Three Things To Get With Money Management For Your Business
Two people running a business may be easier than one. Being able to split up all of the functions of the business means that no one has too much on their shoulders. One thing that cannot just be left to one business partner is the money. If money and debt is a part of your business, you will need to have the finances managed by someone. If you and your business partner wish to keep your relationship civil, have someone else to manage the accounts. Here are three ways to have the accounts managed, but remain abreast of your businesses dollars and cents.
Get biweekly updates
It is a good idea to get updates regularly of your accounts. Your account manager should do the books weekly or biweekly, depending on how new your business is and how much money you have coming in. Email updates or a conference call update on where the accounts are will keep everyone knowledgeable without having to deal with the stress of going through the accounts and balancing the checkbook all of the time. Make sure that the lines of communication are open so that all questions can be answered.
Have the manager create paychecks
If everyone at the business, including yourself and your partner, are paid through a regular paycheck, have the account manager prepare these items. Either paper check or direct deposit is possible, along with the pay stubs for everyone. If any changes must be made, you and your partner should have to sign off with it through the accountant. This will make sure that you do not have anyone making unauthorized changes or that any mistakes have three eyes looking at them.
Keep abreast of the taxes throughout the year
Get an accountant for your business that also operates as a tax preparer. It is a good idea to look at where you stand tax-wise all throughout the year so that there are no surprises. If you must file taxes as a company, have your accountant run the current numbers through the tax preparation system and figure out how much you would owe. If you can decrease the amount that you owe by purchasing more equipment or stock, you may wish to invest before the year is out. If it turns out that you have more losses than gains, you may also wish to have a sale nearing the end of the year so that you end on a high note.
Contact a professional like Dale K. Cline, CPA PLLC to learn more.