Whenever you make a sale or purchase, the amount of money your business has will change. Keeping track of your business’s financial transactions is key to your business’s future. Luckily, those sales and purchases create documents such as invoices and receipts. Bookkeeping tracks your finances through the documentation that your business creates on a day-to-day […]
Read More What Is Bookkeeping? The Truth Is in the Numbers
One of your first choices as a business owner is your accounting method. Before making a decision, take some time to compare the cash-basis vs. accrual basis methods of accounting. Having to switch from cash-basis to accrual-basis after the fact can be difficult. The way you keep your books affects many aspects of your business, […]
Read More What Is Cash-basis Accounting?
Worried that your company is going under? If you’re struggling with large amounts of business debts, it might be time to consider your small business bankruptcy options.
Read More Making Heads and Tails of Small Business Bankruptcy
If you have a business bank account, you should regularly receive a paper or electronic statement. These business bank statements provide valuable information for managing your business finances.
Read More How to Use Business Bank Statements [+ Example]
Your books say one thing, but your bank statement says another. Sigh (why isn’t anything ever easy?!). But don’t stress. Bank statement reconciliation is here to help.
Read More Bank Statement Reconciliation: Let’s Get Reconciling
When it comes to running a business, you can’t ignore your finances. To help you keep your finances in order and organized, you can look at financial statements, like your balance sheet. But, what is a balance sheet exactly? Let us give you the rundown on the balance sheet definition, the components of the financial […]
Read More What Is a Balance Sheet?
Extending credit to customers is a great way to encourage impromptu purchases, boost sales, and increase profits. But sometimes, customers don’t pay you, resulting in a bad debt. What is bad debt?
Read More Grasping Bad Debt: Insights Into Its Impact and Management Strategies
When you pay an independent contractor, you don’t withhold taxes from their wages … or do you? In some cases, contractor wages are subject to backup withholding. So, what is backup withholding, and when do you need to do it?
Read More Back it Up … What Is Backup Withholding, and Are My Contractors Subject to it?
As a business owner, you’re responsible for recording your company’s transactions. And to support your entries, you should be keeping adequate documentation. This accounting documentation acts as an audit trail for your business. Read on to learn what is an audit trail and why it is essential for your small business.
Read More What Is an Audit Trail, and How Does It Impact Your Business?
Audit. Do you panic when you hear that five-letter word? You might think an audit is the last thing your business needs, but they aren’t always bad. Regular audits can be more like a routine maintenance check than an invitation for IRS penalties. Learn what an audit is, what types of audits there are, how […]
Read More What Is an Audit?