I have 5 doors and about to purchase 3 more (plus I have a FT job and freelance on the side). Plus I'm just honestly not the most organized person. I'd like to simplify by taking bookkeeping off my plate. Does anyone have any recommendations? I tried Upwork, but there's no consistency of quality there. I talked to Bench.co, but they aren't cost efficient for real estate. I'm still super small, so I don't want to spend a lot of money on this, but if I close this next deal, it's going to overwhelm me.
What do you all use for bookeeping?
I think the most common thing is to use Quickbooks. It’s 50/mo so I have done it yet. For my day job I use Harvest for tracking staff time, sending invoices, and having receipts and expenses hit projects. I’m interested to hear what others use!
I like quickbooks and have used it for years.
Quickbooks Online is the software of choice. Make sure to get the Plus version with class tracking. You can then associate each transaction with its appropriate property. It is designed to be user friendly for non-accountants, but with a growing portfolio, it could get messy also. There are tons of you tube tutorials out there. You might want to try those (in your non-existent spare time). Otherwise, you might have to bite the bullet and pay for bookkeeping services.
Bookkeeper chiming in:
@Sara Abernethy , since it sounds like you're already comfortable working with accounting software, maybe you could look for a bookkeeper you can bring in on a monthly or quarterly basis to clean things up for you. It's not a long-term solution, but it may relieve some stress while allowing you to "try out" bookkeepers without placing the fate of your books entirely in their hands sight-unseen.
Also, not all bookkeepers use a gross revenue/expenses to determine their fee structure. I prefer a flat rate model that increases when transactions exceed certain thresholds.
I agree with the consensus, Quickbooks Online Plus is probably a good option for you. As @Daniel Hyman mentioned, class tracking is invaluable for managing multiple properties. Although a common complaint of QBO is that it's too complicated, the feature set is actually really robust and can keep up with the complexity of your business.
QuickBooks on-line is the way to go. Some of the benefits have already been mentioned, but there are more! You can setup accounts payable and rental income expectations out a year or 2 and forecast cash flow. You can keep track of rental income / late payments with invoicing. You can get good profit and loss statements by property...etc.
The real key though is getting it setup properly to automate as much as possible. The QB phone apps are really good. There are online bookkeeping/financial services that can help you do this right.
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