Guides · 6 min read
How to keep simple business records in 10 minutes a day
The short answer
Keep one book only for the business. Write every sale, every expense and every credit the moment it happens, and at closing count your money to check that it matches the book. That is the whole system, and the steps below show you how to set it up today.
Step 1Get one book that is only for the business
Any exercise book works. Write your business name on the cover, and use it for nothing else: no shopping lists, no church notes, no phone numbers of friends. When the book only holds the business, you can trust what is in it.
Step 2Draw four columns on each page
At the top of a page, write the date. Then draw four columns: What happened, In (money that came in), Out (money you spent) and Owes (what a customer still owes you). Every line you write goes under one of them. A page looks like this:
| What happened | In | Out | Owes |
|---|---|---|---|
| Opening cash | ₦15,000 | ||
| Sold 2 cartons Indomie | ₦19,000 | ||
| Transport | ₦1,500 | ||
| Mrs Ade, 1 bag sugar | ₦6,500 |
Step 3Write each sale when it happens, not at night
Memory forgets small sales, and small sales add up. Write the line as soon as the customer leaves. If the shop is too busy, keep a tally: make a mark on a piece of paper for every sale of your common items, then write the total line for each item at your next quiet moment.
Step 4Write every expense, even ₦200
Transport, nylon bags, airtime, data, light, the boy who helped you carry load, the levy collector: write them all under Out. Small expenses are where money quietly disappears, and you cannot see a leak you never wrote down.
Step 5Give every credit customer a line with a date
When someone takes goods without paying in full, write their name, their phone number, what they took, how much they still owe, and the day they promised to pay. When they pay part, write the payment under their name and the new balance. This one habit stops most money from being forgotten.
Step 6Close the day in 10 minutes
Before you leave, add up the In column and the Out column. Then work out what you should have: opening cash, plus money in, minus money out. Count what is really in your hand, and check your transfers in your bank app. Write the counted amount and any difference. A small difference usually means a sale or an expense you did not write, so think back over the day while it is fresh.
Step 7Add up the week every Saturday
On a fresh page, write the total sales and total spending of each day of the week, and add them. In five minutes you know your week, and after a month you can compare one week with another. That is how you start to see which days and which goods carry your business.
An example: closing the day at a provisions shop
Bisi opened her shop with ₦15,000 in cash. Here is her day, from her book:
- Opening cash₦15,000
- Sales today+ ₦42,500
- Restocked milk− ₦7,500
- Transport− ₦1,500
- Nylon bags− ₦800
She should have₦47,700
She counted ₦46,700 in cash and transfers, so she was ₦1,000 short. Thinking back, she remembered a customer who took a packet of biscuits for ₦1,000 and said he would pay tomorrow. She had written it as a sale, so she moved it to the Owes column under his name, and her book matched again.
Or let Clara do it
Clara can do all of this for you
Instead of writing, adding and checking every day, just tell Clara what happened. She writes it in your book, adds it up and shows you your day.
Sold 2 cartons of Indomie 19k. Transport 1,500. Mrs Ade took sugar 6,500, she will pay Friday
ClaraI'll save a sale of ₦19,000, ₦1,500 for transport, and ₦6,500 Mrs Ade owes you, due Friday. Save?
Free while Clara is in private beta. Works on any phone, even offline.
Mistakes to avoid
- Writing from memory at night. You will forget the small things, and they add up to real money.
- Mixing personal money with business money. If you take ₦2,000 for food, write it as money out, "taken for myself".
- Not writing credit. A debt that is not written is a debt that will not be paid.
- Keeping records on loose paper. Pages get lost; one book keeps the whole history.
Do this today
Buy one exercise book on your way to work, draw the four columns, write your opening cash, and do your first 10-minute close this evening.
Questions owners ask
Do I need to know accounting to keep business records?
No. If you can write what happened and add it up, you can keep records. Four columns (what happened, money in, money out, what customers owe) are enough for most small businesses.
What if I sell too many small items to write each one?
Keep a tally for your common items and write one line per item when it is quiet, such as "Sachet water, 40 bags, ₦4,000". What matters is that every naira that comes in is written somewhere before you close.
Should I keep records in a book or on my phone?
Either works, as long as you use one place every day. A phone is easier to add up and harder to lose, while a book needs no battery or data. Choose the one you will really use.
Or let Clara do it
Clara can do all of this for you
Instead of writing, adding and checking every day, just tell Clara what happened. She writes it in your book, adds it up and shows you your day.
Sold 2 cartons of Indomie 19k. Transport 1,500. Mrs Ade took sugar 6,500, she will pay Friday
ClaraI'll save a sale of ₦19,000, ₦1,500 for transport, and ₦6,500 Mrs Ade owes you, due Friday. Save?
Free while Clara is in private beta. Works on any phone, even offline.
