Today's Guest

Crystalynn Shelton, CPA, is a business advisor and a QuickBooks expert who helps small businesses master their finances. As the founder and CEO of Crystalynn Shelton, CPA, she offers financial accounting software training, coaching, and consulting services to clients across various industries. She has been recognized as a QuickBooks Top 100 Pro Advisor and is the author of the best-selling Mastering QuickBooks 2024 series, set to release later this year. In 2010 Shelton opened her own practice, Small Business Development Consulting dedicated to helping small businesses find easy-to-use, accounting solutions that fit within their budget, and train them on more digestible terminology, so they can independently manage their business. Today, Shelton continues to share her passion and knowledge for finance teaching students at UCLA, aspiring to become Certified Public Accountants. With her extensive knowledge and experience, Crystalynn can help you simplify your bookkeeping tasks and optimize your financial performance.

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• Crystalynn Shelton
• Crystalynn Shelton, CPA | LinkedIn
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Episode Transcript

(Please excuse grammatical errors due to transcription)

Gordon Henry:

Hey, hey. This is Gordon Henry of Winning on Main Street. And as we head into the holidays, you're probably thinking about, wait for it, taxes. Yes. People tend to think of taxes as you're finishing up the year. And so we have with us an expert on small business taxes and bookkeeping, Crystalynn Shelton. Welcome, Crystalynn.

Crystalynn Shelton:

Thank you so much, Gordon. I'm excited to be here.

Gordon Henry:

Good to have you. So quick bio on Crystalynn Shelton. After discovering her love of numbers in a high school bookkeeping course, licensed CPA and QuickBooks top 100 Pro advisor, Crystalynn Shelton launched her corporate career in accounting. With years of experience under her belt, she left the corporate world to start her own consulting business where she now helps businesses, large and small, take control of their finances.

What will you or listeners learn in this episode? In this episode, you'll hear about how QuickBooks and Crystalynn can help your business, what are the do's and don'ts of small business accounting, why you should worry about not just your revenues, but other key metrics if you want to succeed, and how Crystalynn's course can help you get there. So Crystalynn, again, welcome. Start by telling us a little bit about your background. Just how'd you get here?

Crystalynn Shelton:

Yeah. So wow, what a journey. As you mentioned, I did fall in love with numbers back in high school and pursued an accounting degree at the University of Texas at Arlington. So I have loved numbers for a long time. I actually got a job in Los Angeles after I graduated. And mind you, I'm from Dallas, Texas. So I was offered a job right out of college in Los Angeles. I accepted it and started my corporate journey. So I worked for Texaco, which is a big oil and gas company, and then I left them, I worked for Paramount Pictures. And so I've got a wide variety of experience in a number of different industries.

And in 2010 is really when I decided to leave the corporate world. And it was more so just a decision, I always knew I was going to start my own business, I just wasn't sure when. And so 2010 just seemed like a great time to do it. And so as you mentioned, my consulting and training business, we actually focus on small business owners who are sort of do it yourselfers. And so I actually set up their books on QuickBooks and then I teach them how to use the software so that they can keep it updated. And so I just enjoy that work. I love working with small business owners and just love my clients.

Gordon Henry:

So our listeners are small business owners for the most part. And you seem to be enamored with small business. What is it about small business that attracts you so much and why you love doing this type of work?

Crystalynn Shelton:

I just love... small business owners are very, oh, what's the word? I consider them daredevils. I consider myself a daredevil because you have to step out on faith and just trust that the business idea that you have is going to be one that's going to lead to success. And a lot of people don't realize that small business owners, you work a lot more hours as a business owner than you do in a regular 9 to 5 job. But it doesn't feel like work if it's something that you really enjoy doing. And so I think that's my favorite thing about small business owners is they had a dream, they were passionate about it and they took a chance.

Gordon Henry:

Before we get into the specifics around QuickBooks, I just wanted to ask you big picture question about small businesses. We've, over the years, seen the statistics about small businesses and how many don't make it, that something like half the small businesses fail in the first five years. And you are kind of in an interesting position because you see their numbers, you see their books. What is it about small businesses that make them so fragile, that makes it so hard for them to make it after that first initial period?

Crystalynn Shelton:

I would say a big part of that, believe it or not, is small business owners not grasping their numbers, to be honest with you. Many people are good about going out and getting new customers, getting those sales, bringing money in. And then along with that, you're spending a lot of money going out the door. And a lot of small businesses don't have a good grasp of how much money they're spending or what they're spending that money on. And that can just be one of the key factors to a business failing quickly, is that they don't sit down and either hire someone to do those books or figure out how to do it themselves, basically. And so I would just say not knowing your numbers definitely leads to failure quickly.

Gordon Henry:

Yeah. You always hear the two words cashflow, right? For small businesses, they have cashflow. Now is that something in your role you help your clients with or you're more really dealing with the taxes, that if they need somebody to be their bookkeeper and keep them on top of the numbers, day-to-day, they should hire somebody close at hand?

Crystalynn Shelton:

I pretty much educate small business owners. So my sweet spot is setting them up, making sure they're set up properly, and either training the business owner or training whoever's going to manage the books, and then providing a quarterly review. So we'll go over their numbers and I answer any questions that they might have. But it's important for them to sit down and see what's happening in the business. You're profitable, you're not profitable, why aren't you profitable, and kind of answering those types of questions. That's really where my sweet spot is.

Gordon Henry:

Okay. So tell us about your latest book, which is Mastering QuickBooks 2023, 4th Edition. And I believe you told me before the show you have another QuickBooks book coming out later this year.

Crystalynn Shelton:

Yes. So Mastering QuickBooks 2023 is the latest edition of my book. The 5th Edition, Mastering QuickBooks 2024 will be out next month, in December. And so all of my books have been Amazon bestsellers, which has been amazing. The approach for the book really is for folks who don't have any accounting or bookkeeping background at all, or someone who says, "I'm not good with numbers." So the book is laid out with a lot of screenshots, and I pretty much use really simple language. So you won't find a whole bunch of accounting jargon and all this technical words that people don't understand. And so the feedback I've received from small business owners is that they love the book, they feel like it was straightforward. They could sit down and actually follow the instructions and set their books up properly. If they had some, I guess, more difficult situations, they reach out to me and book a coaching call and go from there. So yeah, that's been my goal from the start is just to make sure that anyone, regardless of their background, can actually set their books up and manage them.

Gordon Henry:

Well, you're doing something right now into 5th Edition. So I'm sure this is working on some level. What about QuickBooks is so great? Why are you such a QuickBooks fan?

Crystalynn Shelton:

Man, that's a great question. So before I left corporate, I did some research on most of the software or what were the top software products that were used by small businesses. And I ended up going with QuickBooks because at the time, they had about 85%, 90% of the market share. And then when I got into the certification, I found out why. It's a really straightforward program that anyone, again, without an accounting or bookkeeping background can figure out how to use. And that was my favorite thing about them as compared to some of their competitors. I felt like when I went into these other programs, if I didn't have my accounting degree, I wouldn't have known what to do. And so that's just not your typical small business owner. They're not going to have that type of understanding of accounting. That's why I love QuickBooks. I always call it the non-accountants software, because I really feel like it's very user-friendly.

Gordon Henry:

You have this QuickBooks book which people can I guess read or probably listen to. You also have a QuickBooks bootcamp, small business training that I think you have one coming up. Talk about this, these other kind of ways that you provide the information, like the bootcamps.

Crystalynn Shelton:

Yeah. So one of the things as an educator, I'm not sure if this was in my bio, but I also have taught for UCLA Extension for over 10 years. And so as an educator, I know that people have different learning styles. So the book is for those who to read. The course that I created was necessary because a lot of small business owners don't have time to meet with me during the business hours. They're busy working in their business. So my course is self-paced, it's all video. I'm teaching you how to set up your books and manage your day-to-day for your business. So it's a lifetime access to the course. And then I've got a private community where business owners can pop in there and ask their questions as they're going through the course. And so it's another way for business owners to be able to connect with me if they can't book a live coaching session.

Gordon Henry:

But you also do live coaching sessions. So what's that? If somebody looks you up on your website, you'll do 30, 60, 90 minute type of thing?

Crystalynn Shelton:

Exactly. So they go to the website, they book a coaching session, and then we meet virtually over Zoom or if they're local here, Dallas-Fort Worth area, I do meet with clients in person if that's their preference as well.

Gordon Henry:

And while we're on the subject, let's just tell people the website is CrystalynnShelton.com. And again, that's C-R-Y-S-T-A-L-Y-N-N, Crystalynn Shelton, S-H-E-L-T-O-N, all one word, .com.

Crystalynn Shelton:

Also though, for podcasts, so because your audience is listening, I actually have a special page for podcasts. So it's CrystalynnShelton.com/podcast. And if you go to that page, I've got a couple of free gifts for your listeners. One of them is a download that's called Your First 7 Days in QuickBooks. And it's a step-by-step, here's what you need to do to get going. And it actually has different references within my book to tell them where to go to complete that task. So definitely, yeah.

Gordon Henry:

That's super, that's super. I hope people will take advantage of that. Now, just like a full disclosure, do you have any relationship with Intuit or QuickBooks? Do you get paid by them to sell the product?

Crystalynn Shelton:

I actually don't. I actually have just stayed certified. I love the product, I know it well, and I put all my clients on QuickBooks. Now, I've got familiarity with other products of course, that are out there. And depending on the client, if QuickBooks isn't the right product for them, then obviously, we'll put them on the software that works best for them. But I actually don't. I'm just certified, I love it. I love the program. They support pros like me and they send clients to me as well, which is fantastic.

Gordon Henry:

And I believe I saw on your site that if a customer comes in and gets QuickBooks through you, they can get a nice discount off the product.

Crystalynn Shelton:

They can get a 30% discount.

Gordon Henry:

That's pretty good. So lots of reasons to go to CrystalynnShelton.com.

Crystalynn Shelton:

Absolutely.

Gordon Henry:

So Crystalynn, I'd like to just turn a little bit to this issue of small business taxes. So you're teaching people how to use QuickBooks, and that's for the purpose of their accounting and ultimately, their taxes. What is it that most people in a small business space do wrong? What do they get wrong when it comes to taxes? Do they overpay? Are they not taking deductions? What are the things they get wrong?

Crystalynn Shelton:

Yeah, so I would say what I've seen just in the past is people are confused or not sure about what items are tax-deductible. That's probably the main thing, is this tax-deductible, is it not tax deductible? And so a lot of people miss out on tax deductions because of that confusion.

Now, I actually don't perform tax prep services any longer. But one of the things that I do with my clients is I make sure we implement processes where they don't miss out on tax deductions. And so one of the issues that small business owners typically have is keeping up with those receipts. That tends to be a big issue. And QuickBooks actually has an app that you can use to take a picture and it uploads all the information to the software so you can toss that paper.

So that's one of the main things I teach my clients how to do and they love it. And I also teach my clients to try and use your debit or credit card when you're purchasing items for your business, use cash as little as possible. Why? Because if you use cash, you have to keep up with that receipt. Whereas your debit or credit card, if you lose the receipt, you've still got that bank statement where you've got proof of that purchase. And so just little things like that can actually make the big difference in the amount of tax deductions of business can take on the tax returns.

Gordon Henry:

What would be a typical bigger tax deduction that a small business would not take advantage of that you would say, "Hey, you got to be taking advantage of that," and they're forgetting to do it?

Crystalynn Shelton:

Probably if they purchase what we call fixed assets. So if they purchase equipment for their business, like a laptop computer, a printer or office furniture, all of those items, what we call fixed assets are you can actually deduct depreciation for those items, which is just basically the wear and tear on those items over a period of time, years or more. And so your average small business owner doesn't know what depreciation is, let alone how to make sure they account for it on their taxes.

Gordon Henry:

And what about, I think used to be when you're a business owner, there were a lot of things like your car. I think in one day it was like your country club. I don't know if you can still do that. Those kinds of more like personal things going out to meals that were tax-deductible. What's the rule on that now? I guess if it's a clear business purpose? How do you-

Crystalynn Shelton:

Yeah. For meals they've actually gotten a lot stricter. And so it's really just meals with a client and definitely has to be business purpose for that. You can definitely still deduct mileage to and from. So if you're taking your car and driving your car to a client's office or from a client's office, you can absolutely deduct that, along with travel expenses. Those are all things that you can still deduct as long as they're business related.

Gordon Henry:

And how do people keep track of that stuff? They've got to scribble it down on a piece of paper? Is there some way with QuickBooks they can track that easily?

Crystalynn Shelton:

And so one of the things I recommend, again with the app. If you have the QuickBooks app and you turn on automatic mileage tracking, it will keep track of your miles, automatically. If you have the app, you can take picture of your receipts that you have for your business expenses. And then nowadays, a lot of merchants will email you receipts. And so what I love about that is you can actually just forward that email to QuickBooks and it actually incorporates that data into the software. So there's a lot of different ways to keep track of that information nowadays where you don't have to sit down and write it out in the log, like the old days, back in the day.

Gordon Henry:

I believe on your site you have a free 20-minute consultation. So if people are listening and thinking, this sounds pretty smart on top of it, but I'm not sure I'm ready to do it, they can call you I guess, or click for a calendar appointment and get 20 minutes with you to see if it's a fit. Tell us about that.

Crystalynn Shelton:

Exactly. Absolutely. So if they go to my website, CrystalynnShelton.com/podcast, you can actually book a consult directly on my website. And then there's also an initial client form that you need to complete to give me some information about your business so that when we meet, I'm already familiar with the basics and we can more discuss, "Hey, what are the pain points? What are you having an issue with? Where would you like to be?" And all that sorts of thing. But yeah, it's also a great opportunity if you're thinking about that self-paced course, but you're not sure if it's going to be right for you, hey, book the initial consult and let's talk about it. Absolutely, I'm happy to answer any questions about that as well.

Gordon Henry:

Yeah. I wanted to ask you about this thing about keeping a bookkeeper on staff. What size business should be thinking about having somebody on staff versus outsourcing it? Any kind of rules of thumb of my business is half a million dollars or my business is a million dollars a year? When should I either do it myself or hire somebody outside, or then eventually hire someone inside? Any thoughts on that?

Crystalynn Shelton:

Every small business is different. And it really just depends on the amount of activity that you've got going on. So I would say before it becomes too overwhelming for you, you need to hire someone. And I always recommend starting with a contractor, start with a freelance person. I have contractors who do take care of my marketing and my social media. And I've always had a positive experience with hiring contractors to do that type of work. And so I just say it really depends. If it's something that you know you're not going to be able to stay on top of, go ahead and hire a contractor to take care of it for you. That's definitely what I recommend.

Gordon Henry:

Got it. Just curious for somebody who's thinking about this, when somebody's working with you, do you have any idea how much you are able to save people in their taxes? Do you get any sort of sense, like well, you saved 10% or 20%? How much less would their taxes be working with an expert like you versus they do it on their own?

Crystalynn Shelton:

That's a good question. I think if I actually prepare taxes, then I could answer that question.

Gordon Henry:

Oh, that's right, you're just coaching.

Crystalynn Shelton:

I actually don't prepare taxes any longer. It's been quite a bit of time. But I more can actually tell people how much I save people time, that they normally would spend managing their books. And so that's kind of more of how I quantify what I can do for a small business owner. Yeah, it's more about the time.

Gordon Henry:

Okay. Crystalynn, we're going to go to a quick break. We'll be back in just 30 seconds, with more from Crystalynn Shelton. Don't go anywhere.

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Gordon Henry:

We're back with Crystalynn Shelton, who's an expert on everything having to do with QuickBooks. She's got a new book coming out. This is the, I think, 5th Edition, 2024 edition coming out in December. Boy, you've written five QuickBooks books. That's a lot of writing. Are you just a prolific author? Where do you find time to write so many books?

Crystalynn Shelton:

Great question. I actually am so immersed in QuickBooks on a day-to-day basis that it's really, really easy, especially after the first book. I just basically go in and make updates to these books based on the changes that have been made to the software since the previous year. And it's relatively easy because I stay on top of those updates since I'm using the program on a daily basis.

What is more interesting is how did I get into writing this book in the first place? And people ask me that, and it really started with a DM in LinkedIn. People go, "No way." And of course, if you've ever had someone DM you in LinkedIn and you have never heard of this person, immediate suspicion, right? At least for me, I'm like, "Is this a scam? What is this?"

But long story short, it turned out, I did some research. I even reached out to someone who had written a book for this publishing company years ago, and she was gracious enough to actually do a Zoom with me and answer all my questions. And she had nothing but positive things to say. But it really started with a DM in LinkedIn and it's just been amazing. I never could have thought I would be on the 5th Edition right now. But the book has been well received, and not just by small business owners, but even my peers, other CPAs, other bookkeepers, other accountants. It's been amazing.

Gordon Henry:

That's great. That's great. So just as we wind this down, Crystalynn, what's next for you? We mentioned you have the 5th Edition coming out, or fifth book coming out. You see yourself continuing down this QuickBooks path? Do you broaden your efforts? What do you see for yourself in the next year or two?

Crystalynn Shelton:

Yeah, I think that what's next for me is I'm working on my own podcast. So this is probably the 25th or 26th podcast interview I've done this year, and it's been amazing. I've enjoyed these interviews so much that I said, "You know what? I need to have my own podcast." And so I am kind of in the beginning stages of working on that. And then I'm also working on a few of my business certifications so that I can enter the K through 12 realm of educating young folks on how to manage finances. I think that's one of the things that's really been missing from, I would say, junior high, high school students. I wish I had the opportunity to have that type of education. And so I really want to move into that realm as well. And so we're making some moves to make that happen as well.

Gordon Henry:

Yeah, love it, love it. I think that's a great idea, great topic for people to get financial literacy and know when they're thinking about their futures, that they have some framework for-

Crystalynn Shelton:

Absolutely.

Gordon Henry:

... thinking about finances and money and so forth. Well, Crystalynn, I want to thank you for coming on the show. You've been fantastic, and I hope people will check out your new book, the Fifth edition for QuickBooks coming out in December. And again, if they want to find you, best place, CrystalynnShelton.com. And that's Crystalynn, one L, two Ns, Shelton.com.

Crystalynn Shelton:

You Got it.

Gordon Henry:

So again, thanks and we'll all be looking for your new book.

Crystalynn Shelton:

Thank you so much, Gordon. It's been so much fun. Appreciate it.

Gordon Henry:

And I want to thank our producer, Tim Alleman and our coordinators, Diette Barnett, Daniel Huddleston. And if you enjoyed this podcast, please tell your colleagues, friends and family to subscribe and please leave us a five-star review. We'd really appreciate it helps us on the ranking. Small business runs better on Thryv. Get a free demo at Thryv, that's Thryv.com/pod. And check out our new free product, Command Center. Again, that's at Thryv.com. Until next time, make it a great week.

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