Simple Book-keeping

2. Sales

You need a simple routine procedure to keep track of your sales.

2.1 Every time you make a sale, issue an invoice.

• Give every invoice an original number (1, 2, 3 and so on) and keep a copy of each.
• File the copy invoices in Sales Unpaid. Put the most recent invoice on top. The invoices will automatically be in date order.

2.2 When an invoice is paid, pay the customer's cheque into your account, using the paying-in book provided by the bank.

• On the stub of the paying-in slip write the date, invoice number(s) and amount(s).
• Take the invoice from the Sales Unpaid file. Write 'paid' plus the date in the top right-hand corner.
• File the invoice in Sales Paid. Put the most recently paid invoice on the top. The invoices will automatically be in the order they were paid.

2.3 Once a week, update your Cash Book or software package.

• Look through your paying-in book stubs. Enter into the Cash Book details of all the invoices paid.
• Check the Cash Book entries against the invoices in the Sales Paid file. Put a tick against the invoice number on the invoice to show that the invoice details have been entered into your Cash Book.

2.4 Once a week check through your unpaid invoices and chase any that are falling due.