Client Background
A luxury interior design firm that worked with high-end residential and commercial clients needed bookkeeping support after rapid business growth. The owner struggled to track project costs, manage client retainers, and reconcile financial statements accurately. The client hired Development Theory to help with bookkeeping for interior design firms.
The Challenge
Unclear Project Costs: Material purchases, labor costs, and contractor fees were not properly tracked per project, making profitability difficult to measure.
Retainer & Client Payments Confusion: Client deposits and final invoices were recorded inconsistently, leading to discrepancies.
Credit Card & Bank Account Mismatches: Business expenses were scattered across multiple credit cards and accounts, making reconciliation time-consuming.
Tax-Related Stress: The owner had no clear records of deductions for tax filing, leading to missed savings.
Our Approach
Project-Based Bookkeeping Implementation: Created a cost-tracking system per project to measure profitability.
Retainer & Payment Reconciliation: Ensured client retainers and final invoices were accurately recorded.
Bank & Credit Card Account Reconciliation: Cleaned up six months of financial records, ensuring accurate reporting.
Expense Categorization for Tax Savings: Properly classified all deductible expenses, reducing tax liability.
Ongoing Monthly Bookkeeping Support: Provided monthly reconciliations and financial reporting.
The Solution
Implemented a project-based financial tracking system, making profitability transparent.
Reconciled 100% of outstanding transactions, ensuring financial accuracy.
Prepared tax-ready books, reducing tax prep stress.
Created monthly financial reports, helping the owner make informed decisions.
Results & Impact
Revenue tracking improved by 85%, allowing for better project pricing.
Identified $9,000 in missed deductions, reducing tax liability.
Reconciliation process streamlined, saving 10+ hours per month in manual tracking.
Improved cash flow visibility, making it easier to plan for future projects.
Client Feedback
"Before, my financials were a mess, and I had no idea if I was making a profit per project. Now, I know exactly where my money is going!"
Development Theory Can Help Business Owners Like You
Struggling to keep your books in order? Accurate bookkeeping is the foundation of a healthy business—it helps you track cash flow, manage expenses, and prepare for tax season without stress. At Development Theory, our Bookkeeping services ensure your financial records are organized, accurate, and up to date, so you can focus on growing your business instead of worrying about spreadsheets. Whether you need monthly reconciliations, financial reporting, or QuickBooks support, we’ve got you covered.
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