It’s all about the handling of money. That’s the difference in a successful business and a non-successful business. We learn how to handle money personally based on the way we grow up. The value we place on money, the way we invest it, distribute it or spend it is based on the culture that we have been raised. The things one values as successful or important is based on our culture whether one pursues material things or invest finances, whether one seeks to transition income into wealth or settle for getting by, and whether one creates wealth or chases it. The way one handles finances personally is an indicator as to how he or she will handle those same finances in a business. As intimidating as it can be, a person of wealth has employed and sought the advice of professionals for tax planning, estate planning, distribution of funds and the like.
When one opens or begins a business, often the paying of bills or handling of the money is the last thing considered. It is assumed that it will be easy, simple and believe it or not, most assume that paying the bills for the business will be easier to handle and that proves to be anything but true! The about more is that you cannot have more money, more fun, more business without more responsibility! Owning a business means having a new set of vendors, customers, debt, debtors and hopefully employees and handling all of that means adding accounting to your business to do it successfully.
Unfortunately, people tend to add the accountant when they have lost financially either due to tax problems, theft problems or when the business finances begin to erase their personal finances. Not that the finances cannot be recovered, but it makes the business owner now redirect his or her focus and work from behind to recover and rebuild. There is nothing wrong with a business recovering but ask any business owner or entrepreneur and he or she will tell you that they prefer to work ahead and not from behind.
In the beginning, of any business, money is a factor and it is crucial that the business owner place rather spend his or her dollars appropriately and strategically. Anything not crucial to the business must be budgeted closely. One of the few support functions that should be employed is an accounting team. While accounting doesn’t bring in money for the company, accounting is crucial to the continuous of the company, the monitoring of the financial situation, maintaining positive cash flow and improving the bottom line of the business. This is only accomplished through bookkeeping. A large corporation would separate the accounting department into payables, receivables, payroll, accounting clerk and more but an entrepreneur or business owner would be unable to employ a team of this magnitude and therefore the term, ‘bookkeeper’, or a business like Elite Expert specializes in providing ‘bookkeeping’ services is required.
Money and business matters and the way it is handled or mishandled is everything! Most people reach for the complicated, trying to cut cost through tax breaks, write-offs and other shortcuts that appear to be quick and easy; rather than doing the basics that provide the fundamentals required to operate a profitable business.
Don’t spend thousands to cover up for missing the basics of business that could only cost your business 100’s!
From the QUEEN “B” of Doing Business Better
