• New Wave Accountants

5 Financial Must-Haves When Starting Your Own Business

As a business owner, you need to stay on top of both the details and the larger picture. You may find yourself focusing on your day-to-day operations and forget about where you’re headed.


On the financial side of things, here are the things you need to stay on top of when you are starting out.


1) Gather Financial Data


After you have been in business for a little while, you will have a steady flow of financial data. If you are planning on using a service like accounting software, then you will have more than enough data to show for it. However, if you are still in the early stages, then that data may be scarce.


You will need to take a look at your company’s cash flow. You have to have a general idea of where your profits are coming from and where your expenses are going. This will also be valuable when you are applying for financing.


2) Pay Bills


It may sound silly to include this on the list, but a lot of people overlook paying the bills. This is something that you have to have in place in order to be a successful business owner. The sooner you start taking care of this, the better.


The payments that need to be paid every month are:


  • Credit Card Bills

  • The Rent

  • Utility Bills

  • Vendor Payments

  • Insurance

  • Accounting Expenses

  • Business Liabilities

  • Employment Expenses

  • Sales Tax Bills

  • Equipment Purchases


You have to have a plan and an organisational system in place so that you will know about the due dates for your business’s bills and other expenses.


You will also need to know what you need to pay off in order to avoid any late fees or penalties.


3) Review Suppliers


A supply chain is very important in any business. You are going to want to make sure that your suppliers are going to be able to meet your needs.


In fact, you will want to explore options that will help you save money. This is a good time to take a look at all of your business expenses for the previous month.


4) Sales and Tax


As mentioned before, you need to be aware of where your company’s sales are coming from. You also need to know what you need to put in your business’s profit and loss statement.


You will also want to be sure that you are filing and paying sales tax. This is a requirement in most states and it can be a huge financial burden.


5) Payroll and Staff


In a small business, you are most likely going to be taking care of payroll and staff management. You will want to keep track of your employees’ wages and take care of any necessary tax filings.


In addition to wages, you will also want to be aware of the bills that employees need to be paid.


Make sure you have employee handbooks and manuals in place. This is something that you can use to educate your employees and help eliminate any confusion.


Conclusion


There are a lot of things to consider when you are starting your own business. Having all of these things in order will go a long way in helping you to be successful when you are starting your own business.


Find an accountant in the Gold Coast who will help you sort out the finance side of your start-up. New Wave Accounting will help you set up your business with regular strategy sessions. Get in touch with us today.


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