Small Business Tips 101
Most people dream of being their own boss. Owning your own business means that you get to call all the shots and keep most of the profits. However, it also means increased responsibility and stress. Here are a few tips to help you.
You may want to consult a CPA first and decide if you want to get incorporated or file your taxes under your personal social security number. You will also need to pay your taxes to the IRS every three months. If you choose to pay your taxes at the end of the year you will be faced with a penalty. A CPA may be expensive but he or she will be worth their weight in gold when it comes to helping you sort out the financial side of running a business.
Once your business expands and your accounting is a bit more complicated you may need to hire a chief financial officer. Many smaller businesses choose to hire a temporary CFO instead of a full time one because it's a lot more easier to manage financially. A qualified CFO can assist you with issues such as business intelligence and advise you how to maximize your revenue and earnings.
You will also need a bookkeeper in order to enter incoming and outgoing expenses or you can do it yourself via sofware such as Quickbooks. Make sure to keep receipts for everything that your business needs. Services and goods used strictly for your business can be written of once it's tax time. This may include internet service, cell phonne service, website hosting, office supplies and even gas mileage.
As the owner of your own small business you will want to delegate the workload to those who are most suitable for it while you oversee everything. One of the biggest mistakes that entrepreneurs make is to try to do everything by themselves. It's a lot more productive to delegate the work to experts in their field because that will free you up to make the big decisions. It's also equally important not to micromanage. Trust that you hired qualified individuals and let them do their thing.
Last but not least you will want to keep a tight reign on the finances. Make sure to reinvest any profits back into your business so that it has room to grow. Many business owners make the mistake of spending profits instead of using it to fund their business.
You may want to consult a CPA first and decide if you want to get incorporated or file your taxes under your personal social security number. You will also need to pay your taxes to the IRS every three months. If you choose to pay your taxes at the end of the year you will be faced with a penalty. A CPA may be expensive but he or she will be worth their weight in gold when it comes to helping you sort out the financial side of running a business.
Once your business expands and your accounting is a bit more complicated you may need to hire a chief financial officer. Many smaller businesses choose to hire a temporary CFO instead of a full time one because it's a lot more easier to manage financially. A qualified CFO can assist you with issues such as business intelligence and advise you how to maximize your revenue and earnings.
You will also need a bookkeeper in order to enter incoming and outgoing expenses or you can do it yourself via sofware such as Quickbooks. Make sure to keep receipts for everything that your business needs. Services and goods used strictly for your business can be written of once it's tax time. This may include internet service, cell phonne service, website hosting, office supplies and even gas mileage.
As the owner of your own small business you will want to delegate the workload to those who are most suitable for it while you oversee everything. One of the biggest mistakes that entrepreneurs make is to try to do everything by themselves. It's a lot more productive to delegate the work to experts in their field because that will free you up to make the big decisions. It's also equally important not to micromanage. Trust that you hired qualified individuals and let them do their thing.
Last but not least you will want to keep a tight reign on the finances. Make sure to reinvest any profits back into your business so that it has room to grow. Many business owners make the mistake of spending profits instead of using it to fund their business.
About the Author:
A part-time CFO is most suitable for small businesses. Fractional CFO provides business strategy and consulting services to small businesses.
Posts
