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15760 Ventura Blvd, Suite 610 Encino, CA 91436
FREE CONSULTATION818-436-2775
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Personal, Affordable Payroll Services, Bookkeeping, and Tax Processing for Small Business throughout Los Angeles County.

11 Accounting Tips to Save Your Small Business Time and Money

With all of the responsibilities that come with running a business, it can be difficult for business owners to put as much time and effort into accounting and bookkeeping as they should. But poor small business accounting practices make it difficult to maximize revenue, maintain consistent cash flow, and plan for the future.

While many small business owners try to maintain their own books, hiring a professional accounting firm can help your business achieve incredible financial benefits while allowing you to focus on other important aspects of running your business.

To help you take control of your company’s finances, here are 11 accounting tips that can save your small business time and money.

Time & Money Saving Accounting Tips

Accounting and bookkeeping may not always be your top priority as a small business owner, but they should. By implementing the right procedures and accounting practices, you can set your business up for success in the future.

Here are 11 effective small business accounting tips to help your business grow.

Separate Expenses

Separating your business and personal expenses makes it easier to track possible business tax deductions. Make sure to open a dedicated business bank account for all business-related transactions.

Track Expenses

Track, label, and categorize every business expense to maximize your business tax deductions and credits. Tracking expenses also makes it much easier to create an accurate small business budget.

Track Labor Costs

Payroll can take up a significant portion of your budget. Make sure to keep tabs on employee benefits and overtime to avoid over or underpaying employees.

Plan for Major Expenses

Major expenses are unavoidable, but by planning for the unexpected, you can ensure your business remains in good financial health when you have to fork up the cash for equipment upgrades, new office space, etc.

Automation

Automating your accounting and bookkeeping practices with accounting software makes it easy to manage your finances without having to dedicate too much time to manual review.

Keep Your Books Up to Date

Don’t let receipts and receivables pile up. Make sure to dedicate time every week to update your books and ensure they are current.

Maintain Accurate Inventory Records

Make sure to keep accurate records of inventory, including stock numbers, prices, purchase dates, and dates sold, to avoid unnecessary losses.

Stay on Top of Invoices & Receivables

Always send invoices as soon as possible and follow up with vendors to ensure your business is paid on time.

Create Financial Projections

Financial projections allow businesses to get a better idea of where their business will be in the years to come. Creating accurate projections can help businesses make informed financing and investment decisions.

Record Income

Keep accurate records of all income sources to ensure you are able to maintain a steady cash flow. This includes sales revenue, loans, and any other sources of business income.

Hire a Professional

While small business owners are often able to get away with managing their own finances at first, it’s important to hire a professional accounting firm to manage your company’s financial health as it grows.

Accounting is an essential aspect of building a successful small business, and by implementing the tips listed above, you can save time and money while preparing your business for the future.

Small Business Accounting Services

Small business accounting is incredibly important, but with all of your responsibilities as a business owner, it can be difficult to manage your finances on your own. Professional accounting and bookkeeping services can help you improve your company’s financial health while allowing you to dedicate your time to other aspects of your business.

ATPP works with businesses in Southern California to provide professional bookkeeping and accounting services they need to grow. Contact us today to learn more about how we can help your business prosper.