Summary
We learned a lot in this chapter about how to set up the accounts needed for a small business.
Specifically, we covered:
Installing GnuCash on a Windows PC: We walked through the steps involved in downloading and installing GnuCash on a PC running Windows 7, Vista, or XP.
Creating a set of accounts: We learned how to use the built-in template in GnuCash to quickly create a complete set of accounts needed for a typical small business.
Tweaking the set of accounts: While the preceding step helped us to make quick progress on setting up accounts, that was not enough. No two businesses are going to be exactly the same. There is always a need to tweak it further. We then looked at how to make account additions, changes, and deletions so that we can get it just right for your special business.
Entering an opening balance: We also learned how to enter an opening balance to the accounts, whether created from the template or separately, from scratch. We also reviewed different account types, parent accounts, top level accounts, and placeholder accounts.
Outputting the set of accounts to a spreadsheet: We also figured out how to ship the draft 'Chart of Accounts' to your accountants.
Strengths and limitations of GnuCash: We quickly reviewed the strengths and limitations of GnuCash as well.
Now that we've created the set of accounts, we have laid the necessary foundation. With that, we are ready to start entering transactions, which is the topic of the next chapter.
