Small Business Accounting

Understanding the Cash Flow Statement The Cash Flow Statement (aka- The Statement of Cash Flows) is a business’s financial statement that summarizes the amount of cash and equivalents entering and leaving the company. It is a measure of how well the company generates cash to pay its obligations and fund its operating expenses.   For investors … Read more

HOW TO READ & UNDERSTAND A BALANCE SHEET In the last article, we discussed the P&L statement which shows the comparison between income and expense and the balance resulting in gross profit. The second financial statement we are going to look at is the balance sheet. WHAT IS A BALANCE SHEET? A balance sheet is … Read more

From SBA – 10 Stats That Explain Why Business Credit is Important for Small Business Note: I am providing a reprint of an SBA article to enforce my position that every business must build and maintain there business credit. They must also keep there personal credit separate from their personal credit.  Business should be considered … Read more

Understanding Financial Statements – Income Statement (P&L)  Small business accounting requires much more than developing financial statements for review, but these statements when information is recorded correctly can show…. The financial position of a business The results of operations for a specific time period Statistical information such as the best-selling item or gross profit margin … Read more

Proper Accounting Program Will Fuel Your Business Accounting in Small Business is Fuel that keeps everything running. You have heard the old joke that “as long as my wife has checks she thinks there is money in the bank”. I know we wish that was true, what a simpler life it would be. Another way … Read more

Small Business Bookkeeping and Accounting Maintaining your business’s financial records, like the recording of expenditures and income is the basics of bookkeeping. This is the starting process of financial management that can lead to the success of your business. It helps you track where the money comes from, and where it is going. Many small … Read more

4 Reasons Why It’s Time to Hire an Accountant for Your Small Business     Image credit: Kerkez | Getty Images According to the 2019 Onpay Small Business Finance and HR Report, just 30 percent of small business owners work with accountants. That’s not surprising, given how much each dollar counts to a small company. Doing the … Read more