Monthly Write-Ups

For a small business owner, accounting may be something that only comes to mind when it absolutely has to, like when bills are due or at tax time.

Good accounting practices are an ongoing, year-round process and a good accounting system can prevent problems or identify them early so they can be quickly corrected.

Part of that system will be monthly write-ups that include reconciling your accounts to make sure every transaction is recorded correctly, generating your income or Profit and Loss statement so you can see how much you're making, and balance sheet so you can see where you are at the moment, and finally reviewing and correcting your general ledger to ensure everything is properly balanced.

Once this foundation has been laid, you can use the information to plan for the future. If you need financing for a growth project, banks will need to see these reports and others in order to determine your ability to repay the loan.

Trust a certified CPA to handle all your monthly or quarterly reports to ensure they are prepared professionally and accurately. Having your CPA work with you throughout the year allows them to become familiar with your business and lets them see trends that might influence their advice to you for tax and growth planning.


Leave a Reply

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>