Some say accounting / bookkeeping numbers are hard to understand or even follow, just a jumble of digits. In reality, these numbers tell the story of a business. One story is told for the tax man, another for the banker and another for the owner or manager.
Each story highlights its focus based on the rules of taxes, banking, and sound management of a business. All three are important and powerful... be it good or bad.
We each struggle or push to get the numbers right for taxes and the banker, but often not much credence is brought to bear for the owner or manager to achieve accurate knowledge of his business pulse rate or it’s control. Is the business breaking even, is cashflow improving, is cash being preserved... let alone building equity or working capital? The big boys / gals of business, have a CFO (chief financial officer) to help with that task. Oh, for a CFO assistant to assist the rest of us.
That’s where a great set of records is a must and where we come into the picture. As an owner or manager your hands are full with the day to day stuff, such as, getting the job or service done and satisfying the customer or clients…who provide the income that you in turn spread out for wages, rent, vendors, the banker, the tax man... and if any is left... some for you and your equity.
If any money is left for you, the owner or manager, that a good sign. Question, do your financial records show the movement of monies within the business which is critical? When this is done, insights are gained on how to adjust, change or improve... letting you seize opportunities. This is the portal for your business that looks to the horizon and your future.
By Ken Stavast
A serial entrepreneur, accounting and payroll software developer, marketer and consultant to small to mid sized business operations. Can be reached at AffordableSolutionsForBusiness.com or BusinessLogicUSA.com or HomeRunmarketing-USA.com on the contact page.
We each struggle or push to get the numbers right for taxes and the banker, but often not much credence is brought to bear for the owner or manager to achieve accurate knowledge of his business pulse rate or it’s control. Is the business breaking even, is cashflow improving, is cash being preserved... let alone building equity or working capital? The big boys / gals of business, have a CFO (chief financial officer) to help with that task. Oh, for a CFO assistant to assist the rest of us.
That’s where a great set of records is a must and where we come into the picture. As an owner or manager your hands are full with the day to day stuff, such as, getting the job or service done and satisfying the customer or clients…who provide the income that you in turn spread out for wages, rent, vendors, the banker, the tax man... and if any is left... some for you and your equity.
If any money is left for you, the owner or manager, that a good sign. Question, do your financial records show the movement of monies within the business which is critical? When this is done, insights are gained on how to adjust, change or improve... letting you seize opportunities. This is the portal for your business that looks to the horizon and your future.
By Ken Stavast
A serial entrepreneur, accounting and payroll software developer, marketer and consultant to small to mid sized business operations. Can be reached at AffordableSolutionsForBusiness.com or BusinessLogicUSA.com or HomeRunmarketing-USA.com on the contact page.