Accounting for a Sole Proprietorship.

The accounting for a sole proprietorship does not require a separate set of accounting records.  The law says that the owner and the business are one in the same.  That may be true, however you should maintain records for business activities, in order to judge whether these operations are generating any type of profit.

As you might expect, a sole proprietorship tends to generate smaller amounts of revenue and, logically, experience lower expenses as well.  Therefore, it can make sense to start off with the most minimal accounting record based on cash flows that go into and out of your bank account.  Just maintain separate cash receipts and journals.

A Sole Proprietorship can be very profitable without the encumbrances of a corporation or partnership.  I would like to help you with your company structure.  My name is Michael Mathews a well-known Las Vegas CPA and accountant.  Summertime is a great time to sit down at my office located at 2620 Regatta Dr. Suite 102.  Give me a call at (702) 240-5237.