Don't know which "type of business" to choose

CottageOvenCottageOven Member Posts: 17

I'm trying to create a business in such a way that the default chart of accounts will be most appropriate for my business, but none of the options seem to match and what's left are so general that I have no idea if the COA will be useful. This is especially difficult because I do not have prior accounting experience and cannot afford to hire an accountant.

My business is a "cottage-food operation." That means that I bake things in my home kitchen and sell them at farmers markets. I have no invoices, no purchase orders, no payroll - just debit-card purchases of ingredients, equipment and supplies and cash deposits after the markets and deposits from Square for credit/debit-card sales.

The closest business type I can find is ""General: I make or sell a PRODUCT" with a sub setting of "Other Product-based business." Given the actual nature of my business, as described above, is there any more appropriate selection for "type of business"?

Does anyone out there have a similar business (or better bookkeeping knowledge) to be able to suggest an appropriate chart of accounts?

Thanks.

Comments

  • MikegMikeg Member Posts: 699 ✭✭✭
    @CottageOven,
    It is not going to matter much which you choose. Most charts are pretty similar in terms of account names. You can always edit the name of an expense or create a new one. In your case you would just have operating expenses and not cost of goods. I have a client that runs a BBQ shack and catering. The only 2 food related expenses we have are Food Purchases and other supplies. The rest of the chart is similar to others. Rent, vehicle, office, etc
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