2. Stay on top of Invoicing.
I have often heard the saying “Cash is king”. This is so true for a small business. You might provide a great service, have the most talented employees, and provide an excellent product, but if you don’t have cash available to keep your operations going and your employees paid, you will be out of business real fast. When you regularly send invoices to your customers and stay on top of past-due accounts, you keep cash flowing into your business. This is key to survival.
3. Pay your taxes on time.
Running a business is hard work on a good day but it is really hard when you have the IRS chasing you down for back taxes too. None of us “like” to pay taxes but if you have a successful business, you are going to make money and owe taxes. It is unfortunate but true. Always pay your payroll taxes on time and make quarterly Federal and State estimated tax payments so you are prepared at tax time. Trust me….you will sleep better at night.
4. Save your receipts.
It may seem like a pain to keep track of all your business receipts, but it will be worth the effort if you are ever audited by the IRS. Accounting software, such as Quickbooks Online, has an integrated app that makes receipt tracking as simple as taking a picture and the image is linked to a transaction right in your software. The few minutes it takes to snap a picture could save you time and money down the road. Take the time to do it right away. No more digging through shoeboxes of receipts.
5. Review your financial statements regularly.
Financial statements are the scoreboard for small businesses. They help you to know whether your efforts are paying off. They show you are succeeding and where you need to improve and change. The information financial statements provide is key in running a thriving business. If you do not know how to read a financial statement, you need to learn. Take a class. Get guidance from your accountant. Know how to interpret what you are reading.
If you see yourself struggling in one or more of the areas on this list, it may be time to reach out for professional help. Strategic Business Solutions has a proven track record of helping small businesses in all these areas. Click here to schedule a free 15-minute consultation. We would love to help.
About the Author
Sherry Maule uses her 30+ years of accounting and business management skills to provide small to mid-sized businesses an affordable solution to their accounting needs and help them reach their full potential. She is a total nerd for numbers. She has fierce tenacity for problem solving and process improvement for maximum efficiency. She takes pride in providing reliable financial data that helps companies with business management and strategic planning.