Continue reading "Learning more about business cash controls"
Maintaining your company's cash flow is one of the most important things you can do for your business. Having a strong cash flow and keeping your business out of the red is vital to the existence of your business. What is your cash flow and how does it impact your business? Cash flow is lifeblood of your organization. You rely on it to pay your bills along with providing your employees with payments. Cash flow is a very important aspect of your business and if you lose control over it, you will lose your business.
Are you struggling with your business and down sales? When your business seems to be in a slump, what can you do to get out of it? It's inevitable that your business will have a lot of great times but it's also going to have a lot of down times as well and you must learn how to deal with uncontrollable circumstances like this in order to give your business a chance at success. Here are some things you need to consider trying if you do have a business that is struggling:Continue reading "Great ways to work through a slump"
Do you have business costs that seem to be sky rocking out of control? When you business expenses continue to go higher and higher what can you do about it? There are several things you should try in order to finally gain control over your business expenses and to give your business a chance to succeed. Here are some of the different things you should consider trying:Continue reading "Effective ways to finally cut business costs"
When it comes to running a business do you know how to calculate your earnings? Are you paying too much for your investments? Many times investors do not properly understand the earnings ratio and they end up paying a very high amount. The earnings ratio is basically applied through the stock exchange. When a business is listed in the stock exchange it is required to provide a per-share earnings. This will show investors what the profit is for the business and it allows you to see what type of earnings you will receive from your investment.Continue reading "Are you paying too much for your earnings?"
If you are small business owner you may find a large part of your time, taken up with finding financing, for you business. Small businesses are especially needy when it comes to startup capital. The tradition path that is used by many small business owners is referred to as debt financing. This is when the company takes on financing in the form of a bank or private loan. However, many business owners understand the dangers of taking on to much debt, early in the business cycle and want to avoid it. Therefore they begin considering equity financing.Continue reading "How to know if equity financing is right for your business"
One of the events that are most dreaded by small business owners, is the payment of taxes. Business owners find that they are constantly up against paying some form of taxes. This can include: payroll taxes or business profit taxes. Because of the significant expense of taxes, business tax expenses really need to be managed to insure that you are not paying more than you have to. One of the major ways to help minimize business tax expenses is to make sure that tax reports are filled out correctly, and that they are filed on time. This strategy will help you to reduce business tax expense, by reducing the chances that you will be fined for filing late, or for making a mistake that leads to an overpayment, or an underpayment. To help insure that all tax reports are filed on time, and that they are correctly filled out, it can be helpful to do the following:
Starting a small business is a lot of fun and very stressful. Acquiring the funding for your business can be a struggle and running the books of your business can be an even greater struggle. If you are trying to acquire funding for your business, you must start by calculating your business needs. Here are the tips you need to follow in order to calculate your business needs.Continue reading "Calculating business needs"
A business finance consultant can help you and your business in many ways if you are willing to take their advice and implement it. A consultant will help you look objectively at the strengths and weaknesses of your business and could provide the one piece of advice that will really help things take off for you. They will help you analyze every aspect of your business finances and help determine where too much is being dedicated. A good business finance consultant also understand that you need to spend money if you want to make money and they can provide you with some suggestions for areas where you may be underfinanced or not dedicating enough money to initiate the growth you want.
Creating a budget for your business can present some challenges. It is not always clear what you should do. Fortunately there are some guidelines that you can follow that will make creating your small business budget more manageable and more accurate. Here are some suggestions:
Living on a fixed income can be a tough thing to do, especially in the current economy. Here are a few tips to help a person or family live on a fixed income.
Have a budget
One of the most important things for a person to do when they have to live on a fixed income is to have a budget. A budget can help a person control and keep track of their spending each week, month, and year. This is always an important thing to do in personal finance, but it is especially important when a person, or family, has to live on a fixed income.
Getting out of debt is a process; it cannot happen right away. But making the plan to get out of debt and acting on that plan can and should happen right now. This article discusses tips to help a person make and stick with their plan to get them out of debt now.
We all know what it takes to be physically fit, but what about fiscally fit? Being smart about your money, and financially healthy takes practice, and a regimen just like physical fitness. The following are some tips for improving your fiscal fitness:
A budget is a great idea, and will help you keep better control over your money, however, not every day, week, or month of your life is going to be the same, so a basic monthly budget may be difficult to stick to. So, the following are some great tips for how to create a yearly budget.
Overhead expenses are the costs that business incurs on a day-to-day basis. Overhead expenses are things like your utility bill, telephone bills, rent, taxes, and other operating expenses. Any business that is looking to increase profitability must assess their overhead expenses and make cuts.
The nature of expenses is essential when it comes to reducing expenses. Far too often business owners focus on reducing expenses but they do not properly analyze how come expenses will impact all the different aspects of the company. Here are some easy ways to reduce expenses without hurting your business:
In lean times, one thing that businesses need to do is cut down their costs of running a business. The lower the cost to run a business the higher profits you can make. Lowering your operating costs can also be the difference between your business surviving through a recession or going bankrupt because of the recession.Continue reading "Cutting costs of your business"
Most small business owners will find that their business expenses outweigh their income 3 to 1 and this causes half of them to close their doors within the first 12 months. To avoid losing your business, try cutting some of these business expenses:
One of the best ways to manage your business's finances is to create a cash flow forecast. The reason for this is that a cash flow forecast is going to show you where your business's money is going and how much money your business is earning. Cash flow forecasts are also going to be needed if you plan to get finance for your business.
Here are the steps you will need to take to create a cash flow forecast.Continue reading "How to create a cash flow forecast"
Expense reports are just part of business life for many people. Common business write-offs include taxi fare, business lunches or meetings, hotels, travel expenses, and any other expenses incurred for job purposes.Continue reading "What you need to know about expense reports"
When it comes to stocking your business with the necessary equipment, whether it is a bunch of computers or a few bulldozers, it is important that you consider the pros and cons of both leasing and purchasing business equipment. While this discusses heavy equipment, the same considerations should be made by those who are involved in white collar jobs.
The topic for this article is whether heavy equipment rental is better than leasing heavy equipment. So your business is in need of some heavy equipment. This equipment could be something like a bulldozer, a crane, an excavator, a loader, a soil compactor, an application machine, a smooth roller, a fork lift, a man lift, and more. It depends on whether or not you're doing something that involves dirt moving, something that involves asphalt, something that involves material handling. Maybe you're a construction company, maybe you're building homes or businesses, maybe you're just in need of that heavy equipment. Whatever you need it for, you need equipment that is in good condition, equipment that can get the job done without any hassles for repairs or anything like that, and equipment that you can get at the cheapest price possible.
Accountants have been around for centuries and have provided us with a number of different services. Mistakenly though, it is believed that accountants simply provide tax return preparation services so why is it so important to have a great accountant? Can't most individuals do their taxes themselves? What most people don't know is that accountants provide much more than just tax return preparation. A great accountant can save you money in many different ways.
What does an Accountant do?
An accountant is a licensed professional who has gone through some pretty grueling education to become a certified public accountant. Accountants are extremely versed in the tax code, finances and tax issues. The stereotypical view of an accountant involves someone dropping off their receipts about a month before tax returns are due, and the accountant doing the best he or she can to prepare them. If this is the only way you are using your accountant then you are wasting your money and their time and skills. Accountants are experts in the tax code, so you should use this to your advantage. Accountants are aware of all aspects of your financial life and can help you plan, invest, and save your money. An accountant can help you plan for the future so there is a future. An accountant puts together your tax strategies to save you money this year, the next year, and throughout your entire life. That's what an accountant does.
Business trips are beneficial for everyone. The employer is able to send employees to trainings, to do research, look over product production in another country, or to discuss partnering strategies with other companies. The employee is able to travel on the employer's dime, sometimes visiting far away countries or unique cultures. But how should each account for the expenses of a business trip.
How a Business Accounts for a Business Trip
Many businesses that expect to send employees away on business will set aside money each year in a travel budget. Most of the time there is an account set aside especially for business travel expenses.Continue reading "How to account for expenses on business trips (How does the business account, or the employee?)"
Expense reports are just part of business life for many people. Common business write-offs include taxi fare, business lunches or meetings, hotels, travel expenses, and any other expenses incurred for job purposes.
However, nowadays expense report padding is something all businesses need to be on the lookout for. This occurs when employees fudge the numbers on their reports in order to be reimbursed for more money. Expense report fraud is also on the rise, and makes up 12% of all corporate fraud cases.
Expense reports are a common part of business finance, particularly in areas such as sales or any time someone in the company travels. Expense reports are those expenses that employees make and are reimbursed for, or record to show their boss what they have spent company money on for business-related purposes. The most common business write-offs include taxi fare, business lunches or meetings, hotels, travel expenses, and any other expenses incurred for job purposes.
One of the responsibilities of a manager is to read and approve the expense reports of his or her employees. This helps to make sure employees aren't going over allotted amounts for certain things such as food or travel (if companies have limits in place), get an idea of where money is being spent, and to spot any erroneous or unauthorized purchases made with company money.Continue reading "How to read an expense report"
Continue reading "Best systems for sorting expenditures"
The life of a business can be a roller coaster. There are ups and downs in everything, and sometimes they can be good for your business. Other times they can hurt your business. This is especially true of the many expenses of business. Some of them are necessary. Others aren't. And those that aren't necessary can severely impact your business. But the key is to not let unnecessary expenditures happen in the first place. One of the very best ways to prevent this from happening is by getting a great system to sort your expenditures. Keep reading and learn some tips on how not to let unnecessary costs ruin your business. Prevent it from happening by getting a great sorting system!
Every business wants to increase their profits and many people think that the best way to increase your profits is to increase your sales. But there is a small problem with that. If you do increase your sales you are going to increase the costs of running a business because of the increase in the amount of work that is now having to be done. So that leaves with you with one other option, you must lower your costs in order to increase your profit. But rather than looking to lower your variable costs you should take a look at minimizing your overhead expenses.
Difficulty rating: Moderate to difficult
There are different ways that a company handles sunk costs. Depending on what type of company you are will depend on what sunk costs you will have. If you are looking for ways to ignore sunk costs, here are some tips.
The first tip for ignoring sunk costs is to involve you emotionally is to get advice from some one that is not emotionally invested. The best way to do this is to get an outside advisor. An outside advisor can give you the best advice on investments that have sunk.
There are a lot of different ways that companies do their accounting. Some companies might put sunk costs into their books, while other companies might put incremental costs, and others might put irrelevant costs into their books, while others might put all of them. Here is a comparison of sunk, irrelevant, and incremental costs.
The first thing is what are sunk costs? A sunk cost is a cost that has been put into something that ends up not doing what you need it to do and you find something that can replace it for less then what you are going to be into the other thing as far as time and money goes. For example if some one has a program they are working on for their company and it has cost them $2000 this far and they are still trying to get all the bugs out and get it running faster, but then they find a program that they can buy for $2000 and it does everything they need it to do. The company will consider the program they were working on a sunk cost and leave it at that. It is cost that is lost because they found something that they could use without having to put any more money into it.
How can you and your business decrease spending using frequent flyer miles?
What are frequent flyer miles? Frequent flyer miles are points used as an incentive. For each mile you travel on a plane, you will receive one frequent flyer mile. By accumulating miles, when you have enough, you will be able to redeem your miles for a free trip. If you don't want to use your miles for airfare, you will be able to use them for something else. Traveling by airplane is not the only way to accrue frequent flyer miles. You can also use credit card spending to accumulate miles. In general, for every dollar you spend with a credit card, you will receive one mile. In some cases, you will receive one mile for every two dollars spent, if your spending exceeds a certain amount for that month. By combining miles from airline travel and credit card spending, you have a powerful way to save money. Do your research and figure out which card will best meet your needs.Continue reading "Using your frequent flyer miles to decrease spending"
If you are audited, you need to know how you can prove your tax claims of business expense write offs. Here are guidelines on how you can prepare for your audit and how you can prove the claims that you made on your tax forms. The best way is to keep documentation of all expenses together in an easily accessed folder, and as you have the expense document it and why it is a business expense.
1. Be prepared before you even hear about an audit
The best way to prove your tax claims of expense write offs is to be prepared to prove the legitimacy of your claims through proper and extensive documentation. Keep precise and complete records of all business expenses. Don't overlook the smallest expense that you make because you will need to back it up eventually. Keep copies of all invoices, all receipts, all contracts, every credit card statement, every check that is written, and every order that is made.