Fri Apr 29, 2022 | | Accounting

The Most Common Financial Issues Small Businesses Face


finance

Running a small business entails encountering financial challenges that must be addressed at some point. Often, these challenges are common and easy to overcome. However, some of these challenges are more difficult to handle. A few of the most common financial issues small businesses face are as follows: Cash Flow Because of the nature of small businesses, it is hard to predict how much cash flow a company will have at any given time. Cash flow issues are common for businesses because it is hard to expect how much money will come in at the local level. It is common for companies to have money one month but not the next. Poor Internal Controls One of the most common financial challenges small businesses face is having poor internal controls. Internal controls are essential to safeguarding a business. A small business often has to rely on the owner to run the business, so it is difficult to have an outside party assess the financial controls. This is an issue for small businesses because it is harder for them to get an outside party to verify that their financial controls are adequate. Incorrect Financial Reporting A small business often reports its financial statements in a way that is not compliant with generally accepted accounting principles. This is an issue because the financial statements are incorrect. While some small businesses do not report their financial information according to generally accepted accounting principles, they should. Inaccurate Financial Statements Small businesses often make mistakes when […]

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Mon Feb 21, 2022 | | Accounting, Business, Virtual Accounting Services

Four Reasons Why You Should Outsource Your Business Accounting Services


business accounting services

If you own a small business, finding the right company to handle your business accounting services should be a major concern. Keep in mind that tax season is not the only time you need to track your finances.

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Fri Nov 12, 2021 | | Accounting, Business, CFO Services

What Is a Fractional CFO?


fractional cfo

If your company needs top-level financial skills, try hiring a fractional CFO. This expert can increase the financial health of your small business or growing business. They also can save you money because you will not have to pay them a full-time salary, bonuses, and benefits.

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Thu Jul 29, 2021 | | Accounting, Financial Reporting

5 Reasons an Outsourced Accounting Team Can Provide Crucial Financial Insights to Your Company


financial insights

Do you own a small business? If so, hiring an accountant is a key aspect to truly understanding the financial health of your business. Historically, many businesses hired bookkeepers and accountants from several different firms, outsourcing some and keeping some in house. While hiring accountants through various firms worked for companies in the past, this method has since become an outdated, expensive, and inefficient way to keep a business’s finances in order.

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Thu Jul 8, 2021 | | Accounting, Business, CFO Services

Interim CFO Services: Proactive Business Choices


interim cfo services

A Chief Financial Officer (CFO) plays a pivotal role at companies of all sizes. From blue-chip organizations to start-ups, CFOs regulate cash flow, financial planning, and performance. This chief role combines strategy with daily management. A CFO usually works as the top controller, creating financial systems that can impact an organization’s future.

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Wed May 26, 2021 | | Accounting, Business, Small Business

Why Is A Monthly Bank Reconciliation Important?


monthly bank reconciliation

Conducting a bank reconciliation each month helps you understand your company’s cash flow, protect against overdraft fees, and guard against fraud. The bank reconciliation process is a vital part of the checks and balances (no pun intended).  The best practice is to ensure that no individual has control over all financial transactions for a business.

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Wed May 26, 2021 | | Accounting, Small Business

Understanding Your Small Business Balance Sheet


small business balance sheet

As any small business owner, you know that you must keep track of your financial data: what your company earns, what your company owes, and your company is worth  (owner’s equity or stockholders’ equity). A small business balance sheet helps you organize and document this information so that you can assess not just your business’s assets, liabilities, and equity but, most importantly, the overall financial health of your company.

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Thu Mar 18, 2021 | | Accounting, Construction

Construction-in-Progress Accounting: What Business Owners Need to Know


Construction in Progress Accounting

Construction-in-progress (CIP) accounting is the process accountants use to keep track of the costs that relate to fixed-asset construction. Because construction projects necessitate a wide range of costs, CIP accounts keep construction assets separate from the rest of a company’s balance sheet until the project is complete.

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