When it comes to managing their businesses, small business owners know the ins and outs of their industry. When thinking about business finances, however, they may find themselves overwhelmed. Things like invoicing, tracking receipts, and managing inventory costs can quickly confuse and frustrate even the savviest of entrepreneurs. We know not everyone feels confident tackling their business finances. If you’re looking to simplify your business finances, keep reading for tips and tricks from the experts.
Banks Are Your Allies
Banks are for more than just storing your money and managing payments. CFP® and President of Diem Wealth Management, Tom Diem, advises business owners that a well-managed bank account can help keep you organized in the long run. Not only does he advise business owners to keep separate credit and checking accounts for business expenses, but he also notes that business owners can easily track their spending through electronic bank records, which can be easily axccessed with modern banking software. If you have any questions about receiving records from your bank, most banks will be happy to walk you through the process and are overjoyed when people take their financial security seriously.
Save Those Receipts
Peter Huminski, President and Wealth Advisor at Thoriumwealth.com, advises small business owners to look into electronic applications that can capture and store receipt information, especially those that sync with Quickbooks for easy computing at the end of the financial quarter. Shoeboxed is one recommended application, as is Hub Dox. No matter what program you use, having a record of your receipts makes tax season that much easier, and gives you a better hold on your finances.
Keep a Record, But Work Smart
While it’s important to keep track of your expenses and receipts, you shouldn’t be spending a majority of your time managing your business finances, especially at the expense of your business as a whole. Using programs that simplify your financial information can make a huge difference in your workload and can help you streamline the process. Ideally, you should only have to spent about 30 minutes a week entering receipts and organizing your finances. Like with anything worth doing, it can be difficult to commit to this routine, but once you start at it you’ll soon become a financial expert.
Looking for more financial tricks and tips to help set your business up for success? Here at Capital Finance Partners, we offer countless articles to help you organize everything from your finances to small business and even investments. Check out our other articles to find everything you need to know to become fiscally confident.