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BizBoost NewsVolume 11, Issue 6For distribution 9/6/21; publication 9/9/21
Six Things to Look for Every Month in Your Accounting Reports
While Net Profit and your cash balance are probably the first two numbers you look at on your monthly Profit and Loss Statement, don’t stop there. There are a lot more gems you can glean if you dig a little deeper and look through the following six lenses at your data.
1. Automation Opportunities
Look at your labor detail reports as well as professional and outsourcing expenses to see what areas might be ripe for automating. Is your admin spending too much time scheduling meetings? If so, automate everyone’s calendars. Are you finding places where duplicate data-entry is driving up costs? Get Zapier or another integration solution.
On the flip side, cancel tech spending where you are no longer using the app and get those expenses off your books.
2. Duplicate or Excessive Expenses
Where are you paying for things twice on your Profit and Loss Statement? Where could you scale down? As an example, if you are renting 5,000 square feet but now only need 2,000 because everyone wants to work from home, see if you can re-negotiate your lease or sublet that extra space.
Do you have redundancy in your insurance policies? Perhaps your liability and your business umbrella both cover workers compensation. See what you can do to reduce the overlap.
You might only need three phone lines but are paying for five. Retainer and recurring expenses should be inspected carefully; are you getting what you’re paying for?
3. Outsourcing Opportunities
Are their companies that can do tasks or work cheaper and better than how you are doing them now? If so, outsourcing could be a profitable option to look into further.
4. Indications of Fraud, Theft, or Excessive Risk
As owners, we need to protect our business investment, and we should always be on the lookout for signs that our investment may be at risk. If your numbers look odd or unexpected, you should be skeptical and investigate further.
5. Tax Savings Situations
Investing in tax planning almost always yields great results, especially this year with new tax relief available to qualifying businesses. Get help from a tax professional to see if you qualify or are close to qualifying for tax deductions, credits, and savings.
6. Sales Growth
This list would be remiss without mentioning the obvious opportunities of finding ways to grow sales. Your sales results can give you an idea of where more growth can occur, where promotion opportunities exist, and where completely new revenue sources can be created.
After you’ve examined your cash number and your net profit, try these six new filters to get even more ideas to run your business better.
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Our latest blog: “Six Things to Look for Every Month in Your Accounting Reports” is available now! Subscribe here: [link]
While Net Profit and your cash balance are probably the first two numbers you look at on your monthly Profit and Loss Statement, don’t stop there. There are a lot more gems you can glean if you dig a little deeper and look at the data through the six lenses that we describe in our latest blog article. Learn more here: [link]
Business Tip: Look for automation opportunities in your financial reports. Look at your labor detail reports as well as professional and outsourcing expenses to see what areas might be ripe for automating. Get more great tips here: [link]
Do you look for tax saving situations in your accounting reports? Investing in tax planning almost always yields great results, especially this year with new tax relief available to qualifying businesses. Get help from a tax professional to see if you qualify or are close to qualifying for tax deductions, credits, and savings. Find out more here: [link]
Sales growth is an important factor to look at in any accounting report. Your sales results can give you an idea of where more growth can occur, where promotion opportunities exist, and where completely new revenue sources can be created. Learn more here: [link]
Net Profit and your cash balance are not the only factors you should be looking at in your accounting reports. In our latest blog article, we describe six key factors to pay attention to. Find out more here: [link]
Did you know you can use your accounting reports to watch for indications of fraud, theft, and excessive risk? As owners, we need to protect our business investment, and we should always be on the lookout for signs that our investment may be at risk. Learn more here: [link]
Accounting reports can hold valuable information about our business, beyond just Net Profit and cash balance. However, you have to know what you are looking for first. In our latest blog article, we provide six key areas you should look for in your next accounting report. Sign up for our newsletter to learn more: [link]
BizBoost NewsVolume 11, Issue 5For distribution 8/23/21; publication 8/26/21
Help Wanted: You Have Options!
Many people have complained about the worker shortages this year. If you need additional workers in order to grow your business, here are some ideas for your consideration.
Where to Look for Workers
We may think of workers as only being employees, but there are a lot more options if you’re open-minded. Here’s a list of places to find workers of all kinds:
Options for Adding Workers/Labor
There are many ways you can increase labor in your business. The obvious is hiring employees. Beyond employees, there are many more options than you might first think:
With all of these options available, it should be a bit easier to find ways to add labor and grow your business.
Our latest blog: “Help Wanted: You Have Options!” is available now! Subscribe here: [link]
Many people have complained about the worker shortages this year. If you need additional workers in order to grow your business, we’ve compiled some ideas for your consideration. Check out our latest blog article here: [link]
Business Tip: You do not have to hire a new employee in order to add labor to your business. Alternative options include:
Learn more about the options available to you here: [link]
Sometimes we need extra help in our business, but we don’t have enough work or the extra funds to bring on a new employee. If you are in this situation, we can help! We’ve compiled a list of alternative options for adding more labor to your business. Find out more here! [link]
There are numerous places to look when trying to hire someone new. This includes:
Find the full list, as well as other ideas for adding labor to your business, in our latest blog article: [link]
There are many ways you can increase labor in your business. The obvious is hiring employees. Beyond employees, there are many more options than you might first think. In our latest blog article, we provide a list of options for adding workers/labor: [link]
Are you struggling to find new workers for your business? In the current worker shortage, many people are looking for alternative ways to add labor to their business. In our latest blog article, we provide a list of places to find new employees, as well as alternative ways to add labor. Find out more here: [link]
Are you looking for ways to add labor to your business? In our latest blog article, we provide numerous ways to find new employees, as well as alternative options for adding labor that do not include hiring a new team member. Sign up for our newsletter to get instant access: [link]
BizBoost NewsVolume 11, Issue 4For distribution 8/9/21; publication 8/12/21
Direct vs. Indirect Costs (and Why You Should Care)
If you’re a business owner who wants to continually find ways to increase your profitability, then you’ll want to learn about direct and indirect costs. Breaking out your expenses into direct and indirect categories can help you arrive at the most profitable volume of sales for your business.
Direct Expenses
Expenses that fall into the direct cost category are ones that relate directly to the items you sell. Here are some examples.
Direct expenses, unlike indirect expenses, will vary proportionally to the volume of items you sell. The more you sell, the higher your direct expenses. The less you sell, the lower your direct expenses.
In general, direct expenses should be recorded in Cost of Goods Sold. You can get your Gross Profit figure by calculating Sales less Cost of Goods Sold (or COGS). Gross Profit Margin is an important percentage to know in your business. It is computed as follows: (Sales – COGS) / Sales.
Some small service companies might not bother to break out labor into direct and indirect on the Profit and Loss statement each month, but it can be useful to break out periodically or when you are re-evaluating your pricing and profitability.
Direct expenses are important in making pricing decisions, but so are indirect expenses.
Indirect Expenses
Indirect expenses are expenses that you need to incur to run your business, but are not directly related to the items you sell. Here are some examples:
Fixed and Variable Costs
Direct and indirect costs can each be further broken down into fixed and variable costs. For example, HR expenses, education, and training will go up as you sell more and hire more workers. That makes them variable costs.
Other indirect expenses will remain flat no matter what your sales volume is, such as rent. That means they are fixed costs.
Pricing Your Items
When calculating your sales prices, use direct costs to be sure your profit margin is high enough to cover an allocation of your indirect expenses. In other words, sales price should always cover all direct costs plus a profit component, plus enough to cover indirect costs when considering the volume of your sales.
The lower your sales volume, the higher the price per item should be. A higher sales volume gives you more room to spread out your indirect costs over more sales. That leads to either higher profits, or you can lower your price to be more competitive.
If you have questions about direct and indirect costs or want help validating your pricing decisions, please feel free to reach out any time.
Our latest blog: “Direct vs. Indirect Costs (and Why You Should Care)” is available now! Subscribe here: [link]
Do you know why you should care about direct vs. indirect costs? Find out in our latest blog article: [link]
Business Tip: Direct and indirect expenses can each be further broken down into fixed and variable costs. For example, HR expenses, education, and training will go up as you sell more and hire more workers. That makes them variable costs. Other indirect expenses will remain flat no matter what your sales volume is, such as rent. That means they are fixed costs. Learn more here: [link]
If you’re a business owner who wants to continually find ways to increase your profitability, then you’ll want to learn about direct and indirect costs. We explain it all in our latest blog article: [link]
Direct expenses are ones that relate directly to the items you sell. Indirect expenses are ones you need to incur to run your business, but are not directly related to the items you sell. Learn more about these two categories in our latest blog article: [link]
Breaking out your expenses into direct and indirect categories can help you arrive at the most profitable volume of sales for your business. Don’t know the difference between the two categories? Find out more here: [link]
Do you know what counts as an indirect expense? Examples of an indirect expense include:
Learn more about indirect expenses and how they differ from direct expenses here: [link]
As a business owner, it is important to understand the difference between direct and indirect expenses, as it can help you find ways to increase profitability in your business. In our latest blog article, we explain this difference. Sign up for our newsletter for instant access: [link]
BizBoost NewsVolume 11, Issue 3For distribution 7/26/21; publication 7/29/21
How to Better Track Your Carbon Footprint
You may already be doing your part to help save the planet. From recycling to driving electric cars, to avoiding the use of plastic bottles and carrying reusable bags to the grocery store, there are myriad ways for all of us to make a difference—both big and small. However, it may be important to stop and ask ourselves: Are we currently doing enough?
If you have considered pursuing an even more sustainable lifestyle, guess what? There’s an app for that! Actually, there are a few different apps to help you accomplish the goal of tracking your carbon footprint. In doing so, you can physically see your carbon environmental impact.
Below, we have detailed some of these apps and their benefits. Take a look! If you have any questions, please don’t hesitate to reach out.
Capture
Capture is an app that calculates users’ monthly CO2 targets by asking a series of questions. These questions include things like, “How many flights a year do you take?” and “What kind of diet do you adhere to?” Capture also utilizes GPS tracking to predict emissions from transportation.
Specifically, the app was designed to not only make planet-friendly living possible, but also make the process easy—or, easier—for those interested. With the capture app, users can conveniently “track, reduce, and remove CO2 emissions from everyday life.”
Interestingly, the app can be used single-handedly or with colleagues. If you are a numbers person who likes measuring and tracking, Capture is for you.
Almond
UK-based, Almond’s mission is simple: to help as many people reach Net Zero carbon emissions as possible, and in just four easy steps:
1. Understand your carbon footprint 2. Discover responsible brands 3. Earn offset coins when you make a switch 4. Offset your carbon footprint
Almond allows you to scan products to not only learn about that particular item's story but also see what's in the product (i.e., if it's environmentally-friendly). Then, you can earn money with crypto rewards to plant and protect trees, which offset your carbon footprint. The more you earn, the faster you can grow your forest to achieve a carbon-balanced lifestyle and reach your personal CO2 Net Zero.
Pawprint
Pawprint allows individuals to fight climate change in the palm of their hands. This online tool helps to measure, understand, and reduce your carbon footprint.
Known as the “Eco companion,” this app delivers the following:
One factor that sets Pawprint apart from other carbon footprint tracking apps, is that all of its data is validated by Mike Berners-Lee’s Small World Consulting, an expert in the industry.
Of course, there are plenty of other smartphone apps and tools available to help you better track and reduce your carbon footprint, including The Extra Mile, My Planet, and Carbon Footprint. The trick is to find the app or tool that works best for you and your lifestyle.
Our latest blog: “How to Better Track Your Carbon Footprint” is available now! Subscribe here: [link]
You may already be doing your part to help save the planet. From recycling to driving electric cars, to avoiding the use of plastic bottles and carrying reusable bags to the grocery store, there are myriad ways for all of us to make a difference. However, it may be important to stop and ask ourselves: Are we currently doing enough? Learn more about tracking your carbon footprint in our latest blog article: [link]
Are you trying to live a more sustainable lifestyle? It can be hard to truly understand how our habits affect the environment. In our latest blog article, we provide three apps that can help you track your carbon footprint: [link]
Do you use Capture? Capture is an app that calculates users’ monthly CO2 targets by asking a series of questions. These questions include things like, “How many flights a year do you take?” and “What kind of diet do you adhere to?” Learn more about Capture and other apps to help track your carbon footprint here: [link]
There are several apps out there with the goal of helping you track (and reduce) your carbon footprint. For example, the app “Almond” has the mission to help as many people reach Net Zero carbon emissions as possible, and in just four easy steps. Find out what these steps are in our latest blog article: [link]
If you have considered pursuing a more sustainable lifestyle, guess what? There’s an app for that! Actually, there are a few different apps to help you accomplish the goal of tracking your carbon footprint. Learn more here: [link]
Have you heard of the app “Pawprint”? This app allows individuals to fight climate change in the palm of their hands. The online tool helps to measure, understand, and reduce your carbon footprint. Find out more here! [link]
Have you tried tracking your carbon footprint? Most of us know the usual ways to reduce waste, from recycling to carrying reusable grocery bags, but do you truly know the impact you’re having on the environment? In our latest blog article, we describe three apps that can help you track your carbon footprint. Sign up for our newsletter for instant access: [link]
BizBoost NewsVolume 11, Issue 2For distribution 7/12/21; publication 7/15/21
Five Accounting Reports You Don’t Want to Be Without
While we all have to keep our monthly books up to date for tax and other compliance reporting purposes, we should never stop there. Your books hold a wealth of information that you can use to run your business better. Here are five reports you should never be without.
Budget-to-Actual Profit and Loss Statement
Hopefully, you’ve already seen how powerful the Profit and Loss Statement is. Let’s take it a deeper level and add budget comparison to it. With this addition, you can plan your way toward the sales and profit figures you want. You’ll know every month whether you’re on track, ahead of the game (give yourself five stars!), or need to hustle to make it up next month.
Most accounting systems allow you to enter monthly budget numbers for your sales and expense accounts. You can enter them at the beginning of each year and adjust them throughout the year. It’s kind of like having Google Maps on a cross-country journey. You will be able to see where there is construction and traffic, so you can take another route. You can also see where there are cool places to stop, so you can take advantage of the fun. Your numbers tell a story.
Actual-to-Prior-Year Profit and Loss Statement
This is an easy report to generate, assuming you have at least two years’ worth of information in your accounting system. This report allows you to compare your business’s results for this year with how you did last year. Are you ahead? Behind? Have new products and services? New employees? New expenses?
With this comparison, you can take action based on how you would like your business to perform this year versus last year. While this report is readily available, few businesses study it to glean the insights available, so be sure to spend some time analyzing the data in this report.
Sales by Item, Customer, or Division (or All Three)
Inside every business’s sales information is a treasure trove of possibility. Where are you seeing growth, and how can you capitalize on it? Where do you see a slowdown, and can you run a promotion to juice things up?
Choose the breakout – customer, item, division, or another – that is meaningful to your business type. If possible, arrange for a searchable database so you can drill down into the detail even more. What trends do you see? What opportunities do you see?
Operations Reports
To find out more about your profitability and to get into the details of how your expenses are matching up with your sales, you need to review your operational accounting reports. The exact report will depend on the type of your business. If you are in services, you’ll need payroll reports and time sheets. If you are in retail, you’ll need inventory reports. If you are in construction, you’ll need job cost reports. And if you are in manufacturing, you’ll need cost of goods sold and other reports to evaluate assembly and production efficiency.
Cash Reports
The last report that is essential for good business management is all about cash. There is more than one option here, and these reports can include Accounts Receivable Aging, Accounts Payable Aging, cash flow forecasting, and various cash flow reports.
If you grant customers credit, you’ll want to actively make sure that money is collected on time from clients. If customer balances get too old, action must be taken. Even if you don’t grant credit, transactions such as returns, expired credit cards, and bounced checks need special attention.
The same is true for amounts you owe to vendors, with the Accounts Payable Aging report.
If you run tight with your cash balance, you may want to have a cash flow forecasting report on hand. This report gives you good warning as to when your bank balance may dip below your needs. You can then delay vendor payments or find an infusion of cash to cover the shortfall.
With these five categories of reports, you will have dozens of opportunities to be proactive about running your business and improving your results. And if we can help you find or generate them, please reach out anytime.
Our latest blog: “Five Accounting Reports You Don’t Want to Be Without” is available now. Subscribe here: [link]
While we all have to keep our monthly books up to date for tax and other compliance reporting purposes, we should never stop there. Your books are a wealth of information that you can use to run your business better. Check out our latest blog article for five reports you should never be without: [link]
Business Tip: Five important reports for your business are Budget-to-Actual Profit and Loss Statement, Actual-to-Prior-Year Profit and Loss Statement, Sales by Item, Customer, or Division (or All Three), Operations Reports, and Cash Reports. Learn more about these reports in our latest blog article: [link]
Do you use a Budget-to-Actual Profit and Loss Statement? Hopefully, you’ve already seen how powerful the Profit and Loss Statement is. Let’s take it a deeper level and add budget comparison to it. With this addition, you can plan your way toward the sales and profit figures you want. Learn more about this report and other helpful reports in our latest blog article: [link]
Inside every business’s sales information is a treasure trove of possibility. Where are you seeing growth, and how can you capitalize on it? Where do you see a slowdown, and can you run a promotion to juice things up? With the reports described in our latest blog article, you’ll learn new ways to understand your books. Learn more here: [link]
Do you run all of the accounting reports that could help your business succeed? In our latest blog article, we describe five categories of reports that can provide you with opportunities to be proactive about running your business and improving your results. Find out more here: [link]
Having the right accounting reports can provide great opportunities for your business. Learn more about five important accounting reports in our latest blog article: [link]
Your books are a wealth of information that you can use to run your business better. In our latest blog article, we list five reports you should never be without. Sign up for our newsletter to get instant access: [link]
BizBoost NewsVolume 11, Issue 1For distribution 6/28/21; publication 7/1/21
Re-Imagining Your Chart of Accounts
The Chart of Accounts is the backbone of your accounting records. It is a list of all of the accounts – bank, loan, asset, revenue, and expense – in your General Ledger, which holds all of your accounting transactions.
Think of your Chart of Accounts as a collection of buckets that hold dollars of items related to your business. Each bucket should be meaningful and have a purpose. For example, if you have three checking accounts, you need three buckets on your Chart of Accounts to hold the transactions for each bank account. It would not make any sense to have more or less than exactly one bucket for each checking account.
While it’s standard to have certain buckets or accounts for assets, liabilities, and equity, the number of buckets that you create for revenue and expenses can vary greatly from company to company. It makes sense to create and design your accounts for what you need for tax, accounting, and decision-making purposes in your business.
Let’s say you are a hair stylist. Do you want your revenue to be in one big bucket? That’s all that Uncle Sam requires. But for decision-making purposes, you may want to break out men’s and women’s services, or cuts versus color and other treatments, or both. In that case, you would have four revenue accounts: men’s cuts, men’s color, women’s cuts, and women’s color. This type of detail would help you see where your revenue is highest so that you can better manage your supplies as well as target your marketing to that group.
Having certain expense accounts matched to the tax requirements can reduce extra work at tax time. For example, separating travel costs – hotel and airfare – from meals and entertainment is a common one, as is keeping meals and entertainment separate.
The goal is to get your Chart of Accounts working for you. If, when you first set up your accounting system, you accepted the default Chart of Accounts, it may be time to redesign and restructure the list so it serves your needs better. Here are some additional considerations.
These questions can help you begin thinking about how your Chart of Accounts can better serve you. After all, it’s your business, your accounting system, and your Chart of Accounts.
And if we can help you through the redesign process, please let us know.
Our latest blog: “Re-Imagining Your Chart of Accounts” is available now! Subscribe here: [link]
The Chart of Accounts is the backbone of your accounting records. It is a list of all of the accounts – bank, loan, asset, revenue, and expense – in your General Ledger, which holds all of your accounting transactions. Learn more in our latest blog article: [link]
Business Tip: Think of your Chart of Accounts as a collection of buckets that hold dollars of items related to your business. Each bucket should be meaningful and have a purpose. Learn more here: [link]
It just makes sense to create and design your Chart of Accounts for what you need for tax, accounting, and decision-making in your business. Learn all about the benefits of re-structuring your Chart of Accounts and how to get started in our latest blog article: [link]
The goal is to get your Chart of Accounts working for you. If, when you first set up your accounting system, you accepted the default Chart of Accounts, it may be time to redesign and restructure the list so it serves your needs better. Learn more here:[link]
Have you thought about re-structuring your Chart of Accounts? In our latest blog article, we explain the benefits of re-imagining your Chart of Accounts, and provide a list of questions that can help you start thinking about how your Chart of Accounts can better serve you. Find out more here: [link]
There are many things to consider when re-imagining your Chart of Accounts. Questions to ask yourself may include:
Learn more about what to consider when re-imagining your Chart of Accounts here: [link]
DID YOU KNOW… While it’s standard to have certain accounts for assets, liabilities, and equity in a Chart of Accounts, the number of accounts that you create for revenue and expenses can vary greatly from company to company. Sign up for our newsletter to learn more about re-imagining your Chart of Accounts to fit your business: [link]
BizBoost NewsVolume 10, Issue 26For distribution 6/14/21; publication 6/17/21
Clubhouse: The New Kid in Town
Are you familiar with Clubhouse? This social media platform is still pretty new, but currently picking up steam. Perhaps one of the easiest ways to describe Clubhouse is like this: When you were a kid, did you ever hold a glass to a wall with your ear glued to it in order to hear the conversation in the next room? Clubhouse is kind of like that, only scaled and organized.
Clubhouse is an audio-only platform where you can start a room based on a topic and others can join the room and conversation. You can bring people up to the “stage” who have raised their hand. The platform supports multiple languages, and at any one time, you can see rooms in Russian, Spanish, Mandarin, German, Japanese, English, and many more.
Think of Clubhouse this way: It’s like an interactive live podcast. The platform hosts both personal and business conversations, so there is a lot of noise to wade through, but that’s true of every social app. Many people love the lack of video that is so pervasive on other platforms.
The main newsfeed in Clubhouse shows active rooms that you might like. To join a room, just click anywhere on the room description. Once in a room, you should hear the speakers talking, or you might hear music if it’s a concert. You are muted until you are invited on stage.
In a room, everyone can see everyone else’s avatar. Clicking on other people’s avatars is encouraged and brings up a bio and direct links to the person’s Twitter and Instagram accounts. You have lots of space on Clubhouse to build an extensive bio, and this is primarily how other people in the room can get to know you, along with hearing what you have to say if you participate.
Clubhouse is an entirely new and fresh way to market your business and let people know about your products and services.
Our latest blog: “Clubhouse: The New Kid in Town” is available now! Subscribe here: [link]
Are you familiar with Clubhouse? Clubhouse is an audio-only platform where you can start a room based on a topic and others can join the room and conversation. Learn more in our latest blog article: [link]
Think of Clubhouse this way: It’s like an interactive live podcast. The platform hosts both personal and business conversations, so there is a lot of noise to wade through, but that’s true of every social app. Learn more here: [link]
Clubhouse seems ideal for two formats: professional speakers who want an audience, and groups of friends who want to hang out and informally chat at a scheduled time. For full details on Clubhouse, click here:[link]
Interestingly enough, Clubhouse supports multiple languages, and at any one time, you can see rooms in Russian, Spanish, Mandarin, German, and many more. Learn more here: [link]
When you were a kid, did you ever hold a glass to a wall with your ear glued to it in order to hear the conversation in the next room? Clubhouse is kind of like that, only scaled and somewhat organized. For full Clubhouse details, click here. [link]
Have you ever said to yourself, “I’d love to be a fly on the wall in that room?” Or, “I’d love to be in the same room with so-and-so celebrity?” Clubhouse could be for you! Find out more here: [link]
Clubhouse notably stands out from other platforms due to the fact that its founders are very hands-on, well-grounded, and enthusiastic. Learn more about Clubhouse here. [link]
Sign up for our newsletter to learn more: [link]
BizBoost NewsVolume 10, Issue 25For distribution 5/31/21; publication 6/3/21
Cool Tech Tools: Airtable
When it comes to running a successful business, how important is it to be organized? In a word: very. Now, how would you rank your organization skills? Honestly, the answer really doesn’t matter. We can always get help from technology, and this is where Airtable comes in.
Airtable goes beyond spreadsheet solutions when it comes to tracking teams, projects, tasks, dates, and other information in your business. Cloud-based, Airtable allows you to organize information in a database – they call them bases – of tables. While databases can be complicated, Airtable makes it easy because it looks just like a spreadsheet.
Airtable allows users to create a flexible database that fits their particular needs. Some of the use cases include project tracking, product development, event management, team collaboration, lists, planning, pipeline management, calendars, and so much more. Templates are available to jump-start your project.
Because Airtable is like a spreadsheet, it has been compared to Microsoft Excel®. However, it is important to remember that Airtable is like a spreadsheet and like a database. Further, Excel can function only as a traditional spreadsheet, while Airtable gives its users more options, especially when it comes to customization.
Getting into the details of Airtable, fields can even be added for attachments, long text notes, checkboxes, links, and barcodes. It provides options for filtering, sorting, and grouping data.
Airtable also provides for integrations with other applications in case you need to move information from one place to another or add functionality.
Airtable has both free and paid plans. You can find out more here: https://airtable.com/
Our latest blog: “What Is Airtable?” is available now! Subscribe here: [link]
Familiar with Airtable? It’s a cloud-based database tool with lots of flexibility. Learn more in our latest blog article: [link]
DID YOU KNOW: Airtable is free to use for teams of any size, yet there are also paid plans available that offer additional features, storage, and support. Get full details here: [link]
Need help getting organized? Airtable could be the platform for you. Learn more about Airtable here: [link]
Airtable allows users to create a flexible database that fits their particular flow and needs. Fields can even be added for attachments, long text notes, checkboxes, links, and barcodes. Interested in learning more? Click here: [link]
While slightly similar to Excel, Airtable is not simply another Excel-like platform. Learn more here: [link]
Some of the use cases for Airtable include project tracking, product development, event management, team collaboration, lists, planning, pipeline management, calendars, and so much more. Get full details here: [link]
With Airtable, there are more than 50 prebuilt apps to help bring data to life, custom automations, and the ability to collaborate with anyone, any time, from anywhere. Read our latest blog article for more insight: [link]
BizBoost NewsVolume 10, Issue 24For distribution 5/17/21; publication 5/20/21
Financing Options for Small Businesses
All small businesses need cash to operate, and there are many ways to generate the required cash. The most common way that many businesses get started is when the owner makes an investment from their savings or other personal cash. But what if it’s not enough? In this article, we’ll take a look at some of the more common ways to finance a business.
Community banks
Most community banks are big proponents of small businesses, so this is a great place to start. Establish a relationship first by opening business checking and savings accounts. Then apply for a line of credit, which is a pre-approved loan that you can tap when you need it.
If you plan to purchase a building or equipment, you should be able to get a loan by using the asset as collateral. Business expansion loans are possible too; you may be able to borrow against your accounts receivables or other contracts with guaranteed income.
Beyond community banks, there are also many online lending agencies, banks, credit unions, and community development financial institutions (CDFIs) to apply to for a loan.
When applying for a loan, you will likely need a good personal credit rating and either a strong business plan or audited financial statements to show the financial condition of your business.
Partners and investors
Investors such as angel investors or venture capitalists can provide cash in exchange for either a debt or an equity position in your business. Obtaining financing this way is a big decision since you are no longer the sole owner of the company if you give away some of your equity.
Another option is to bring a partner into your business. Typically, the partner will provide cash as well as management or other skills that complement yours and be active in running the business with you.
Government support
There are many government programs to help with small business financing this year due to the pandemic. The Small Business Administration has loans and programs available to small businesses on a consistent basis. This year, they are also managing the forgivable Paycheck Protection Program (PPP) loans, economic disaster funding, shuttered venue operator loans, and restaurant relief grants, to name a few.
You might also want to see what’s available from your county, city, and community governments. Last, organizations like the Small Business Development Council (SBDC) can provide space, funds, and training to small businesses in their area.
Nonprofits and educational institutions
Your business may also be able to benefit from nonprofits and educational institutions that provide grants, scholarships, and other funding opportunities to businesses and business owners in certain categories. For example, your local chamber of commerce may have programs and funding options available for local businesses.
Factoring
Factoring is an option for businesses with accounts receivable balances. A cash advance can be made with the accounts receivable balances as collateral. This type of loan is common in the retail fashion industry where items are ordered months in advance of when they are sold, causing a cash flow gap.
Crowdfunding
Crowdfunding has been made popular by platforms such as Kickstarter. A business can apply on these platforms for funding, and individuals can make contributions. Sometimes the business will promise goods or services in exchange for funding.
Credit card advances
It’s common for owners to put startup expenses on and use cash advances from their personal credit cards. This is one of the most expensive ways to fund a business and should be used as a last resort.
The fine print
All financing options come with fine print. Terms and interest rates vary significantly. Sometimes, there is a cliff, where you have to pay everything back all at once. Be sure to carefully read any agreements you sign and run them by a lawyer if you don’t understand them. Your personal financial situation could suffer greatly if you aren’t careful.
For example, businesses that got a PPP loan and later received a buyout offer may not be able to sell because the loan agreement prohibits them from doing so. If they didn’t read the fine print and sold the company anyway, they are now personally liable to pay back the PPP loan proceeds.
If you have questions or want to discuss financing options, please feel free to contact us anytime.
Our latest blog article: “Financing Options for Small Businesses” is available now! Subscribe here: [link]
All small businesses need cash to operate, and there are many ways to generate the required cash. Check out our latest blog article for ways to finance your business: [link]
Business Tip: Factoring is a financing option for businesses with accounts receivable balances. A cash advance can be made with the accounts receivable balances as collateral. This type of loan is common in the retail fashion industry where items are ordered months in advance of when they are sold, causing a cash flow gap. Learn more about factoring and other ways to finance your business here: [link]
The most common way that many businesses get started is the owner makes an investment from their savings or other personal cash. But what if it’s not enough? Check out our latest blog article for more ways to finance your business: [link]
Community banks, partners and investors, and government assistance are just a few ways to find financial support to get your business started. In our latest blog article, we provide a list of numerous ways to finance your business – check it out! [link]
Business Tip: All financing options come with fine print. Be sure to carefully read any agreements you sign and run them by a lawyer if you don’t understand them. Your personal financial situation could suffer greatly if you aren’t careful. Find out more here: [link]
DID YOU KNOW… Most community banks are big proponents of small business, so this is a great place to start when looking for financing options for your business. Learn more about financing options in our latest blog article: [link]
Have your tried crowdfunding to raise financial support for your business? A relatively new way of financing, crowdfunding has been made popular by platforms such as Kickstarter. A business can apply on these platforms for funding, and individuals can make contributions. Sign up for our newsletter to learn more about financing options for your business: [link]
BizBoost NewsVolume 10, Issue 23For distribution 5/3/21; publication 5/6/21
What Is Internal Control?
In accounting, a key term to know is “internal control.” Internal control is the series of processes and procedures that are performed within the organization to ensure the integrity and accuracy of the financial information and reporting of that organization. Internal control is very important to consider in order to protect the business owners, employees, vendors, investors, and other stakeholders.
In a small business, maintaining good internal control is often a challenge since staff size is smaller and resources are limited. Yet, it is essential to understand so that the business owners understand what risks they are taking every day in their businesses. A good system of internal controls can help the organization reduce the risk of fraud, safeguard against loss, and demonstrate good business practices.
Key Concepts
Segregation of duties is the first of three key concepts of internal control. It means that tasks should be assigned to different people when there is a risk that having everything assigned to one person could hide errors or even theft. For example, the person who opens the mail and receives checks should not be the same person who applies the check to the correct customer in Accounts Receivable.
Delegation of authority is the second key concept of internal control. While the owner has ultimate control, they cannot do everything. They must delegate to staff. Staff have the responsibility to maintain internal controls in their area of responsibility.
System access is the third concept of internal control. Access to documents, rooms, computers, applications, and other items should be on a need-to-know basis to reduce risk. While one person might have system access to enter a transaction, they should not also be the one to have system access to review or approve that same transaction.
Business Operations
Every aspect of the business should be considered while setting up the company’s policies and procedures. In a small business, an easy way to develop internal controls is to review each major transaction flow and implement the controls needed.
On the customer side, this includes receiving the customer order, sales contracts, shipping, invoicing, managing accounts receivables, collections, bank deposits or merchant reconciliations, and cash management. It can also include customer service, pricing, and promotional activity.
On the vendor side, the process includes adding controls for vendor selection, purchase orders, receiving, bill pay, managing accounts payable, payments, managing travel and expense accounts, and company credit cards.
Depending on the company, additional areas that need to be reviewed for internal control include inventory and supply chain management and government contracts, if any.
When hiring, the process of hiring, onboarding, training, evaluating performance, and payroll should be considered. Safety is also an important consideration.
A very large part of internal control development should focus on the information technology operations of the company. Areas include user access and controls, password management, naming conventions, physical security, disaster recovery, and network and applications development, updates, and change control. Data entry should also be considered and is best included when developing controls for the customer, vendor, and employee functions.
Additional functions that need internal control processes include treasury and financing; financial reporting, budgeting, and planning; records storage, access, retention, and destruction; asset management; and insurance.
Internal controls can be applied to small businesses as well as large organizations. It’s all about being able to feel confident that your business is operating with financial integrity, accuracy, efficiency, and a reduced risk of failure. If you have questions about how internal control applies to your business, be sure to reach out to us any time.
Our latest blog article: “What Is Internal Control?” is available now! Subscribe here: [link]
In accounting, a key term to know is “internal control.” Internal control is the series of processes and procedures that are performed within the organization to ensure the integrity and accuracy of the financial information and reporting of that organization. Learn why internal control is important in our latest blog article: [link]
Business Tip: In a small business, an easy way to develop internal controls is to review each major transaction flow and implement the controls needed. Learn more about implementing internal controls here: [link]
Internal control is very important to consider in order to protect the business owners, employees, vendors, investors, and other stakeholders in your company. Learn more about internal control here: [link]
The three key concepts of internal control are: -Segregation of Duties -Delegation of Authority -System Access Learn more about these concepts and implementing internal control in our latest blog article:[link]
In a small business, maintaining good internal control is often a challenge since staff size is smaller and resources are limited. Yet, it is essential to understand so that the owners understand what risks they are taking every day in their businesses. Find out more about internal control here: [link]
DID YOU KNOW… A good system of internal controls can help the organization reduce the risk of fraud, safeguard against loss, and demonstrate good business practices. Find out more here: [link]
Are you confident that your business is operating with financial integrity, accuracy, efficiency, and a reduced risk of failure? Implementing internal controls can put your mind at ease and help your business run smoothly. Sign up for our newsletter to learn more: [link]
