Home, hobby & lifestyle retail
Books and taxes for knife shops.
A handmade blade taken on consignment from a local bladesmith, a sharpening counter running all day, a booth at a weekend knife show three states over, and an engraved gift that cannot be returned. Your own bookkeeper keeps it straight, an accountant checks every transaction, and you get one number a month.
- From $197 a month
- An accountant on every transaction
- Cancel whenever
November came in at $8,700. A knife show two states over was your best weekend of the year, so I kept that apart from your regular counter sales.
- Register batch, display counterIn-store sales
- Bladesmith consignment payout, ReyesConsignment payouts
- Sharpening counter incomeService income
- Knife show booth salesShow circuit sales
- Engraving service, holiday giftsPersonalization costs
Why your books are different
A knife shop's books go wrong the same handful of ways.
A generalist bookkeeper sees a register total and a supplier bill. Your shop carries handmade blades from local bladesmiths on consignment, runs a sharpening counter that brings in steady cash all day, sells out of a booth at shows across state lines, and offers engraving that turns a knife into a final-sale gift. When the books miss that, your real numbers stay a guess.
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1
Bladesmith consignment gets counted as your own sale
A handmade custom knife sells on your shelf, but a share of that sale, often a large one on a high-price piece, belongs to the bladesmith, not you. Treated like an ordinary retail sale, the shop's real cut gets overstated.
What we doSplits the bladesmith's cut out as a payout the day it happens, so your real revenue and their records both stay clean. -
2
Sharpening income disappears into retail sales
A sharpening counter brings in a few dollars per blade, dozens of times a day, but blended into register totals, you cannot tell how much the service side of the shop is really worth.
What we doTracks sharpening and other service income in its own line, separate from knife sales. -
3
Show circuit sales cross state lines without a plan
Selling out of a booth at a knife or gun show in another state can create a sales tax obligation there, which is easy to miss if show sales are not flagged and tracked by location.
What we doTracks show circuit sales by location so the accountant can confirm what, if anything, is owed in a different state. -
4
Engraved knives carry a cost that is not really returnable
A knife sent out for engraving has a personalization cost added before it ever sells, and because it usually cannot be returned once engraved, that cost needs to be tracked differently than plain inventory.
What we doKeeps engraving costs in their own line, matched to the item they are tied to, so true margin on personalized knives is visible.
Your categories
The categories Gus keeps for a knife shop.
Set up once for how you sell, sharpen, and travel. You never pick a category. He does, and an accountant checks it.
Money in
- In-store salesKnives and accessories at the retail counter.
- Consignment salesThe full sale price on handmade blades, before the bladesmith's split.
- Service incomeSharpening and repair work done at the counter.
- Show circuit salesBooth sales at knife and gun shows, tracked by location.
Money out
- Wholesale inventoryFactory-made knives from manufacturers and distributors.
- Consignment payoutsWhat consigning bladesmiths are owed, kept apart from your own margin.
- Personalization costsEngraving fees tied to specific knives.
- Show booth feesTable and admission costs for knife and gun shows.
- Store rent and utilitiesThe lease, power, and water for the shop.
- Card processing feesWhat your card processor keeps on every sale.
What we watch for you
- Consignment share
How much of your sales are really the bladesmiths', before taking on more consigned pieces.
- Sharpening volume
What the sharpening counter brings in day to day, tracked apart from knife sales.
- Show circuit return
Whether a show booth actually paid for the travel and table fee once sales are counted.
- The set-aside
What you will owe across consignment, service income, and show sales, tracked every month.
Ask Gus
Things knife shop owners ask Gus.
Text him like you would text anybody. He answers in plain English, and when a question is above his pay grade, an accountant looks and gets back to you.
I split his cut out as a payout the day it happens, so your real revenue stays clean and his records are ready whenever he asks.
It might create a sales tax obligation there. I track show sales by location so the accountant can confirm exactly what, if anything, you owe in that state.
I keep sharpening income in its own line, so I can show you exactly what the service side of the shop brings in on its own.
The tax side
The tax side of running a knife shop.
Most of what trips up a knife shop is splits and multi-state exposure: a bladesmith's cut, a personalized gift, and sales made across state lines at a show.
What your return has to get right
Your accountant signs it, so it gets done right the first time.
- Cost of goods soldWhat you paid for the knives you actually sold this year reduces your taxable income, not what is still on the shelf or out on the show circuit.
- Consignment payouts as 1099 workA bladesmith you pay $2,000 or more in a year, and who is not on your payroll, gets a 1099-NEC by January 31. Gus keeps a running total on every consigning bladesmith.
- Multi-state sales tax exposureSelling at a show in another state can create a tax obligation there. Rules vary by state, so show sales are flagged for the accountant to confirm.
- The pass-through deductionMost owner-operated knife shops can take up to 20 percent of qualified business income off their taxable income. It comes out right when consignment, service income, and show sales are tracked correctly all year.
Deductions knife shops miss
Your bookkeeper knows what to look for in your statements. You never have to.
- Sharpening equipment and supplies
- Show booth and table fees
- Show travel and mileage
- Card processing fees
- Storefront signage
- Local advertising
- Business insurance
- Storage for backstock
- POS software subscription
- Engraving equipment
- Trade association dues
- Cleaning and maintenance
General information about 2026 federal rules, not advice for your business. Your accountant looks at your actual numbers before anything gets filed.
All year, not just April
A knife shop's year, kept every month.
Show season and the holiday gift rush both matter, and the books stay open every month between them. Every month in between, your bookkeeper closes the books and speaks up the moment something looks off.
- January
Plan the year
Last year's return gets started, and you get a monthly set-aside so April is already handled, right after the holiday rush eases.
- April
Filed. Done.
Your return is filed and signed. No surprise bill, because the set-aside has been running since the holiday rush eased back in January.
- July
Halfway check
Where you stand, what you will owe, and whether summer show season changed the picture.
- October
Before the holiday rush
Engraving supplies, gift inventory, and any equipment worth buying before hunting and holiday season pick up.
What you get
What you pay depends on what your business needs, and it does not move after that, busy season or slow. No hourly bills, no surprise invoices, no setup fee.
Book a call- Monthly bookkeeping
Every transaction sorted into categories set up for knife shops. You never categorize a thing.
- An accountant checks every transaction
Real review, every month, before your books close. Not a spot check.
- Your business tax return, filed
Prepared, reviewed, and signed by that same accountant every year.
- The monthly number
What you made, what you spent, what to set aside for taxes.
- Your own bookkeeper
A real person assigned to your business, in the app whenever you need them. No hold music.
- On your books all year
Every month, not just in April. Your team speaks up whenever something is worth your attention.
- Cancel any time
No contract. No cancellation call. Your books are yours.
Straight answers
Questions knife shop owners ask first.
Can Gus handle consignment from local bladesmiths?
Yes. He splits each sale into your revenue and the bladesmith's payout as it happens, so your numbers stay honest and their records are ready if they ask.
I sell at knife shows in other states. Does that create a tax problem?
It might create a sales tax obligation in that state. Gus tracks show sales by location so the accountant can confirm exactly what, if anything, applies to you.
Does my sharpening counter need to be tracked differently from knife sales?
Yes, and Gus does it for you. Service income stays in its own line so you can see what sharpening is really worth alongside retail sales.
I offer engraving on gift knives. Does that change how they're tracked?
Yes. Engraving costs are kept in their own line, matched to the specific knife, since these items usually cannot be returned once personalized.
My books are behind after a busy show season. Can you catch up?
Send what you have. Gus sorts through counter sales, consignment, and show income, and most owners know where they stand within a week.
Is a real accountant checking my books?
Yes. You get your own bookkeeper, Gus does the first pass on every transaction, and an accountant checks every one before your month closes. That same accountant prepares, signs, and files your business return. Goatkeeper is not a CPA firm, and we never pretend a person looked when they did not.
What does it cost, and can I cancel?
It starts at $197 a month, depending on what your business needs. No setup fee, no hourly bills, no contract. Cancel any time from the app, and your books go with you.
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What makes a bookkeeper worth paying for Every business we keep books for
Book a call
Pick a time. That's the whole signup.
Fifteen minutes with a real person on our team. They look at where your books are, tell you straight what it takes to get caught up, and get you set up on the spot if it fits.
- $197 a month to start
- An accountant on every transaction
- Cancel whenever