A basic bookkeeping system for small businesses involves keeping track of financial transactions. This means recording sales, expenses, payments, and receipts in an organised manner. A basic set of bookkeeping records includes a: Cashbook to log daily transactions, Sales ledger to monitor incoming revenue Purchase ledger to track outgoing expenses. In addition to these essentials, basic bookkeeping might include keeping track of inventory and payroll, managing accounts receivable and payable, and preparing simple financial reports. For a small business owner, the key is to stay organised, maintain accurate records, and set aside time regularly to update your books.