Owning a piece of property, or several pieces of property, which are then used as investments, is a fantastic way to build wealth. Becoming a landlord, whether it’s with residential or commercial properties, can be a great opportunity from a financial perspective. However, it does need to be done right, and a large part of that is ensuring the books are all handled properly.
While it might be possible for a property investor to handle all of their own books, it’s not common. After all, it takes a lot of time and energy to handle bookkeeping, particularly for those with several properties. It is a better solution to work with professionals whenever possible. Fortunately, this is relatively easy to do when hiring CFO Shield.
Tips to Keep in Mind
One of the issues a lot of new investment property owners have is that they don’t fully treat the investment property like a business. Sometimes, they don’t separate the property expenses from their personal expenses, which leads to a lot of confusion and problems down the line. The rental property—which is a business—needs to be treated like a business. The property needs to have an account that’s associated only with that property. It ensures that the owners don’t use money from another property, or their personal funds, to pay for something for the property.
It is also essential to ensure that all the money going into and out of the property is properly tracked and recorded. Even something as small as buying cleaning supplies for a home or putting gas into the lawn mower for the property should be recorded. The more detailed the better. Doing so will give the owner a better sense of how the property is truly performing.
Why Your Coppell Business Needs CFO Shield’s Property Management Bookkeeping
Although you might feel as though you can handle your property or HOA bookkeeping in Coppell on your own, it’s a better option to hire the experts from CFO Shield. We can provide multiple benefits to make your life easier.
We thoroughly understand rental property bookkeeping for a range of business types including investment properties. Some of the services we provide include general ledger maintenance, bank statement reconciling, sales commission tracking, sales and use tax filing, financial reports, and more.
Here’s an example of how we can help you. Why is something like bank reconciliation important? Each month, it’s a good idea to check to see if that general ledger for the business—the investment property—matches the business bank account. Through reconciliation, bookkeepers can identify whether there were any mistakes, and correct them. This helps to ensure that the bank account for the business is as accurate as possible. You want the best for your Coppell business, and ultimately, properly taking care of the books, regardless of the type of business, is essential. It helps you know whether you should continue to hold a property, sell, look for other investments in the area, etc. Contact CFO Shield online or call us at (469) 459-6700 to learn more about how our rental property bookkeeping services can help you.