened. As each piece is opened it is placed into individual piles. Orders with pre-payment are placed in one pile, information and daily correspondence in another, and so forth.
2. Each order that has been pre-paid for is processed first — with each one being processed individually to completion. (That means it is in an envelope, a label typed out and the completed order is ready to be mailed at the post office.)
3. During the process, the “date,” “amount of check or payment” and “product ordered” is recorded on the outside of the envelope — making sure the customer’s full name, address and telephone number (if available) is on the envelope too.
4. Just before closing up the office for the evening, the envelopes are then keyed into the database on our computer (you can substitute a computer for the hanging files in the beginning.) We record all the information that was written on the envelopes during the processing of the order. (Don’t think you will remember “what” the order was. That thinking will open you up to make human errors.)

As your business grows, your understanding and abilities will grow also. At that time you can grow into a more sophisticated means of keeping the books.

In the meantime — keep good records. They are the lifeblood of any business and can eventually make or break you. You’ll thank yourself in the long run.

If you sell computer programs that you’ve written, shareware programs, or information products on computer disc, there are two little-known ways to make extra sales that most people aren’t using. Use these methods and your sales will increase!

Custom Disc Sleeves

The first way is to use a custom disc sleeve. Disc sleeves are those paper sleeves that the disc is enclosed in. Most are plain white. That’s a waste! You can make your own CUSTOM disc sleeve that can act as an information flyer for the disc it carries, as well as a catalog of your other products. If you have a laser printer, you can even customize these for each individual customer.

Here’s how I do it. Use an 8 1/2 x 11 piece of white paper. On the 8 1/2 inch side, measure four inches from one of the long sides. Do the same on the opposite 8 1/2 inch side. Now fold the long way at this four inch point. Hold the paper so that the 11 inch side is horizontal, and the four inch high side is in the front. Next, measure 2 1/2 inches from each side along the 11 inch side. Fold each side, at the 2 1/2 inch point, to the back. You now have a disc sleeve! You will need to alter these measurements for a CD.

I use my laser printer to print a catalog of my products on the side of the paper that will be the inside of the sleeve. Then, I turn the paper over, and print information about my disc product (a newsletter on disc) on the front side. When folded as above, the front of the sleeve has information about what is on the current issue of the newsletter. Turning the sleeve over, subscription information is printed on the flaps. When you open the flaps, you see display ads on the rest of the front side. I printed a message saying “See inside for free info and special offers!!” in small print on laser printer labels, six times per label, and then cut them into small individual labels. I use these labels to hold the back flaps closed, until the customer opens the sleeve.

By doing this, I make use of what would otherwise be blank space and extra mailing weight. My sleeve weighs only a fraction more than a regular sleeve, so it doesn’t affect postage costs, and it sells products for me! Sure, printing and folding the sleeves takes a little extra time, but its easy work that brings in sales I otherwise wouldn’t have, which makes it worthwhile.

Catalog on Disc

The other way to increase your sales is to include a catalog on the disc itself. This is as easy as typing a letter, and will work with any computer.

With your word processor, type a letter to your customer, telling them that you have some resources that they can benefit from. Then, list your other products and services. Be sure to tell the customer exactly how they will benefit from each particular product/service. Then, when your letter is finished, save it as an “ASCII text file.” Almost all word processors will have this option. An ASCII text file can be loaded into any word processor, or can be displayed by typing “TYPE (file name)” to show it on the screen, or ” TYPE (filename) > PRN” to print it out. Save your letter with a name like README or READTHIS, something that will get your customer’s attention when they look at the directory of the disc.

On your disc sleeve, label, or instructions that you include with the disc, urge the customer to look at your file. Tell them you have important information for them.

Including your product listing this way will add NO weight whatsoever, and will only add the time it takes to create it. A short text file such as this shouldn’t effect how long it takes to copy the disc for the customer.

Summary

When you sell products on disc, you have two easy methods to use to increase your sales potential. Use both, if you want, and you’ll see a marked increase in your sales!

Anyone who doesn’t use coupons when they go grocery shopping is missing out on an easy way to save money. Many stores double coupons, so a 35 cent coupon will actually save 70 cents. On an average shopping trip, people purchase 16 items, so if you were able to save 70 cents each on only half of your purchases that would be $5.60. Multiply that times 52 weeks, and you have over $290! That’s money that you can use for other things, or to save. The only problem is, it seems like the only coupons in your newspaper are the ones for products you don’t buy. There are a few good ways, though, to get all the grocery coupons you can use, on the products you actually buy.First, and easiest, buy groups of coupons at a discount from a coupon service. The biggest and best is called Coupon Connection of America. First, you purchase a booklet of 10 certificates, each worth $15 in coupons, for around $25. You then pick the exact items and brands that you want coupons for from their list of over 1,200 national name brand products. Send in a certificate to the company with your selection list, and they send a total of $15 worth of coupons for the products you selected. If you buy a certificate booklet for $25, you’ll get $150 worth of coupons you can use, for a $125 total profit! If your store doubles coupons, you’ll save $275 ($300 – $25 price of booklet)! CCA has agents across the country. Call them at (800) 989-1819 for the name of the closest one.

Another way to get coupons is to subscribe to a coupon saver’s newsletter. The best one is Refundle Bundle.  It contains lists of coupons and rebates available from manufacturers, as well as a classified area, where you can find people who want to trade coupons they don’t need for ones you don’t need. This can be a great way to get the ones you want. You can find the current subscription price, as well as other coupon newsletters, by looking through the “household” sections in the periodical reference books at your local library.

Finally, you can start your own local coupon club. Advertise in the weekly PennySaver papers in your surrounding area for people interested in saving money. It shouldn’t be hard to find a place to meet. If you have the space, meet at your house or basement. Often, public libraries will have meeting places for clubs and organizations for free or very low cost. At your first club meeting, you can get suggestions from the people attending as to how the club should work. Form a “board of directors” from the people who have the best suggestions. If you have to pay for a meeting place, charge low yearly dues that will cover the expense, as well as any mailing or newsletter expenses. Get a subscription to some of the best coupon saver newsletters in the club’s name, and share the information with other members (but don’t photocopy them and pass them around, that’s illegal). Give members subscription info if they are interested. The bulk of the meeting can be used for coupon trading sessions. Try to discourage coupon or rebate selling, as that can be a touchy subject for a lot of people. Equal value trading can be extremely successful for getting the coupons you want.

Try these suggestions, and you’ll find yourself saving a LOT of money every time you go to the grocery store!