Bookkeeping tasks include understanding your licensee regulations, state regulations, and maintaining spotless records. We've provided suggestions below on how to use Green Bits to help ensure your accounting records are true, full, compliant, and reflecting your business
Green Bits strongly recommends implementing effective internal controls to manage your two most common and valuable liquid assets: inventory and cash.
Until these processes are in place, your bookkeeping records will always be a few steps behind, and you won't have the security you need to ensure that you can monitor the pulse of your business.
With effective internal controls, you can have up-to-date financial information in the Back Office whenever you need or want it. With accountability in place from your staff, and setting a firm policy for your team to follow each time the store is closed for the day, both of these objectives can be accomplished.
With the below recommendations, and other best practices guides such as Ensuring your Cash is Correct at the Register, Reconciling your Shifts, and Close Out Procedures, Green Bits is here to help you and your team succeed.
Set your store up for success
Green Bits gives you the tools to set up your accounting records, from setting up taxes to assigning costs properly in real-time as transactions are recorded. By following these few suggestions below, you can ensure that the moment your team sells something, your inventory is updated and costs are reflected in real time.
Set up your Taxes right from the beginning
Setting up your taxes correctly in Green Bits influences all pricing, the appearance of your taxes on your menu displays, sales and profit reporting, and how much your store collects for your state and federal taxes.
Here are a few more best practices:
- Set up your taxes prior to setting up your pricing, especially your Pricing Tiers.
To set them up properly from the beginning, be sure to follow our step by step guide to Set up your Taxes.
Makes sure your Inclusivity is consistent across all Tax Types.
For clarity we recommend either having inclusive taxes turned on or off across all of your taxes. This will help keep your pricing and reporting consistent.
Pricing Tiers are affected by your Taxes.
- If you have Exclusive Taxes ("Inclusive" set to "No"), then your Pricing Tiers will not include tax.
- If you have Inclusive Taxes ("Inclusive" set to "Yes"), then your Pricing Tiers will already include tax.
Do not delete taxes once they have been used
- If you delete the tax you've previously collected, you'll have no record of how long it's been in place, and your reports will be difficult to track.
Changing between exclusive and inclusive taxes should be done after hours.
- If you should ever decide to change the inclusivity of your taxes, make sure not to do it during business hours. Changing your taxes is tricky, and will involve you updating your Pricing Tiers and all of your current prices across your products. If you have questions, be sure to reach out to the support team.
Ensuring your costs are entered in Green Bits
Green Bits offers great reports for understanding your Profit Analysis and measuring costs over time. Your reports are only as good as the data within Green Bits.
To take advantage of all that Green Bits offers, it's important to set up your Standard Operating Procedures to enter cost during your intake process.
Inventory costs are entered directly on your Incoming Manifest:
- Open your Incoming Inventory page, and click on a Manifest to open it.
- On each product line, enter the cost per unit, or cost per gram.
- Be sure to press Save.
TIPS & TRICKS: To ensure that your Costs have been entered properly for each product, make sure the Cost at the top of the manifest matches what is listed on your printed manifest. This should be the full cost of the Purchase Order.
How do I enter costs if they weren't originally entered?
If someone forgets to enter a cost or enters a cost incorrectly, it can throw off all of your cost reporting. You can easily fix this by finding the original manifest & resaving with the original cost.
- Open the Product Details page, and Navigate to the Inventory Tab.
- Next to the package ID/Lot Number you wish to update, click Actions.
- Click View Manifest.
- You'll be taken to the Incoming Inventory page and see the original manifest. Click to open, and you are now on the Manifest Page where you can enter & Save the cost.
Ensure your cash flow is recorded
In a cash-heavy industry, it can be difficult to track how and when cash exchanges hands. Green Bits offers a great tool to provide insights into how cash moves around your store.
Track cash movement with Paid In/ Paid Out
Cash can move frequently on and off the sales floor. Knowing who and when your cash moves can help account for any potential mishandling, miscalculations, and reduce theft.
Common examples of ways cash moves that you may not be tracking:
- Adding more quarters or one-dollar bills so you can make change
- Taking small amounts from a drawer for use as petty cash
- Making a mid-shift safe drop to limit the amount of cash in the drawer at time
By using our Paid In/Paid Out feature at the register, you can see:
- Who added or removed cash from the register
- Amount of cash removed or added from the register
- When the cash was removed or added from the register
For a step-by-step guide on how to use Paid In/Paid on the register, read out guide here.
To investigate potential or known cash handling discrepancies, run our Paid In/Paid Out Report. This is a report containing all the pay ins and payouts for the selected time period.
Bookkeeper Recommendations - Commonly Used Reports
We reached out to Accountants & Bookkeepers from our current Green Bits customers. Below is a list of reports they found most helpful when navigating Green Bits:
By far commonly used report is Sales Report: https://secure.greenbits.com/sales_summary_report
For a specified period of time, Green Bits automatically calculates your Gross and Net sales, discounts, returns, all tax collected and itemized, payment method breakdown, and tender breakdown. This calculates across all registers, and is commonly used to reconcile your daily sales. This not is the only way to get accurate financial statements that will present a complete picture of your retail operation’s profitability and value, but it’s the most cost effective and common way for Green Bits customers to manage their day to day bookkeeping.
Any customers that want to separate out Medical Sales, there is a Medical Sales Report that will provide total sales for a specified period of time.
See how much Monthly Tax is collected and owed with Monthly Tax Report
The Monthly Tax Report shows applicable sales, tax collected, and tax owed for each tax rate you've set up.
See the value of Inventory on hand with Inventory Value Report
Easily compare the Retail value to the Wholesale Value you have on hand: https://secure.greenbits.com/inventory-value-report
If you wish to export a report and calculate the full retail value and wholesale value to all products on hand in your location, you can go to Reports > Other Reports > and run the Inventory Value Report.
TIPS & TRICKS: Only run the Inventory Value Report for a single day. This report shows the value for specific dates, so if you choose multiple days it would multiple the value of your inventory. Make sure to always choose the Start and End Date on the same date.
Calculate your Gross Profit & see Cost of Goods Sold with our Profit Report:
To calculate the Gross Profit from the Profit report, take your Sales, remove Discounts, and then remove the Cost.
The formula you would use on the Profit Report spreadsheet from Green Bits is: Sales + Discounts (since Discounts are recorded as negative) - Cost. For instance, on line 2 you could create a new column to calculate profit and insert the formula "(=N2+O2-Q2)".
This is also a great report to see the Cost of Goods that were sold for each product. Please note - the cost recorded is an average across the full life cycle of the product. If there are different costs associated with a certain product per package/lot, you will need to cross-reference your Audit Log for that product, and find the original manifest for each associated package/lot.
Find costs and value associated with your Incoming Manifests on the Detailed Manifest Report:
Easily find the full retail and wholesale value associated with each manifest broken down by package ID / Lot number on the Detailed Manifest Report. This is a report containing a summary on each line item of the cost and retail value of your incoming manifests for the selected time period.
Want more? Check out our Reports Overview for a breakdown of Reporting available in Green Bits.
Don't see something that you would find useful? Let us know in the comments below!