What is a General Ledger & Why Florists Need One
Every time a retail florist makes a sale a lot of things happen as far as bookkeeping and accounting go. At the very minimum a flower shop management system must...
- record the revenue from the sale for tax purposes
- record any sales taxes collected or exempted for the relevant agencies
- allocate revenue to the proper sales accounts for accurate COGS (cost of goods sold) reporting
- record the payment(s)/payment method(s) for reconciliation purposes
- record any change to loyalty points and/or gift card liability
The General Ledger is where this is all laid bare, where you can see the debits and credits created for each and every sale, so that you and your accountants can ensure that everything is being accounted for properly.
If you don't have this, if you have to bounce around between different reports pulling information from each and putting it together you don't have a real GL, and you don't have accurate accounting for your business.