Five BASIC ACCOUNTING TIPS FOR SMALL BUSINESS OWNERS.

As an entrepreneur or a small business owners , a lot of attention required to ensure your accounting records are upto date and cash-flow dashboard are in place . Incase you own an independent venture, the whole obligation to maintain business records lies completely on you. In such cases where you are responsible for success of a business, accurate and upto date bookkeeping ,is one of the key thing which you have to deal with. Given ahead are essential tips that may help you .

Barely any Accounting Tips to Enhance the Business Growth

Get your Budget Well Planned:

Budget is a significant piece of any business but on the other hand it’s more important on how well you follow it. One of the common reason where early stage business owners suffers is not spending enough time in preparing budget based on their business plan. Budget planning and tracking it with actual numbers is the key to avoid falling into cash-flow traps .

Getting Payments on Time:

At the early stage of business where you may not have enough cash to rotate or reinvest , it’s must you focus on collecting payment timely from the customers . Use calendar to set reminders on invoice collection due dates and follow practice of sending gentle reminders to your customers . Call/Escalate wherever required .

Look after Records:

Be it simple when it comes to maintain records. Many times you try creating a structure to maintain records which you yourself may not be able to follow due to other day to day business affairs . For eg, use a diary and just note down every single transaction you make or use single excel file as daily log book for all your transactions ,upload all bills in only one folder rather than creating so many sub folders.

Do not mix personal accounts :

It’s a common mistake of using personal accounts for business transactions . Initially you may not realize however if you carry such practice , it’s likely that you may be incurring some cost out of your budget planning and you may not be even claiming as business expenses . Best ways it to keep personal accounts complete separate and not to mix with business accounts.

Learning basics of Accounting Software:

As we all are in the digital world where access to learning anything is a one click away , it’s important that whether you as business owner directly use accounting software or not, you will find great advantage in learning some basic features of how to use it. Feel free to reach out us at [email protected] in case any assistance required and will be happy to help

About the Author: Suresh Vankar

Leave a Reply

Your email address will not be published. Required fields are marked *