Must have financial tools for small businesses

Some small businesses may only last a year or two so make sure to be organised with your finances to make sure your business becomes a success.

Below are some tips to help you organise your business:

Compare different bank rates

Finding the right financial institution is very important for your business. You can use websites that compare information on different financial institutions. However banks are always evolving so talking to a banker might be better than using this type of tool. Online banks may offer higher savings as there overhead costs are not as high but they still will encourage you to call in with any queries that they may have.

Try and increase payment options

Anybody can have a credit card reader. Most of them are free but they still have fees that may vary. Try and use a credit card reader that is part of a small business accounting suite that integrates with an accounting system. This gadget is tiny and attaches to your mobile devices. It gives you the option of next-day payment or you can choose to pay as you go or a monthly plan.

Streamline finances

Today there are numerous accounting software to help streamline your finances and to keep them all in the one place. You can easily access this software to see what is in your accounts while checking your savings and investments. This software can also set up a budget or financial goal based on your account information. You can easily view all your information while keeping it in one place, so you don’t have to struggle with your finances anymore.

Accounting

Gone are the days of sorting stack and stacks of paper, receipts and preparing taxes as there is now new accounting software available today; which is like having your bookkeeper in the office. This software can prepare financial reports, track wages, expenses etc. Some also have a mobile app so you can track cash flow and expenses while also doing invoicing on the go.

Receipts

You can use an app on you’re smart phone that allows you to scan or take a screenshot of your receipts. This will help you be more organised than stashing all your receipts in a drawer. The app organises your information onto a report with payee, itemised date etc. You can also import this information to a bank account or credit card while exporting reports for tax applications.

Preparing your tax

The reason of using the above tools is to help you streamline your expenses and to keep your finances organised. Organizing all that information prepares you for tax day. Once a year small businesses are required to file a tax return. However other business owners have to pay taxes quarterly. There are accounting programs available for this, but it advised that you work with a tax professional for the first few years that you are in business. There is a program designed for small businesses that provides a tax preparation checklist for when you are organizing your forms for your qualified tax professional.

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