Keeping track of sales, earnings, expenses, and purchases is fundamental to the overall health and sustainability of your business. Effective bookkeeping produces the data you need to evaluate your current practices, anticipate challenges, and set attainable future goals.
Most small business people would agree that their Profit and Loss statement (now more correctly called a Statement of Financial Performance) is among the easier – if not the easiest – financial document to understand. It’s typically presented in two parts. The top half of the statement reveals the various sources of income the business has received for the period covered, such as a month, quarter, half year or full… Read more
Wondering if you’re doing everything you can to boost income and cut costs? Or if your business is actually generating more profit this year than it was last? The best way to answer these questions is with a thorough assessment of profitability. That’s where gross and net profit calculations come in. These are two of the most important metrics for measuring your capacity to generate income relative to costs and… Read more
Your Balance Sheet (now more correctly called a Statement of Financial Position) reveals a great deal about your business, including the total value of your assets – the things you own; how much you owe to others – your liabilities; and the level of your solvency. It’s called a balance sheet because assets must always equal liabilities plus shareholders’ equity. The two sides balance. The mothership of your financial statements,… Read more
Many small-business operators are struggling with paperwork and are making significant personal sacrifices over and above running their day-to-day business. While it’s easy to put the extra work on the backburner, there are several actions small business owners can take to ensure they aren’t caught out at tax time. By starting early as well as seeking out help from their advisers or using accounting software and good bookkeeping routines, SMEs can save a great deal of personal time and stress further down the track.
Resolution – the quality of being determined or resolute So what are your new financial year resolutions for your business in 2016/17? Are you determined to make a change this year and move forward with confidence and fresh ways of looking at your business? Is it my imagination or does each financial year end seem to come around quicker than the last? Here we are once again at the start of… Read more
How well do you know the Fair Work Act? Would you be ready for the Fair Work Ombudsman to pay you a visit? Research by TSheets, a time tracking company based in Sydney, has revealed that non-compliance has cost businesses more than $161 million in back pay since the legislation was passed and that in one industry — fast food — only a third of businesses were found to be fully… Read more
Conference Season Its September, its Spring. Its conference season for bookkeepers. So lets talk partnership. Yes, you’ve paid big dollars in partner or conference fees, flights, accommodation, that little black number for the gala events and taken time from your business to attend. You have high expectations of content, of the WOW factor, it’s your conference, it’s all about you. But so often we forget about the.. Partnership So often… Read more
Value can be defined as the quality (positive or negative) that renders something desirable or valuable Value is a word which cannot be defined easily in an economic situation. It is intangible and often different according to whom you talk. Ask three completely different people about the “value” attached to a $30.00 shirt and you may well get three entirely different responses which could be:- Great! only $30.00 and look… Read more