As a business owner you will have a lot on your plate and will be frequently juggling tasks. It is easy to let the little things slip when it feels like you have far more important things to focus on. One of the things that can be swept under the carpet is managing your finances. It seems like something that will only affect you; if anyone at all, but the last thing you want is your finances to become out of control creating even more work. Managing your finances can be simple and doesn’t need to take up a lot of time.
Put together a spread sheet in which you can record daily income and outgoing’s.
Keep all your receipts of anything you spend money on for the business, even from tiny purchases like stationary; it all adds up!
Every time you buy something or send a payment record it on the spread sheet, same goes for every time you receive a payment. When the rent for your office goes out record it, when you pay your staff record that too.
At the end of the month calculate your entire out goings and income. This will help you see where you are over spending and if you need to cut down on anything. It will only take you a few minutes to update the spread sheet each day.
Make The Most Of Technology
There are loads of apps these days that can assist you with keeping an eye on your finances. Here is look at a pick of the best-
- Expensify- This clever little app makes interpreting all your crumpled up receipts easy. All you do is take a photo of the receipt and the app turns it into an easily readable report.
- InDinero- Using this app you can put in all your expenses and all your earnings and it will work out your profit, creating charts and graphs to make everything clear. It will even display forecasts for the future.
- FreshBooks- This app takes the head ache out of dealing with invoices. Whether you are generating them or receiving them this is the app for you!
All these apps make things so much easier, there are lots of options out there so do some research to find out which app is right for your business. You may want to invest in accounting software. Use ‘find accounting software’ to determine which software is right for your needs and your new business before you spend the money.
- License: Creative Commons image source
Eilidh MacRae is writing on behalf of New Business and would reccomend them for business advice.