HOW TO STAY ON
TOP OF YOUR
BUSINESS FINANCES
11 Proven Ways!
Do you find finances a very painful
task in your business?
If Yes
Though it may appear to be
time-consuming and tedious, yet it is imperative
to keep your business finances organized.
Accurate finance reporting help you
understand the financial position of
your company and where it is heading,
allowing you to be prepared for all the
challenges and opportunities that
comes your way.
More so, when your reporting is
accurate, the tax filing stress
becomes diminished.
So let’s take a look
at all the essential
steps that you can
consider for keeping
your finances
organized.
Keep Business & Personal
Account Separate
All the experts suggest that businesses
should keep their business account and
personal account separate. This actually
saves you time as well as make it easy to
keep track of expenses.
Also, during tax season having separate
accounts will make the process of
differentiating expenses simpler.
01
Get your Finances and
Paperwork in Order
02
Well organized paperwork helps
you in monitoring your finances,
future
revenue,
and
expenses,
enabling you to make better
decision for your business.
This will also help you mitigate
certain risks evolving around your
business.
Update & Review
your Books Regularly
03
Keep your profit & loss reports updated
every month to analyze business trends in
the market. Make sure everything is
correctly categorized in your accounting
process.
By maintaining balance between your
accounts payable and receivable, you can
avoid countless future finance conflicts.
Prioritize Invoices
Managing invoices is complex, yet crucial for
business growth. So don’t procrastinate
invoices processing work on to next day.
Thoroughly go through invoices every day by
sparing an hour for invoice management.
This will help you stay consistent in terms of
getting paid and paying your vendors faster.
04
Check Business Health
Regularly for Crucial
Insights
05
Accurate & regular analysis of cash flow
will help you to manage finances
consistently.
This will enable you to avoid monthend expense surprises & enhance the
transparency of the accounting process.
Use the
Right Software
06
With the growing age of digitization in
the business world everything has
become easier. Enjoy the benefits of
advanced technology that help to
streamline your accounting tasks
more efficiently.
For simplifying your accounting or
payroll process you can adopt popular
software like Xero, QuickBooks,
NetSuite, Sage, etc. But, it is important
to research well before investing in any
accounting software.
Keeping Up with
Taxes
Laws relating to taxes keep on changing on
a regular basis.
That’s the reason consulting an accounting
can help you greatly as they can keep you upto-date and make you understand how such
changes can affect your business.
Ask them when you should file and pay
taxes and lock that dates in your daily
schedule.
07
Update Payrolls
08
Managing payroll system accurately &
efficiently is also one of the major
bookkeeping challenges for businesses.
Employees
will
not
perform
with
enthusiasm if they’re not paid on time.
To avoid such kind of issues, update &
maintain your payroll process wisely.
Reconcile & Close
Your Books
Reconciliation process makes sure your
records matches bank account
statements. Maintaining timely, accurate
financial statements each month could
give you a better understanding of your
business’s financial condition.
By closing your books accurately you can
deal with tax complexities as well.
09
Outsource what can be
Outsourced
10
Most of the business owners don’t
have enough time to manage their
financial tasks. If managing your own
finances has become difficult, it's
time to hire qualified outsourcing
company.
However, hiring professionals costs
you money, but it enables you to
concentrate on what you do best
and is likely to save you money in the
long run.
11
Prepare Financial
Reports
Profit &loss statements
Prepare & carefully review final
report that consists of several
subtopics as it describes the
company's financial health or
weakness.
This report includes the following
major section.
Accounts payable
report
Accounts receivable
reports
Cash flow statements
Conclusion
Managing business finances is not a
cake walk, however, you can keep track
of everything by outsourcing your
accounting, bookkeeping and tax
preparation to Cogneesol today.
www.cogneesol.com
+1 646 688 2821
info@cogneesol.com
30 Wall street, 8th floor,
New York, USA
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