Chart of Accounts
What would be the chart of accounts for networking (Amway) type of business.
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10/12/09 1:29pm PDT
Viewed by asker 11/29/09 5:20pm PST
Viewed by asker 11/29/09 5:20pm PST
3 Replies
11/29/09 1:10pm PST
Best Answer - Chosen by the Community
This website may be helpful to you. There is a sample chart of accounts however, you would need to change it to fit your needs. (If you are maintaining inventory, you would need to put that on the balance sheet until sold, then expense it as CGS when sold. Your Quickbooks should have a module for that. Tax accounting may vary.
http://www.accountingcoach.com...
11/29/09 5:20pm PST
This was only partially helpful. I have an MBA and am certainly familiar with double entry accounting. I was looking some more specificity as it relates to an MLM type of business.
I do appreciate the effort to be helpful.
12/09/09 6:47pm PST
Latest post
A standard chart of accounts for a retail business will be fine. You will want to add other income accounts which you can then sub-account, as well as use a jobs tracking feature. Sub accounts under Sales, would be something like Sales Mine, and Sales Network. Then assign each top level network a Job - this would report all earnings paid to you from the underlying network as it expands, and use Salesperson to assign earnings to you from each new individual to give you reporting on who is bringing in earnings for you. This gives you the info needed to step in and assist eager but slow earners into building business, and to encourage others to keep going. You will see easily where lines begin to vanish. And you should also be able to determine if the MLM is really paying its commissions properly.
NanseaLevy
- If we knew what it was we're doing, it would not be called Research. - Albert Einstein
- If we knew what it was we're doing, it would not be called Research. - Albert Einstein
