What is Useful About Small Business Accounting

Most of the difficulties of a company come from poor management or accounting. Paradoxically, it is to this area that entrepreneurs provide the least effort. Indeed, entrepreneurs who lack training in business management prefer to spend their time on more exciting activities: selling, customer care, communication, products (which is understandable). That is why we suggest a few tips to follow for a successful small business accounting.

The key to Small business accounting does not only have to do with numbers

I put this point first, since it is most important. Accounting is not an end in itself but a tool.

It is true that most of it has to do with keeping track of what comes in and what goes out of the business. However, if you look closer at the information small business accounting gives you, you should be able to see trends in sales and expenses for example. When you focus on the long term trends, accounting becomes more useful and interesting. It tells you what happens every day, it highlights the problems, but it can also help you to solve those problems. You can make small business accounting if you only changed the way you look at it.

Routine practices for a regular and consistent small business accounting

The secret is to get used to performing accounting tasks and making them part of your daily or weekly routine. For instance, you may see that it makes it easier to choose a day during the week to perform a task. You can write checks and make deposits on Mondays. You can also decide to call your debtors on Tuesday. By doing this, you will be able to keep an eye on your finances without feeling like you are doing it.

Examples of small business accounting tasks to perform regularly:

Verify what your fixed costs will be for that month and anticipate for the following. Pay attention to what you spend this and the last month. Make sure you verify all credit card payments. Keep track of accounts receivables. Remember to send the invoices to the customers. Ask your accountant to verify the work you do. Keep track of cash flow trends, etc.

Taking Advantage of the Trends of 2012 in Your Small Business

Well, as a former businessperson in retirement I am often contacted by a small business startups and asked questions about how best to do business in such a dismal economy. In fact generally the questions are accompanied by excuses and complaints. Indeed, just as the economy presents challenges, hardships, and crisis for small businesses, I would submit to you on a reciprocal side it also unveils excellent opportunities at every turn. Indeed I’d like to talk to you about this for a moment if I might.

Is it possible to take advantage of the economic downturn and slow growth economic trends? Is it possible to take advantage of other cost-saving strategies to improve efficient marketing in 2012? Yes it is, and let’s go ahead and talk about this for a moment

Slow Growth Economy

A slow growth economy means your competition is not expanding as fast as it normally would. It also means if you’re starting a new business you’re going against businesses that are well-established, but ones which are also experiencing challenges with cash flow and have been beaten down. If you come into the market hot and heavy, they may not be able to compete, they don’t have anything left in them.

Consumers – Low Cost High Volume Strategies

Gaining market share very rapidly in a downturn economy is pretty easy if you use a low-cost high-volume strategy to gain market share. This also creates an abundance of referrals, and a very large customer base extension to perhaps market segments you would normally not have.

Inexpensive and Over Qualified Labor

Downturns in the economy also mean that fewer people are employed, and that means some top-notch people who are over qualified will be willing to work for you at half the salary. This means you can put together a significant team of experienced employees. When the economy is cooking along very nicely, you will be able to do this.

Deals on Supplies, Inventory, Vendor Assistance

When times are tough and other small businesses are hurting, that means your vendors, suppliers, and those who sell your inventory to you are willing to make deals, give you better terms, and offer you assistance. That’s free for the taking, and it will lower your costs, allowing you to pass those lower costs onto consumers to grow your business.

Low Cost Loans

Right now interest rates are at an all-time low, and if you can qualified to get a business loan, the amount in which you’ll have to pay back later in interest is quite reduced. If you can get the loan, this becomes an advantage to your business. Your competition may not be able to get the loans because they cannot prove their cash flow is adequate enough considering the hardship they’ve had going through during the last recession.

Deals on Business Location Leases

Lastly, right now some retail centers have extra unoccupied space, and they are willing to do deals to fill out the spaces, improve their own revenue, and allow them to keep those business buildings from being foreclosed on. This gives you the advantage in negotiating a good deal on a lease with excellent more favorable terms well below what your entrenched competitors are already paying.

Therefore I ask that you stop complaining, and start using your mind and thinking about how to take advantage of the current economic crisis. Please consider all this and think on it.

Small Business Marketing – Trends That Can’t Be Ignored

In our current market, changes are being seen everywhere and that includes in small business marketing. Small businesses realize that if they want to be truly competitive they must keep up with the trends and the main aspect of marketing that is getting a lot of attention is social media. Social media has completely changed the way that small businesses relate to their customers. It is becoming more and more obvious that small businesses need to adapt their marketing to become part of their customer’s lives instead of intruding on their lives.

Small Business Marketing is Meeting People Where They Gather

Once, marketing meant finding your way into people’s lives by intruding into their regular lives – while they were watching televisions, listening to the radio, or even the using the public washroom. It meant finding a way to get in front on them where they couldn’t get away. Marketing is changing, though!

Businesses are realizing that there are other ways to get their message in front of people without being intrusive. In order to do that though, businesses have to go where people gather. Today, that means getting involved in social sites. Sites like Twitter and Facebook were created to connect people – old friends, classmates, and family. Businesses have realized that they can interact with people on social sites in a way that is almost like the relationship between friends.

Sharing Information and Giving Advice

Businesses are doing more than just getting a message across on these sites. They are developing relationships with their customers. How? One of the main ways is by sharing information and giving advice. People who interact with businesses on these sites are doing so because the businesses involved have something to offer them.

Businesses are not selling things on social media – instead they are giving away what people really want. They are giving them ways to use their products more effectively, ways to make comparisons, and ways to make decisions. By doing this they are building relationships. By building relationships with customers and with potential customers they are increasing the trust factor, which goes much further than just selling a product.

Small business marketing is taking advantage of every tool at their fingertips and the trends are all pointing at social media. Social media enables businesses to build trust and trust lasts longer than any sales pitch that a company can make.