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Buy nowHello,
I could really use some help categorizing purchases for my small retail store. For reference we rent and do not own. Some of the items I'm trying to figure out the best way to categorize:
- Store retail shelving
- Interior store sign & a-frame sign
- Garden tools and planters
- Paint
- Hardware like brackets, screws, weatherstripping
- Cleaning supplies
- Electrical - outlets, wiring, etc
- Millwork
- Retail display materials like wooden jewelry holders, acrylic stands, etc.
Thanks in advance!
Sure, here's how you could categorize those purchases for your small retail store:
These categories should help you organize your expenses more efficiently and track where your money is going.
Are you making leasehold improvements to your space? If so, categorize those as fixed assets. Create a fixed asset account called 'Leasehold Improvements' and assign that to the transactions. The electrical, paint, and millwork sound like possible leasehold improvements. The displays should be put under a fixed asset account called 'Furniture, Fixtures & Equipment'. Make notes on the transactions so your CPA/tax accountant can determine the appropriate tax handling.
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