How to Manage Short-term Rental Finances Using Baselane Banking

The following is a sponsored post by Baselane, the next-generation financial operating system and banking platform for independent landlords.

Hey there! Are you an Airbnb, VRBO host, or property manager trying to stay afloat amidst a sea of tools and accounts for managing finances and properties? Say hello to Baselane, a banking and accounting platform tailored for short-term rental and Airbnb hosts and managers. We’ve heard your concerns, and Baselane is here to simplify your short-term rental finances.

Baselane has a single aim: to revolutionize the financial management process for folks like you and me – the real estate investors, hosts, and property managers. With a holistic suite of banking services and tools, including a business checking account designed explicitly for hosts, Baselane is your one-stop solution to help you manage short-term rental finances. 

What you’ll learn:

• Baselane is a banking and accounting platform tailored for short-term rental and Airbnb hosts, aiming to simplify income and expense management.
• Hosts often struggle with disorganized finances, including mixing personal and rental income, inefficient bookkeeping, and tax complications.
• Baselane features include a specialized business checking account, virtual accounts for each rental property, and virtual debit cards for easy payment to vendors.
• The platform enables autopay for utilities, one-click categorization of income and expenses, and easy generation of tax reports.
• Baselane also offers educational webinars and property loan insurance to support hosts in financial management.

Challenges with Short-term Rental Property Finances

Short-term rental hosts and property managers often grapple with the intricacies of managing and streamlining their rental finances. Juggling multiple properties, handling varied income streams from platforms like Airbnb and VRBO, and managing property-related expenses can easily lead to disorganization. Moreover, hosts can only track essential details with specialized tools, resulting in potential revenue losses and tax complications. 

Without a single platform to manage your rental property finances on Airbnb or VRBO, it can lead to an unclear picture of your finances, loss of income, overspending, countless hours of busy work, and ultimately poor decision-making based on no and poor data.

Common Challenges & Mistakes with Airbnb and VRBO finances:

• No Business Banking account: Mixing personal and rental income, making it difficult to analyze profitability.
• Multiple Accounts and Tools: Managing earnings from various properties spread across 10+ tools and platforms, leading to confusion and wasted time.
• Inefficient Bookkeeping: Manual tracking of income and expenses using Excel or other tools is time-consuming and error-prone.
• Lack of Automation: Failure to automate bookkeeping and recurring payments leads to wasted time, missed payments, and potential penalties.
• Overlooking Minor Expenses: Not accounting for small, frequent expenses over time.
• Inadequate Financial Analysis: Not utilizing data to make informed decisions about pricing, maintenance, or property upgrades
• Tax Oversights: Not keeping track of all deductible expenses, resulting in overpaying taxes.

How Baselane Streamlines Your Short-term Rental Finances

What makes Baselane stand out? We’re glad you asked! With Baselane, you get the power to create virtual accounts and virtual debit cards. Imagine tracking the revenue, expenses, and profits for each of your Airbnb or VRBO units, all in one place. 

And it doesn’t stop there – our virtual debit cards streamline the payment process for your property managers or vendors. Say goodbye to bookkeeping nightmares!

Register for a Free Webinar about How to Manage Short-term Rental Property Finances using Baselane Banking

Organize Your Short-term Rental Finances with Baselane

So, how can Baselane help you organize your short-term rental finances? Imagine having a single, customer-centric platform that takes care of all your unique financial needs, freeing you up to focus on what you do best – providing a fantastic experience for your guests. With Baselane’s simplified bookkeeping, virtual accounts, and many more perks, managing your property portfolios has never been easier.

Top Ten Ways to Use Baselane To Manage Short-term Rental Finances for Your Airbnb or VRBO Properties

1. Open a free Baselane banking account (business checking account) tailor-made for short-term rental owners and Airbnb hosts.
2. Connect Baselane Bank to Airbnb or VRBO – Log in to your short-term rental platform and set up Baselane as the primary banking account to send all your Airbnb earnings.
3. Connect External Accounts – If you have credit cards and other bank accounts, connect those to Baselane to track all expenses on one platform.
4. Set up Virtual Accounts – Set up one virtual account per Airbnb or short-term rental. You can also set up an expense account, a profit account, and even a maintenance and capex reserve account. 
5. Open Virtual Cards – Open one virtual card per property, configure the rules so it’s mapped to the property it belongs, and determine the expense (e.g., supplies). You can also share this with your property manager or handyperson.
6. Set up Mortgage or Utility Payments – Using Baselane Banking information, set up autopay for your mortgage and utilities payments. 
7. Pay Vendors with our free 3rd Party ACH & Wires –
   1. Add the account details
   2. Tag your expenses and property while initiating transfers for quick and efficient bookkeeping. 
8. Tag Income and Expenses – Each week, as you have activity in your account, use our 1-click categorization to track your Airbnb or VRBO income and expenses. Be sure to upload receipts and tag them to the appropriate expenses.
   1. e.g., Classify earnings as “Rent”
   2. e.g., Classify cleaning fees as “Cleaning Fees”
9. Analyze Performance – At least a few times a month, log in to Baselane to see how you’re forming. Navigate to the Cash Flow Analytics section or the Financial Statements section.
10. Tax Reports – At the end of the tax year, generate the Tax package and send it to your CPA for tax filings. 

Make sure to have fun along the way as you see your bank balance grow!

But wait, Baselane isn’t just another banking solution. We take customer satisfaction seriously. To ensure you have a smooth onboarding experience, we offer webinars, customer success support, and a wealth of educational resources. And did we mention it? We also provide both long-term and short-term rental property loan insurance.

Register for a Free Webinar about How to Manage Short-term Rental Property Finances using Baselane Banking

In conclusion, Baselane is all set to transform how hosts and property managers like you handle short-term rental finances. If you want to take the hassle out of your financial management, consider signing up for Baselane today. Let us help you manage your rental finances so you can focus on delivering unforgettable experiences for your guests.