What Is Bookkeeping and Why It’s Important for Your Escape Room
Hello, escape room owners!
If you’re not sure what bookkeeping is, you might think it’s something to do with keeping books. While that’s not far off, it’s actually much more than that. Bookkeeping is all about tracking and organising the financial transactions of your business. It’s less about books and more about keeping everything in order so you know exactly where your money is coming from — and where it’s going.
The reality is, bookkeeping isn’t something you can afford to get wrong. It’s a key part of running a successful escape room business, and it’s essential for making smart decisions about growth, pricing, and profitability.
What is bookkeeping?
Bookkeeping is the process of recording, categorising, and organising all the financial transactions in your business. Every payment, every invoice, every purchase — it’s all tracked, documented, and stored for future reference.
But bookkeeping goes beyond simply recording payments. It’s the foundation of your entire financial system. Without accurate records, you won’t know if your escape room is actually profitable or how much tax you owe.
Key bookkeeping tasks for an escape room include:
Recording every booking and payment made by customers
Tracking expenses like rent, marketing, props, and repairs
Monitoring payroll for staff wages and pensions
Keeping tabs on VAT (if you’re VAT-registered)
Preparing reports to track profitability, cash flow, and performance
One important thing to know is that it’s also a legal requirement. You must retain all bookkeeping records and proof of transactions for at least seven years. This ensures that if HMRC ever comes knocking, you have everything you need to back up your numbers.
Why bookkeeping matters for escape rooms
Escape rooms operate a little differently than most businesses. Each game or room has its own unique costs — props, repairs, staffing, and reset times — and peak times like weekends and holidays mean fluctuating income.
Here’s why bookkeeping is essential for escape rooms:
Track profitability by room or game: Not all of your escape rooms will be equally profitable. Without proper bookkeeping, you might think all your rooms are doing well when, in reality, one could be draining your profits. By tracking expenses and revenue for each room, you can identify your high performers — and fix or retire the ones that aren’t pulling their weight.
Plan for tax payments and avoid fines: Tax deadlines come around fast, and if your records aren’t in order, you could face penalties for late filings or incorrect returns. Bookkeeping ensures you have clear records to prepare VAT returns, annual accounts, and corporation tax.
Make smarter business decisions: Want to know if it’s time to launch a new game or expand to a second site? Good bookkeeping gives you access to clear financial reports, so you can see if your business is in a strong position. Without clear numbers, every decision is a gamble.
Avoid cash flow problems: Escape rooms are seasonal businesses. Your bookings might spike during the Halloween season, but what happens during the quieter months? Proper bookkeeping lets you plan ahead, so you have cash reserves ready to cover your bills, payroll, and expenses during slow periods.
Should you do your bookkeeping yourself?
The cheapest option is to do it yourself. It’s your business, after all, and you might feel like nobody will care about your numbers as much as you do. While this is true, there are a few key things to consider.
Doing it yourself means:
Time cost: Bookkeeping is repetitive and time-consuming — and it’s easy for it to take far longer than you expect. Every hour you spend reconciling accounts is an hour you’re not improving your rooms or driving new bookings.
Risk of mistakes: If you miscategorise expenses or forget to record a VAT payment, it could cost you more in penalties than it would have cost to hire a professional in the first place.
Software cost: You’ll need to use accounting software like Xero, which comes with its own monthly fees.
Personal insight: My general advice for escape room owners is to do it yourself if your budget is tight — and if you have the patience to learn. If you know what you’re doing, you’ll also benefit from learning more about your own business. But if you bring in a specialist, it will more than pay for itself. They’ll spot inefficiencies, help you claim every tax deduction, and avoid costly fines and mistakes.
Should you get your staff to do it?
Another option is to get your team to handle the bookkeeping. It sounds sensible — your team is already on the payroll, so why not ask them to do a bit more? But this option comes with its own challenges.
Here’s what you’ll need to consider:
Training cost: You’ll have to train your team to use accounting software and understand bookkeeping basics.
Time cost: Will they even have time to do this between running games, resetting props, and managing players?
Confidentiality: Do you really want your employees having access to sensitive financial information about the business?
Personal insight: I haven’t seen many escape room owners train their team to do bookkeeping because financial information is often sensitive and confidential. If you’re going to pay someone to handle it, it makes more sense to pay a professional who can guarantee it’s done right. That said, if you have a team member who’s great with numbers and isn’t involved in running games, it could work — but only in specific cases.
Should you hire a bookkeeper (like me)?
Hiring a bookkeeper is the smartest option for escape room owners who want to free up their time and avoid costly mistakes. Here’s why it’s worth it:
Time savings: No more late nights searching for lost invoices or reconciling receipts.
Accuracy and compliance: No missed deadlines, miscategorised expenses, or forgotten VAT payments.
Financial insights: See exactly which rooms, time slots, and marketing campaigns are bringing in the most profit.
Growth support: It’s not just about keeping your books tidy — a specialist bookkeeper can actively help your escape room grow.
Personal insight: I’ve seen first-hand how clear financial reports can help escape room owners identify their most profitable rooms, improve cash flow, and make better business decisions. Not only that, but a professional bookkeeper can drive growth in your escape room by providing clarity, strategy, and financial insights that lead to real progress.
Why now is the perfect time to check your bookkeeping
If you’re wondering whether your financials are in good shape, now is the time to check. Mistakes compound over time, and catching them early can save you from future fines, stress, and missed opportunities.
To help escape room owners get on top of their financials, I’m offering something special:
Free Bookkeeping Health Check (worth £100) — 🇬🇧 UK escape rooms only
How to book your free bookkeeping health check
Here’s how it works:
Book a time that suits you
Have a friendly chat and gain access to your financials
I’ll review your financials and send you a personalised report
It’s quick, simple, and free — but it could make a huge difference to your business.
Don’t wait until tax deadlines are looming or cash flow is tight. Book your free health check now, and let’s get your escape room financials in top shape.
Chi / Sam
Your Escape Room Bookkeeper
