-Understanding the Myth of Profits.
As a Business Owner, Have you ever wondered why you cannot seem to get hold of your profit? Most Business Owners ask the question....." I see that I made a Net Profit of $XXX, but where is it? ".We have been looking at the topic of profit making, and this topic is a great mystery in Businesses.
We agree that making Profit is a good thing and a negative profit (Loss) is not a good one; however, the mind game begins when there is profit, but no money in the Checking account.
Setting up the Right Accounting System for your Business.
Business needs a good Business Accounting System to increase their
Business' chance for success. When Starting a Business, the first focus should
be on building systems and processes, that allow us to accurately capture
as much data as possible, from the setup process; It is important to remember
that this process helps us to learn about our businesses and enhances our
decision making, as well as giving us a better idea, of what is going on in our
the eighth month of the Year, We are gradually getting to the end of the year,
and soon it will be time for Year End Reports. In our last Newsletter, We
discussed the concept of Cash Flow and how it affects our Business Operations;
this month, we will be looking at tips to manage our Business Cash Flow.
Being in Business for yourself is like being an Air traffic controller,
especially in the area of cash flow management ; You can imagine trying to
control 100 Airplanes landing simultaneously on two runways; this can be
an upheaval task, but we regularly see clients line up their monthly bills,
their projected income, business projects and business expenses and try to
combine all these activities, at the same time, trying to ensure a
steady cash flow into the business; you can imagine, the projected
outcome, if all these activities are not properly coordinated.
Welcome to the
month of July. We are done with the first half of the year and started the countdown to the remaining half of the year.
Our Newsletter for
this month is on an integral part of every business; an area that is generally
misunderstood by most business owners, but interestingly plays an important
role in every organization. Have you taken time to look at your Cash flow
Statement? Can you tell where Funds are disbursed in your Business? Do you
understand the effect of your Spendings?
Wow, Where did the month go? First it was HAPPY NEW YEAR, and now it's almost the end of January 2014.Now,that the Holiday Season is far behind us, the month of January provides a welcome breather for busy schedules, but hold on, before you spend all your free time sprawling on your sofa, it's time to take a jump start on filing your taxes.
This is the time to gather your W2s, 1099s, Other Earned Income Statements, Contribution Statements, Receipts, Bank Statements and other important documentation, so even though the IRS states that Tax Filing will begin on January 31st 2014, because it needs extra time to ensure that the systems are in place and working properly, We still need to get ready and prepare ourselves.
It is important for every business owner to have an effective accounting system in place, so that they can increase their efficiency and manage their finances effectively. When a client comes to us in need of Bookkeeping /Accounting Services, it is noticed that most of the time,many of the business owners do not have an accounting system in place and this puts their businesses and finance in a great mess.
An accounting System is the basis of a good business and goes a long way, in showing how the business can handle its profits,manage its expenses, handle its payroll and invariably increase its net worth.