Staying on top of your accounts can be difficult for a business, especially if you’re a freelancer or you run a small business with no accounting personnel. Payments can fall behind, invoices can be paid late, and you could find your cash flow begins to suffer.
But just because your business is small, doesn’t mean that you can’t keep your accounts in order. Take a look at some of the tools that can help your business manage its money better below.
Keep a cash statement
A new or small business needs to be able to manage its finances effectively. It’s easy for businesses to suffer with cash flow issues due to late payments being made, and not having up to date figures to hand that can make you think you have more money than is actually there. One of the ways you can manage your cash flow successfully is to keep a cash flow statement that you update regularly to give you a clearer picture of your business’ finances. Make sure you stay on top of your cash flow to avoid simple mistakes causing issues for your business.
Use smart billing tools
Late invoicing and subsequent late payments can make things difficult for your business. Getting the right billing system in place can help make sure that you’re prepared by producing automatic bills, sending reminders, etc. without having to use your own time to do so. SATbill billing is a fantastic online billing tool that can help you to cut your billing times and improve your business’ cash flow. Find a solution that works for your business that will make sure billing and invoicing happens automatically to keep money coming into your business.
Take an accounting course
If finance isn’t your strong suit, you might want to think about taking an accounting course that can help you learn more about balancing your own books. It doesn’t have to be anything formal or lead to a qualification, but a short online accounting course could help you develop your confidence with your finances. Even sitting down with a friend or relative who’s great with accounts could help teach you some basic skills that could come in handy as you get to grips with managing your business’ money.
Make managing your accounts simpler
It’s difficult for small businesses to manage their own accounts. Hiring a dedicated finance employee or outsourcing your accounts can be an expensive outgoing you might not wish to have at an early stage. Fortunately, you can find some useful online accounting software that will make light work of balancing your books. Investing in this type of software could be worthwhile for your business so that you don’t waste time pouring over your books, and can focus on running the rest of your business instead.
Getting to grips with your accounts is one of the learning curves you’ll experience as a new business owner. Why not take a look at ways to give your startup structure to help your new business stay on track?