If you’re a small business owner, you know how important it is to keep your financial information in order. But to keep your finances organized, you have to know about the four basic financial statements and how you can use them to grow your small business.
Do you ever pay for business goods and services before you use them? If so, these types of purchases require special attention in your books. You need to create a prepaid expenses journal entry. Continue reading “How to Create a Prepaid Expenses Journal Entry”
Your business’s financial statements give you a snapshot of the financial health of your company. Without them, you wouldn’t be able to monitor your revenue, project your future finances, or keep your business on track for success.
Now, you can’t go off creating your different financial statements all willy nilly. Like many things in business, you have to follow an order.
Read on to learn the order of financial statements and which financial statement is prepared first.
Unless you want IRS penalties and audits, you know you have to do it. Without it, you wouldn’t know your business’s financial health. Your business decisions would be shots in the dark. We’re talking about accounting, of course. Continue reading “Why Is Accounting Important in Business?”
Even though you aren’t a professional accountant, you’re still responsible for keeping your business’s books in order. And if you’re the one handling your small business books, you need to follow ethics in accounting.
Read on to learn about the importance of ethics in accounting and consequences your business may be subject to if you use unethical accounting practices.
Economic nexus has taken the nation by storm. With the majority of states establishing economic nexus laws (43 states to be exact), it can be hard to keep up with all of the rules and changes.
Regardless of if you have in-person or online sales, you need to know whether the state you’re selling in has rules for economic nexus. Keep reading to learn about economic nexus laws by state and how the rules can impact your small business.
Your business is unique. It’s one of a kind. Without you, it would cease to exist. But wait, why’s your business’s name on an email you didn’t write? Why are customers upset with something “you” said that you didn’t say? Unfortunately, there are only three words to describe these two scenarios: Business identity theft. Continue reading “Business Identity Theft: Fighting it Off and Fighting Back When it Strikes”
As a business owner, you’re going to run into a few accounting mistakes from time to time. Some of the biggest blunders you can make involve your business balance sheet. If you want to avoid balance sheet problems, learn about the most common errors you can make on your balance sheet and how to avoid them.
For many businesses, the hustle and bustle of holiday shopping has come to a close. You’ve probably noticed a decrease in customer sales and an increase in returns and exchanges. But fear not. This just means that it’s time to give your post-holiday sales some love. Continue reading “7 Tips for Giving Your Post-holiday Sales a Boost”
When you start your business venture, you choose what type of business structure you want your company to be. Maybe you chose to be a sole proprietor and handle business on your own. Or, maybe you decided to structure your business as a corporation.
But, what happens if you’re not too keen on the structure you selected? Well, if you went the C Corp, single-member LLC, or multi-member LLC route, you can change the way your business is taxed using IRS Form 2553. So, what is Form 2553?