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Easy-To-Do Bookkeeping Tips for Small Business Owners

By  Acton Accounting |   | Posted in " Accountants, accounting services, bookkeepers, bookkeeping services, corporate tax, December 2013, personal tax, Tax & Benefits, Tax accountants, tax filing, tax return preparation, tax services "

Doing a bookkeeping task may not be the most exciting role that you do in your business, but it is one of the many important components that makes your business successful. Whether you hire someone else to do it for you or you do it on your own, the Canada Business Network highly recommends that bookkeeping needs to be regularly maintained and monitored.

If you decide to do bookkeeping on your own, here are some quick and easy bookkeeping tips for your small business recommended by professional bookkeepers in Vancouver.

  • Always plan for major expenses in the future. If you have major plans in the future that need a big amount of money, then put them in your calendar. For instance, if you plan to upgrade all your business’ computers and purchase some security video surveillance, you should allocate budget for these. This way, you will be less likely to scramble for a loan for the amount that you need.
  • Track your business expenses regularly. Tracking your expenses can be done monthly. You should jot down business trips, your transportation expenses, and lunch and coffee meetings with your associates and any other events in your daily planner. Do not forget to keep the receipts. But, if you are not confident that you can do this, you can always use a credit card solely for your business. This will mean fewer chances of spending your cash and of losing some receipts. Furthermore, it will also be convenient for you because most credit card statements for business categorize your expenses, says professional accountants in Vancouver.
  • Record your deposits in a correct way. Business owners generally make a variety of deposits into their bank account throughout the year. Their range of deposits may include the loans they have made from other banks, the revenue from their sales and cash infusions from their personal savings. The trouble that you can do about this, is that you can possibly make a mistake of recording some deposits as your income! Can you imagine how high your tax is? Your ultimate solution for this is to separate your personal accounts from your business accounts. Then, make sure that you record your deposits on your own and not just rely on your bank records.
  • Monitor your invoices. Late and unpaid necessary bills can damage your cashflow. As a general rule, you should always have someone to keep eyes on your invoices. If your payables will not be paid on deadlines, these may incur some interest which can really hurt your cashflow. Paying an extra amount of money because of delayed payment for payables might cause you to lose your profit that will lead your business to bankruptcy.

For your peace of mind regarding your financial records, you can always call for a professional help from excellent and trusted providers of accounting services in Vancouver. Letting professional accountants take care of your finances will keep you more focused on finding potential ways to make your business grow.

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