A short YouTube video by Andrew Lamb advising creators/small-business owners to use QuickBooks to track total income and expenses so they can produce a profit-and-loss (P&L) statement. The speaker emphasizes that P&L reports are important for establishing business credit, qualifying for financing or loans, and preparing for tax time—especially if the activity becomes a primary income source.
Another tool just for tracking financials, total income, total expenses, would be QuickBooks. We use that because it is the standard for bookkeeping across America, and it's going to give you your P and L at the end of the year. If you're looking to establish business credit, if you're looking to honestly just, like, get any kind of financing or funding for your business, even personally, if this becomes your main income, like it has mine, then you're going to want to be able to show a P and L, especially when it comes to tax time, but more specifically, just to be able to actually show that you're making money doing this. And it allows you to do everything else you do in life, like get home loans and get new credit.
