When it comes to starting a new business, it’s important to get as much done as you can before the launch: Increase your long-term chance of success by establishing good business practices and processes early. This can be daunting if you have no previous financial or business experience so let’s break things down and tackle them step by step.
Understanding your business financials and streamlining your accounting processes are the two most essential things you can do to set up your business for success. Read on to find out more!
A Guide To Streamlining Your Business Accounting
From the primary industries of manufacturing and agriculture to creative industries such as television and film, New Zealand has a lively and colourful economy that thrives on both a national and international scale. As you look to expand and improve your business, daily accounting becomes an ever more essential tool for thriving. You can manage the business accounting yourself or find some help; however self-managing the business accounts can distract from interfacing with the clients and customers that make the company the success that it is.
Wherever you are in the world, most business owners would rather put their time and energy towards the front end of the business than dedicate hours to working out accounting and the legal jargon which accompanies it.
- Establish a routine: If at all possible, ensure that there is a particular day when money is deposited into, or withdrawn from, the account. This will make it easier to chase up unpaid bills and to make informed decisions for the health of the business.
- Cover your overheads; budget for the unexpected: Having a little saved by each month will mitigate any unforeseen circumstances when they crop up. Having a fund set aside that will prevent large outgoings and massive changes to the overall accounting will keep the business running smoothly, both on the page and in practise.
- Separate business expenses and personal finances: This may seem like stating the obvious, but little purchases ‘here and there’ because the card was closest to hand will increase the time it takes for you or someone else to separate later. That time is – or was – your free time and money better invested into the business.
- Switch to a dedicated accounting system: Whether working on paper or with the basic computer software, switching to an accounting system will make data entry and analysis fast and efficient. There are plenty of accounting programs for both small and large businesses; shop around and see what will work best for you.
- Hire a dedicated accountant: Whether part time or full time, a dedicated business accountant can sort out the legal aspects of your business so that you don’t have to. An accountant can streamline the business to the latest standards in accounting while at the same time producing clear, concise reports which will be easily understood by anyone taking on the role in the future.
Consult the best business advisors Wellington has to offer by going to www.stephensonthorner.co.nz to help streamline your accounting. These chartered accountants are well-versed in finances and can help you get more done financially. Stephenson Thorner provide cost effective financial services for many business owners in the Wellington region. These business growth specialists can help you design a road map for your business and work with you to help your business thrive without the financial headaches.