The Exciting Role Of Artificial Intelligence In Accounting Practices
Generative artificial intelligence (AI) has found numerous roles in various industries, occupations, and professions. The prognosis for artificial intelligence in accounting practices is similarly significant. In general, generative AI can perform analysis tasks, make decisions, provide insights and recommendations, predict outcomes, and generate original datasets or business processes. It has proven valuable in describing products, […]
Assured Smooth Transition Thru Business Succession
It is best for small businesses take a strategic approach to ensure a smooth transition thru business succession planning. Small businesses face significant risks from an unplanned transition that could threaten their continuity, financial stability, and long-term survival. These risks arise from leadership uncertainty, operational disruptions, family conflicts, financial instability, employee uncertainty and poor morale, customer […]
The Full Benefits Of Automating Financial Processes
Financial Processes Financial processes refer to standardised and sequenced activities that manage financial transactions, resources, and decision-making within an organization. These processes ensure financial stability, compliance, and strategic planning, encompassing all financial transactions and events with financial repercussions from revenue generation to expense tracking. As such, on the way to automating financial processes, one must consider that financial processes include […]
Basic Succession Planning For Family-Owned Businesses
Succession planning is crucial for family-owned businesses—it ensures the longevity, stability, and seamless transition of leadership from one generation to the next. At a granular level, it preserves a legacy, avoids leadership gaps, mitigates family conflicts, ensures business continuity, develops future leaders, and strengthens financial health. https://www.youtube.com/embed/0crckse8cqk?feature=oembed Small Business Legacy First, to preserve a business legacy, a […]
Common Bookkeeping-Mistakes Relief With Cloud Computing
Common Bookkeeping Mistakes On the way to completing bookkeeping tasks, i.e., source analysis, journal entries, and posting to ledgers, there are many opportunities for mistakes. Common mistakes or issues include data entry errors, misplacing records, failure to track expenses or to a lesser extent failure to track revenues, inconsistent reconciliation, tax compliance failures, delayed cash flow visibility, and security […]
Know Your Small Business Performance – Key Financial Ratios
A conscientious and responsible manager must be concerned about the financial performance of his/her business. Such an appreciation will help him/her gauge whether the company is underperforming, failing, or excelling. For that purpose, he must decide on the appropriate metrics, in this instance financial ratios. There are around 20 to 25 key financial ratios, from […]
For Sanity, Keep Accurate Financial Records
We begin this post with a discussion on the necessity of keeping accurate financial records, the first of a two-part series on “Keeping Accurate Financial Records And Avoiding Common Bookkeeping Mistakes.” Keeping accurate financial records is essential for maintaining a business’s financial health (performance,) decision-making, compliance and legal requirements, financial management and planning, investor and […]
Understand Your Financial Statements
The importance of understanding your financial statements. Financial statements, i.e., income statement, balance sheet, statement of owners’ equity (or shareholders’ equity), and cash flow statements, reveal the heartbeat of a business. Or it could be said that a business manager finds these statements indispensable in assessing the pulse of his company. https://www.youtube.com/embed/fb7YCVR5fIU?feature=oembed Income Statement The income statement, also known as, […]
Bookkeeping in GAAP Accounting Cycle
Bookkeeping plays a significant role in the accounting cycle as delineated by the Generally Accepted Accounting Principles (GAAP) accounting cycle. The accounting cycle is a structured procedure for recording, summarizing, and reporting financial transactions per GAAP. By following the GAAP accounting cycle, companies can ensure that their financial statements are accurate, consistent, and reliable, thereby fostering […]
Small Business Tips For Minimizing Tax Liabilities: Independent Contracting And Outsourcing
Independent Contracting And Outsourcing Small businesses can use independent contractors and outsourcing to limit their tax liabilities. Both strategies, differing in relationship, scope, and execution, enable businesses to complete work outside their employee base. Independent contracting involves hiring an individual or individuals to perform a specific service or task. The business contracts directly with the contractor(individual.) The independent contractor […]