Bookkeeping and Accounting for Craft Supply Stores

There are plenty of specific tax deductions available for your craft supply store. Some examples include deductions on office supplies, rent or mortgage for the place of business, employee expenses, utilities, advertising, and depreciation of equipment. It's important to note that tax deductions can vary depending on the location and size of your business, so it's crucial to consult with a professional accountant or tax expert to understand which deductions are available to you.

Inventory management for a variety of craft supplies can be accurately performed by using advanced software systems which allow for real-time tracking. This helps in efficient organization and monitoring of stock levels, purchases, orders and deliveries. Furthermore, implementing a barcode system can significantly simplify the tracking process.

Pair these technological solutions with systematic physical checks to verify the accuracy of data. This involves regular audits, either in whole or parts of the inventory, to match the physical count with the recorded numbers in the system.

A well-designed categorization and labeling system also ensures organization. Group the supplies based on their type, size, or function and label them accordingly. Storing the items based on their usage frequency can also be a valuable strategy. Over time, this combination of methods promotes efficiency, accuracy, and cost-effectiveness in managing craft supplies inventory.

Bookkeeping for a craft supply store has some distinct differences when compared to other types of retail businesses. For one, inventory management can be more complex with a vast range of items which often require unique inventory tracking methods. Additionally, craft supply stores might have a higher volume of sales during certain seasons, like the holiday season or back to school, requiring a diligent tracking of seasonal trends. This may affect the cash flow management and financial forecasting for the business. Also, craft supply stores might often offer craft classes or workshops, introducing revenue streams additional to just product sales, that needs to be properly accounted for.

Nope! All bookkeeping is completed in-house.

Your bookkeeper will be your main point of contact, but at times you might hear from another member of your team. This is usually when your bookkeeper goes on vacation, is sick, or otherwise unavailable.

We handle the bookkeeping for you but sometimes we’ll need your input, especially at year-end. On average, expect to spend 15 minutes each month answering questions for your bookkeeper, or uploading supporting docs.