Simple chart of accounts for a small business

What the simple chart of accounts for a small business gives you

A chart of accounts is the list of headings under which every transaction is recorded. Starting from a sensible list saves time and keeps reports clean. This document gives a simple chart for a small Kenyan business, grouped into assets, liabilities, equity, income and expenses, with account numbers and notes on adding your own.

Who it is for

Small businesses setting up books or accounting software, and bookkeepers who want a consistent starting list.

How to use it

1. Read the list and keep the accounts you need.
2. Delete or rename accounts that do not fit.
3. Add accounts in the gaps in the numbering.
4. Use the same list every month so reports can be compared.
5. Keep a signed or dated copy with your records, so you can show what was agreed or done.

What is inside

• Five groups of accounts with numbers
• Common Kenyan items such as VAT, PAYE and M-Pesa
• Notes on adding accounts
• Tips to keep the list short
• A blank space for your own accounts

The document is a ready-to-print PDF with these parts: Assets (1000s): what you own, Liabilities (2000s): what you owe, Equity (3000s), Income (4000s), Expenses (5000s and 6000s), Your own accounts. It is laid out for A4, with the headings, tables and tick boxes already in place, so you can print it and fill it in by hand, or type into it with a PDF editor.

Tips for getting it right

• Fewer accounts are better; add one only when you need the report.
• Do not rename accounts often; it breaks comparisons.
• Keep personal spending out of business accounts.
• Ask your accountant before you remove an account that has entries.

Why it helps

Accounting records let you answer three questions at any time: what came in, what went out and who owes whom. Kept consistently they also make tax returns, loan applications and the sale of a business much easier, because the evidence is already organised. Entering transactions the day they happen is far cheaper than reconstructing them at year end.

Questions people ask

Can I edit it? It is a PDF, so it is meant to be printed and completed, or filled with a PDF editor. If you want to change the wording, copy the text into Word or Google Docs and adapt it to your business.

Is it legal advice? No. It is a practical starting point written for Kenya. Rules change, so check the current position and ask a professional where the stakes are high.

Will it work on my phone? Yes for reading. For filling in and printing, a computer or a PDF app works best.

Keeping it safe and up to date

Good accounting records are a legal duty as well as a management tool: keep the supporting receipts and invoices with the workbook, and keep each year's copy for at least five years. Work on a copy, never on your only file, and back it up.

Read how to keep business records for KRA for the wider picture. See more accounting templates or ask us for a custom one.

This document is general information, not tax, legal or accounting advice, and it is not affiliated with the Kenya Revenue Authority. If something does not work as described, contact us and we will put it right.

Related guides, calculators and templates

• Guide: How to keep business records for KRA: what to save and for how long
• Guide: Bank reconciliation step by step: match your books to your bank
• Guide: Fixed assets and capital allowances explained for small businesses
• Another template: 13-week cash flow forecast
• Another template: Accounting policies and procedures manual template
• Another template: Accounts payable ageing schedule

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