Sole proprietors

Begin with the actual activity

For a proprietor, the useful starting point is the business activity, premises, customers and workforce. Identify the registrations and tax questions those facts create instead of looking for one certificate that covers the whole business.

Separate the records

• Use a consistent invoice identity and keep customer receipts traceable.
• Identify owner funding and drawings separately from sales and expenses.
• Retain evidence for stock, assets and business expenditure.
• Reconcile business bank entries and cash records each month.

Review growth events

Hiring, opening a shop, selling regulated products or exporting services can change the worklist. A proprietor working alone from home has a different operating profile from one running a staffed retail outlet.

Prepare for a change of structure

If outside ownership or a transfer into a company is planned, map contracts, registrations, assets and liabilities before changing the invoice name. Existing business history needs an evidence trail into the new arrangement.

A practical first engagement

Bring the activity description, locations, sales channels and current books. Kosha can organise bookkeeping, relevant registration questions and a recurring worklist. Personal tax facts and business records must be reviewed together where they affect the assignment.

Choose the next piece of work

If records are incomplete, begin with bookkeeping and monthly close. Bring bank statements, invoices and payment-provider settlements for the same period, together with a list of transactions funded personally. This provides a clearer starting point for subsequent tax work.

For a registration question, share what you sell, where you operate and how customers buy from you with the GST registration team. For a question about a simplified income-tax approach, use presumptive taxation advisory; the actual activity and financial facts need assessment before choosing an approach.

When taking on a larger customer, commercial contract review can cover the proposed deliverables, acceptance process, payment terms and responsibilities. Provide the customer’s draft and explain how the work will actually be delivered, including any subcontracting.

A monthly records example

A proprietor selling through a marketplace may receive one bank settlement covering multiple orders, fees and refunds. Keep the settlement statement with the order records so bookkeeping can explain the difference between customer sales and money received. Record owner withdrawals separately instead of treating every outgoing payment as a business expense.

At the end of the month, maintain a short list of missing invoices, unmatched receipts and disputed customer balances. Assign a next action to each item. This makes the recurring engagement useful even when the business has only a small number of transactions.