One of the benefits of hiring an accounting/bookkeeping expert is the ability to meet with them after month-end close, to have them explain your financial statements to you and to help draw your attention to important aspects of the financial data. A monthly financial review meeting is a good starting point to ensuring your business is staying on track. Here is what we recommend you review:
The relationship you have with your accountant shouldn't be one-sided. Yes, it's important for you to have collected all the necessary documents in a timely fashion so your accountant can prepare your taxes properly. In a previous blog, I identified the items you should collect and prepare. I also have a video with tips to help! But what about your accountant? What can you expect from their side of the relationship?
This week, another one of our clients fell victim to Social Engineering. An employee received an email to make a change in another employee’s payroll deposit bank account that went undetected for two months. The business owner had a clearly written policy to never accept written instructions for changes in bank account information. Yet the employee made the change. Our client spent hours filing claims, lost sleep from the horror and frustration of the situation, and spent thousands of dollars to make her employee whole. It’s time to educate yourself on Social Engineering so this doesn’t happen to you.
Regularly, we receive requests to have books “investor ready” and we can help you, too. What exactly does investor ready mean? When you're seeking investment in your company, you need to be prepared to answer any and all questions that potential investors might have. You are going to want to share your vision, mission, and strategic plan and you need to present a clean set of financial statements. Here are a few tips on getting your company and financials ready for investors.
In short, yes. It is recommended that small businesses reconcile their accounts at least monthly, although some small businesses reconcile daily for cash flow reasons. This step-by-step video shows how to reconcile your bank account using QuickBooks.
The process of comparing your balance (known as the book balance) to the bank’s records (bank balance) is important for the following reasons:
Bookkeepers are an integral part of your financial process. They do the heaving lifting to keep your financial information up to date and correct.
It can be confusing for small business owners to determine what professional service is needed. Typically, more than one service is necessary. Below are the differences in professional services available for you to determine which ones are best for your business.
It is crucial to for business owners to enter all of their transactions into their accounting system. The process of reconciling is important to ensure you have enough cash available to cover costs and are able to fund continued growth. However, business owners often determine their cash balance by checking what the bank shows online in the accounts at a point in time. However, you cannot accurately forecast cash flow unless you match and verify activity in the bank statement to QuickBooks or whichever accounting system you use.
One of the most exciting things a small business owner will do is hire their first employee. Though it make take some time to find the right person, after you're through the interview and references check process, and you're ready to say, "You're hired!", there are a few things you need to plan for on your end. We have some tips to help you get started.
The last months of the year is a busy time for most businesses. Not just with the approaching holiday season, but preparing for year end as well. To help you get to the finish line, here are some things you can do now to make the end of the year easier.