Of course you have an accountant to review your small business finances. They can advise you on the tax benefits and financial traps to avoid. But how to manage your business finances is up to you. Tracking your income is important, however it is equally important to know where your money is going as well. Knowing the cost of the goods or services you sell, how much you pay in taxes and any other expenses and liabilities will enable you to gain better control of them and assist you to increase your profit margin.
Armed with this financial knowledge, perform a business audit and evaluate your results. How many sales/clients/customers do you require to remain solvent? To grow? Where can you cut costs but not services?
How to Manage Business Finances:
Track Your Expenses
Money paid out is money gone, or is it? Save your receipts and record all your business expenses. You may be entitled to sizeable deductions at the end of the year. Expenses generally include:
- Office equipment and supplies
- Client appointment related expenses such as meals and entertainment
- Business-related travel
The days of business finances where keeping books wearing a green visor and rolling up one’s sleeves have been replaced with highly-efficient yet easy to use bookkeeping software. And in the case of a possible IRS audit, superior records keeping will save you and your business substantial money. Your business software’s reporting functions will also enable you to run and analyze reports to understand the true state of your business’ fiscal health. Knowing how to manage business finances has never been easier!
The best way to manage your small business finances is to secure a financial partner such as National Business Capital. We know that working capital is sometimes hard to come by when you need it most: to take advantage of a fleeting window of business opportunity or to expand your business into new territory before your competition has the chance to. We have helped business owners obtain hundreds of millions of dollars to businesses like yours and base our loan decisions on realistic underwriting criteria. You’ll receive our decision within 24 hours and, once approved, the money is yours to use within days. We’ll work hard to find your business the financing it requires to thrive. Call us at (888) 888-9124 or fill out our two-minute application form today!