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Every trader needs a trading platform. It is impossible to make transactions in the financial markets without it. Different developers offer such platforms. The most popular are Meta Trader 4, Meta Trader 5, and the innovative cTrader. Since progress does not stand still, each of the listed trading terminals also comes in different variations of access to it. Every company that provides clients with Forex trading services in the United States must be a member of the NFA. Disciplinary action ranges in severity from a written warning to a fine of $300,000.

What is the return on a Merchant Account?

It all depends on how much you want to invest, where, and how long. If you invest money in government bonds, you can earn an income of 4 to 7% per annum in dollars without much risk to your investments. A good result is considered on average if investments in shares bring 9 to 15% per annum in dollars. But losing part of the invested funds due to a fall in the market value of shares is much higher than bonds. There is no ceiling for potential income in investments on the stock exchange; under certain circumstances, you can multiply your investments many times over. But it is important to remember that there is always a risk of losing the invested funds in the stock market and the opportunity to earn.

What Is Overnight on A Brokerage Account?

Overnight is when a broker, with your consent, borrows your securities overnight between two trading sessions or on the weekend. At the same time, he undertakes to return the securities in the morning of the next business day before the resumption of trading. An investor participating in overnight transactions receives a small reward, usually about half percent per annum of the value of his securities at the close of the exchange before overnight. Overnight does not affect the financial result of your main transactions and does not reset the deadlines for obtaining a tax benefit for long-term holding of securities.

Types Of Trading Platforms

There are several ways to open the platform and access your trading accounts. The first option assumes that you go to the broker’s website, open the Download Center section, select the branded platform you like best, and click on the Windows or Mac icon. It will start downloading the installation file to your computer or laptop. Please note that you need to download the app from Google Play or the AppStore for tablets. The stationary version of the platform is only for computers.

Pros Of Merchant Accounts:

1. The interface is like the desktop version of MetaTrader
2. The ability to create a new demo account directly on the platform
3. Turning windows on and off, adding graphic objects
4. One-click trading
5. Setting pending orders
6. Access not only from a computer but also from a tablet and a mobile
7. Full functionality identical to the desktop version
8. Access in the browser of any device – including Mac
9. Market Depth Level 2
10. Pending orders
11. 50 pre-installed indicators

Cons Of Merchant Accounts:

1. Limited functionality
2. Only a few built-in standard indicators
3. Can’t load custom indicators
4. Can’t use an EA
5. No environment for testing strategies
6. No sound alerts
7. Can’t reconfigure the interface
8. No access to cTrader Automate (advisor/robot trading)
9. No environment for testing strategies
10. No sound alerts
11. You must update your browser to the latest version

What Is a Subaccount and How to Open It?

A sub-account is an additional section of the leading brokerage account where you can account for securities and currencies separately from the main narrative. It is not possible to open a subaccount with risky Investments. It is helpful if you use different strategies and don’t want to mix up the conservative part of your portfolio with the part you are active or risky in.

What is a Browser Platform?

The web version is another type of trading platform – modern and convenient. You need to follow the link from the same Download Center on the broker’s website. The login and password entry page for your trading account will open. If you started trading on the stationary version of MT4, then in the browser version, you will also see all your current positions and transaction history. The paramount convenience of the web platform is that you are not tied to one device. You can leave home without a laptop, and in the office, from another computer and log in to your trading account via a browser. Opening deals through the tab are as reliable as the stationary, desktop version. Synchronization also works in the opposite direction. You will reflect all changes made to the trading process on your account in the browser in the software on your home computer. By the way, it is not necessary to install software initially for trading with a broker. You can only trade on the web or only on a mobile. If necessary, you can download and connect to the stationary platform at any time.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud platform where their QuickBooks™️ file, critical financial documents, and back-office tools are hosted in an efficient SSO environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

Credit history is information about your credit obligations. It shows which banks, microfinance organizations, or consumer credit cooperatives you applied for loans and credits. When was it, and how much did you charge? Have you been a co-borrower or guarantor for other people’s loans? Payments were made accurately or delayed. This information is stored, there are several of them, and each bank, MFI, and CCP has the right to choose any bureau to which it will transfer information about its borrowers. Often, financial institutions transmit data to several bureaus at once. If you accept loans and borrowings in different places, then it is likely that your credit history is stored in parts in several credit bureaus. And it will be necessary to obtain data from all these bureaus to put together a credit history.

How To Fix Your Credit History Yourself

Suppose the credit record’s quality has suffered because the borrower himself has broken the payment schedule because of the borrower’s actions. In that case, it will not be possible to apply for the removal of negative information. Information about past dues will remain in the credit history. The essence of the strategy is that the borrower accepts a small consumer loan and carefully repays it by the payment schedule. The conscientious performance by the borrower of his obligations is the key to the successful restoration of a damaged biography. Getting a card is not difficult: many organizations lending to the population issue them based on one application. After receiving the card, you will have to use it actively and not forget about the need to repay the formed debt.

Correcting A Credit History Damaged as A Result of a Technical Failure or Error

If banks refuse a loan because of credit history, in this case, they say that it is damaged and is of poor quality. There is no need to fear this; you need to know how to fix the situation. The main thing is to differentiate between your legitimate options for correction and offers to remove unwanted entries, which sometimes come from dishonest helpers. The description of loans and borrowings closed and active, information on maturities, outstanding balance, presence or absence of overdue payments, and there may also be information about an unfulfilled court decision or the collection of debt by bailiffs for unpaid services of mobile operators, housing and communal services, and information about alimony. In the latter case, the borrower becomes a victim of scammers; he will spend money in vain and be left with a damaged credit history.

How To Repair a Credit Report If It Contains Errors?

This situation is the easiest option for restoring quality. As a rule, through whose fault false information appeared, the creditor is himself interested in correcting it. As soon as the lender forms the credit history (that is, the bank that issued the loan), it is necessary to write an application for correcting the credit history with a statement of the claim. The lender will update the credit record. It is even safer to act through a credit history bureau, which checks and contacts the creditor after an application to challenge an unreliable narrative.

Correction Of a Credit History Affected by The Actions of Fraudsters

It happens when attackers manage to get a loan using a stolen passport or data from it. Recently, due to the explosive dissemination of information, such cases are not uncommon. That is why experts advise regularly checking your credit history to notice manipulations in time and take action to correct your credit history. Suppose the borrower finds that his history contains records of loans that he did not take. In that case, you should immediately notify the organization that issued the loan and be ready to prove your innocence. Timely notification will help quickly correct your credit history and prevent possible relapses.

How To Change the Credit History If the Bank Refused to Correct the Credit History?

The issue will have to be resolved through the court. The defendant, in this case, will be the bank. Sometimes (especially in cases where fraudulent actions of third parties become the reason for the appearance of inaccurate information in the database, and the borrower needs to prove that he did not take the loan), you may delay litigation. There is no way to get alleviated this problem. If the court accepts the borrower’s side, the latter may demand material compensation from the culprit for the damage caused. With a favorable consideration of such a case, the court will decide to oblige the bank to correct the story.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud platform where their QuickBooks™️ file, critical financial documents, and back-office tools are hosted in an efficient SSO environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

The volatility of investment returns that an investor is willing to endure in financial planning. Risk tolerance is essential and often associated with age, although this is not the only determining factor. However, younger people with a longer time horizon can often and are encouraged to take more risks than older people with a shorter time horizon. Equities, equity funds, and ETFs are frequently associated with higher risk tolerance, whereas bonds, bond funds, and ETFs are commonly associated with lesser risk tolerance. However, it would be best not to use age to determine asset class changes. Those with higher net worth and higher disposable income can usually afford to take more risks with their investments.

Key points

• Risk tolerance estimates how much loss an investor is willing to bear in their portfolio.
• It looks at how much market risk an investor can tolerate — stock volatility, stock market fluctuations, economic or political events, regulatory or interest rate changes. All these factors can cause their portfolio to fall.
• Risk tolerance is influenced by a person’s age, investing goals, income, and comfort level.
• An investor who is more active and has a more significant risk tolerance. Is ready to risk more money in exchange for the possibility of making more money than a conservative investor.
• A person with moderate risk tolerance is balancing an aggressive and a conservative investor.

Understanding Risk Tolerance

There are many risk tolerance assessments for investors, including risk-related surveys and questionnaires. As an investor, you can look at the worst-case historical returns for various asset classes to see how much money you could lose safely if your investment had a bad year or a series of bad years. Other factors that affect risk tolerance are the time horizon you must invest, your future returns, and whether you have additional assets such as a house, pension, social security, or inheritance. In general, you can take on more risk with investable assets when you have other, more stable sources of funds.

Brief information

Risk tolerance is distinct from risk tolerance, which refers to the minimum amount of risk an investor must tolerate to achieve their investment goals compared to their time frame and return.

Aggressive risk tolerance

Aggressive investors tend to be well versed in the market. Individuals and institutional investors with a thorough grasp of securities and their biases can buy volatile assets like small-company stocks, which can drop to nothing, or options contracts, whose expiration dates may be worthless. By maintaining a base of risk-free securities, aggressive investors achieve maximum profit with maximum risk.

Moderate risk tolerance

Moderate investors assume some risk to the principal but take a balanced approach with medium-term time horizons of five to 10 years. By combining large-company mutual funds with less volatile bonds and risk-free securities, moderate investors often stick to a 50/50 structure. A common technique is to put half of your portfolio into a dividend-paying growth fund.

Risk tolerance is moderate

Conservative investors accept minimal or no volatility in their portfolios. Often retirees who have been building a cemetery for decades are unwilling to take any risk to their director. A conservative investor aims for guaranteed and highly liquid funds. Risk-averse people choose bank certificates of deposit (CDs), money markets, or US Treasury bonds to generate income and preserve capital.

Determining Your Risk Tolerance

Risk tolerance is an essential aspect of starting to invest. Depending on your age, income, investments, and goals, you will fall into one of five risk categories:

• Very aggressive
• Aggressive
• Balanced
• Conservative
• Very conservative

The easiest method to determine which end of the range you fall into is by age. If you are an adult and just started your career, you will fall on the very aggressive side of the spectrum, and if you are older and nearing retirement, you are probably on the very conservative side. Complete a risk tolerance questionnaire to determine exactly where you fell.

How much risk you’re willing to take is the key to building a portfolio that meets your needs, but you can’t just evaluate it once. Every year or two, you should review your risk tolerance. You should then continue to adjust your portfolio as needed to match your risk tolerance.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud platform where their QuickBooks™️ file, critical financial documents, and back-office tools are hosted in an efficient SSO environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

Distinctive features of the American market

A distinctive feature of the American market is the variety of financial instruments: more than 5 thousand shares, about 1000 depositary receipts, more than 2000 ETFs, and bonds. For comparison, the Russian market is represented by approximately 2,000 debt instruments, and in terms of shares – about 280 securities. American sites are multinational; securities of both national and international companies are traded here. Among the market participants, among other things, there are our domestic public companies, most of which are also represented on the Moscow Exchange site. For example, depositary receipts of the Russian MTS, Chinese Alibaba, Indian Tata Motors, and 1000 other foreign companies are in circulation in the US market.

The American market provides investors with great opportunities in industry diversification of investments. Compared with the same Russian market, represented by 17 sectors, the US market circulates securities of issuers from 20 sectors of the economy. If we compare the structure of the Russian and American markets, then: the Russian market, as a direct reflection of the resource-based economy of the Russian Federation, has a significant bias towards the oil and gas whereas mining sectors; in the US market, the technology and financial sectors stand out in terms of capitalization. Each sector of the US market, in turn, is divided into several industries. Companies from 129 industries are represented on the US stock market.

The variety of trading platforms is an absolute plus for investors:

1. Exchanges competing can offer more favorable conditions for their customers.
2. Greater liquidity of investments is provided: a fascinating fact is that securities of the same issuer can be traded on several sites at once under the same ticker. At the same time, the orders placed by the investor for the purchase/sale are broadcast by the broker to all sites at once, which allows you to make transactions with minimal losses and transaction costs.
3. The main distinguishing feature is that there are many exchanges in the US stock market, unlike in Russia: from small to global giants, different in scale and range of instruments provided.

Structure of the American market

The list of participants in the US stock market, their tasks, and functions are like the structure of the Russian market (see the article “How the stock market works” ): the exchanges themselves, investors, issuers, clearing organizations, and brokers. By analogy with the Central Bank of the Russian Federation in Russia in America, the regulators of the trading process are two leading financial institutions – the Federal Reserve System (FRS) and the SEC Securities Commission. Several independent departments create rules for the interaction of stock market participants and monitor their implementation (FOMC, FINRA, etc.).

As for the US exchanges themselves, there are currently more than 10. And if you glance at the history of the market, many trading platforms were formed here, some of which, over time, could not withstand competition and went out of business. Others consolidated into groups. Of the entire existing modern list of exchanges, some operate as independent stock players, and some are part of international exchange holdings. Some are universal, and some are specialized.

The figure shows, as an example, a list of exchanges where shares are traded from the foreign trading terminal Trader Workstation:

American Stock Exchange (NYSE MKT LLC, formerly AMEX)

The American Stock Exchange (NYSE MKT LLC, formerly AMEX) is one of the US stock exchanges, founded in 1911 in New York. Currently renamed NYSE MKT LLC and owned by the NYSE. Capitalization – about 1 trillion Dollars.

The company’s heyday came in the second half of the 20th century when the number of companies listed on the AMEX sites almost equaled the NASDAQ. But after the launch of the electronic trading platform on the NASDAQ exchange, there was a significant outflow of bidders. In response to the current crisis conditions, the company began to look for alternative ways of development – expanding the list of available instruments and launching a listing of foreign companies. These measures had a temporary effect. During these difficult times for the exchange, AMEX “passed into the hands” of NASDAQ, then there was a buyback. But in the end, in 2008, in the context of the global economic crisis, AMEX finally lost its viability – it lost its sovereignty, passing into the possession of the NYSE and renamed NYSE MKT LLC.

Today, NYSE MKT LLC is a platform for listing and circulation of companies with small and medium-capitalization. In the exchange environment, it is considered a “bridgehead” for dispersing small companies, which subsequently go to the NYSE exchange upon reaching a certain level.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud platform where their QuickBooks™️ file, critical financial documents, and back-office tools are hosted in an efficient SSO environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

Compared to controllers, it’s best to look at experienced accountants (even managers or other senior positions). An entry-level accounting job can be great, but most controllers have years of experience and several professional certifications. Virtually all controllers start their careers as accountants or work in a corporate environment before moving on.

Key Findings

An accountant or practicing accountant maintains and analyzes financial statements.

The controller or controller oversees the firm’s accounting operations, including the management staff.

Since the duties and responsibilities of controllers go beyond those of an accountant, they usually receive a higher salary.

There are no additional requirements to become a controller from an academic standpoint, but most have advanced degrees such as an MBA.

Accountants

Non-controlling accountants have a choice of several specialties. Someone is engaged in audit, someone is involved in tax accounting, someone works for the government, and someone is engaged in accounting and internal reporting.

Accountants of all stripes perform the functions of accountants or review other accountants’ work. They work to stop fraud and maintain accuracy for their colleagues, investors, creditors, and regulators. Many have a strict code of professional ethics, not unlike that applied in the medical industry.

Controllers

Controllers come in different types. The most typical are business and corporate controllers who maintain entire accounting systems for their employers. It means setting up an accounting infrastructure and keeping records for small companies, while larger companies use controllers as overseers. Other controllers perform for the government and are like their respective agencies’ chief financial officers (CFOs).

The business controller is, in fact, the chief accountant of the company. The controller is believed to be a member of the executive staff and usually plays a vital role in organizing and (in the absence of a better term) controlling the accounting staff in the company.

A common but underestimated role of the business controller is interpreting financial data. Controllers are usually highly experienced in accounting and business forecasting, especially as far as tax administration is concerned. The controller may also be asked to share their experience in investment, creditor relations, corporate governance, or other areas.

Often, the controller has one or two controller assistants at its disposal. Assistant controllers are typically less experienced and pay more time on the day-to-day minutiae of data collection, regulatory and regulatory reporting, and preparing particularly complex log entries.

Facts about the CFO position

The financial director, as a rule, is a member of the company’s top managers. Reports directly to the head of the firm. Maybe an associate of the board of directors of the organization. Its main features include:

development of a strategy for managing the company’s cash flows.

• Financial planning
• Building the monetary policy of the company
• It ensures the stability of the company in terms of capitalization
• Participation in the preparation of reports and control over the relevant procedure

Deputy General Director for Finance

It is usually within the competence of the person holding the position in question to analyze the situation within the firm and in those socio-economic and political environments surrounding it.

Comparison

What is the critical difference between a financial director and a chief accountant? It lies, first, in the difference in competencies associated with the right to dispose of funds.

The financial director can direct the capital belonging to the company for one purpose or another. At the same time, the chief accountant, in most cases, does not make such decisions. However, he provides their correct implementation and compliance with the law and reports on them so that the financial director can use the available figures to optimize the investment strategy.

We noted above that due to the nature of his job functions, the financial director might need to study internal corporate business processes and external factors affecting the company’s financial stability. In turn, the competence of the chief accountant usually does not possess such activities.

Thus, the financial director is accountable for the business’s compliance with market realities, for the efficiency of capital allocation, and for improving the company’s profitability. The duties of the chief accountant are to guarantee the legitimacy of financial transactions carried out by the company by preparing supporting documents and forming the necessary basis for the economic analysis conducted within the organization.

The work of a financial director is mainly related to interaction with business entities – company executives, representatives of partner organizations, investors, banks, etc. The chief accountant, in turn, is not very actively involved in such communications. However, he regularly interacts with government agencies – in the process of transferring reports there or during inspections. The financial director is not always connected to this direction. About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud platform where their QuickBooks™️ file, critical financial documents, and back-office tools are hosted in an efficient SSO environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

What is CPA or Certified Public Accountant?

A CPA is an accounting expert who has completed at least three years of college and is certified according to strict guidelines. A CPA licensee must also pass a 14-hour state accountants’ exam and complete an extra 40 hours of annual professional training to keep their license current. The section on taxation deals with reporting and regulation, which allows a certified public accountant to prepare audited financial statements that an ordinary accountant cannot. Investors in corporations that trade their shares on the stock exchange receive these income statements and balance sheets. A CPA is limited to offering services in their licensed jurisdiction, like a solicitor in the United States. To become a CPA, you must have spent at least eight years under the direct supervision of another CPA. Investors in corporations that trade their shares on the stock exchange receive these income statements and balance sheets. A Certified Public Accountant, like a solicitor in the United States, is confined to providing services in the authority they are licensed. To become a CPA, you must have spent at least eight years under the direct supervision of another CPA.

What is an EA or Enrolled Agent?

An enrolled agent, sometimes known as an EA, is a tax preparer who specializes in the management of corporate or private entity tax arrangements. Aside from tax returns, the EA is knowledgeable in the following areas:

1. Income Tax
2. Payroll Tax
3. Estate Tax
4. Retirement Tax
5. Non-Profit Tax

A qualifying exam is done and passed for the EA to become a government-recognized tax specialist. The revenue authorities perceive enrolled agents as tax experts above the Certified Public Accountants. The enrolled agent represents their individual or business clients on tax collection, audits, and appeals.

The Main Difference

Both are identifying data, but one is regulated at the state level while the other is held at the federal level. To become a CPA, you must complete 150 hours of training and pass the four-part CPA exam. Financial Accounting and Reporting, Auditing, Business Environment and Concepts, and Regulation are the four sections of the CPA exam. The CPA is state-approved, limiting its scope of practice in these jurisdictions; nevertheless, reciprocity is possible in certain circumstances. CPAs and EAs must adhere to strong ethical guidelines. A registered agent is a federal tax expert with unrestricted authority to represent taxpayers in front of the IRS. To become an EA, you must pass a comprehensive three-part exam covering all aspects of the tax code- individuals, businesses and representation, practice, and procedure. Or have worked for the IRS for five years in a position where you were required to explain and implement the tax code daily. All EA candidates must pass an IRS background check, including looking into their personal tax history.

EA Vs. CPA Career Path Difference

As a registered agent, you specialize in tax matters, such as preparing taxes for individuals and businesses or advising customers. Tax preparation franchises and working for a CPA are good options for you. A CPA’s job options are substantially broader, and they can work for the government, the business sector, or people. CPAs hold positions such as CFO, controller, tax specialist, and auditor, to name a few. CPAs can perform for the government, large and small businesses/corporations, non-profit organizations, or independent contractors.

EA Vs. CPA Time Differences

To become a CPA, you’ll need to put in about 8 to 9 years of work. Before taking the CPA exam, you must have 150 hours of academic credit. The pass rate for the CPA exam is exceedingly low, and you only have 18 months to pass it. If you live in a region where two years of professional experience is required and use the 18-month testing period, you’ll be looking at an eight-and-a-half-year commitment. Becoming an EA takes less time. You must first pass a three-part IRS exam before applying for a license to practice. A job that qualifies you for the It’s possible that the IRS will exempt you from taking the exam. Before filing for EA status, it is more common for individuals to have a track record in the astir and check tax returns. While both CPAs and EAs have a thorough understanding of taxes, the criteria for each differ. CPAs must generally complete accounting coursework at a college or university, meet experience requirements, and pass the four-part Uniform Certified Public Accountant Examination. However, the specific qualifications vary by state or jurisdiction.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud platform where their QuickBooks™️ file, critical financial documents, and back-office tools are hosted in an efficient SSO environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

The structural growth of SMEs is inhibited

Various factors have an inhibiting influence on the structural growth capacity of SMEs. Despite economic growth, business investment is not increasing. The investment rate of SMEs is down by 3 percent compared to 2011.

A shortage of personnel hinders a quarter of entrepreneurs. At the same time, labor is relatively cheap because wages in many sectors have lagged behind labor productivity developments. As a result, entrepreneurs have fewer incentives to invest in labor-saving technologies, which are often the driving force behind increased labor productivity.

Further analysis of figures leads to the following observations of the Committee:

• SME productivity is increasing, but there are significant differences
• Only a small part of the companies grows to a higher size class
• A large proportion of SMEs are vulnerable to cyclical fluctuations
• Little is invested in the major transitions

The conclusion is that companies need to become more productive. In the short term, an even more powerful ‘platoon’ of SME entrepreneurs is needed that continues to invest in their own earning capacity. As noted in previous annual reports, if this does not happen, growth will come to a standstill, and the competitive position will deteriorate.

This analysis model shows which buttons entrepreneurs can turn to increase the earning capacity of their company. Moreover, it shows policymakers which factors are essential for improving the earning ability of companies and thus for the structural productivity growth.

Picture of sustainable productivity growth model

Task for governments

Governments also have a task to promote the growth capacity of SMEs. The Committee sees several important points for attention for the policy of national and regional authorities:

Furthermore, stimulate healthy market dynamics by pursuing an active policy for continued growth. Focus the procedure not only on the front runners but also on the peloton. It is where most of the business community is located, and that is where you can realize the most significant impact on growth potential.

Fiscal incentives should not stand in the way of growth. Bet on large-scale and SME-wide investments in human capital.

In addition, support SMEs in lifelong development initiatives so that workers can maintain their skills at a competitive level. Entrepreneurs and workers are also responsible for this themselves. There are already many market initiatives so that the government can initiate an additional role. Do not focus on the job but on the people.

Subdivision

SMEs are further divided into medium, small, and micro-enterprises. Medium-sized companies have fewer than 250 employees and an annual turnover of up to 50 million Dollars. We call companies small if they have fewer than 50 employees, no more than 10 million turnovers, or a balance sheet total of no more than 10 million Dollars. Micro enterprises have fewer than ten employees, an annual turnover of no more than 2 million Dollars, or a balance sheet total of no more than $2 million.

The exact definition and distribution above are essential, among other things, for the granting of government support to the business community and obligations imposed by the government about setting up the bookkeeping, applying for permits, and setting up a works council. Less strict rules apply to small and micro enterprises than to medium-sized ones.

Company size is increasingly becoming a factor in (macro) economic politics. It is well known that the importance of small and medium-sized enterprises (SMEs) is different from that of large multinationals regarding the impact on economic growth, export, and innovation. But empirical evidence to better understand the role of companies of various sizes is rare. We are developing a new approach by expanding the Dutch supply and using the table with company size to tackle this problem.

We use a modified definition of SME, considering that small companies can be subsidiaries of large (multinational) companies. We use company-level data to create a supply and use table that distinguishes between SMB and large enterprises and derives an input-output table. The analysis shows that SMEs benefit more from Dutch exports than traditional export figures, thanks to their role as suppliers.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud platform where their QuickBooks™️ file, critical financial documents, and back-office tools are hosted in an efficient SSO environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

1. Business liability insurance

Most starting entrepreneurs take out business liability insurance. You probably already have private liability insurance. But when you accidentally drop your cup of coffee over a laptop at your client or when you visit a customer, that is not enough. It would help if you had business liability insurance to cover the damage you cause from your company to people or property belonging to someone else. Some companies even require business liability insurance if you start working there as a self-employed person.

Additional professional liability insurance is essential in advisory services

For example, if you work as an architect, engineer, lawyer, marketing advisor, or accountant, a wrong decision or advice can have significant consequences. Due to a simple calculation error or mistake, your client can suffer a loss or miss turnover. You can be held liable for such a professional error, with significant financial consequences for your company. With professional liability insurance as a supplement to your business liability insurance, you ensure that these risks are covered.

Start in the building, think in addition to a Construction All-risk (CAR) insurance

Are you, for example, a contractor, you have a home repair business, or are you, fitter? With Construction All-risk (CAR) insurance and your business liability insurance, you are insured for damage to the construction. For example, due to a storm. You are also guaranteed for damage to:

• Building materials that you use to build an object.
• Auxiliary materials, such as scaffolding, tools, and construction chain.
• Property of your client if the renovation work causes the damage.

2. Business legal expenses insurance

Most starters also take out business legal assistance insurance. Many starters think that legal expenses insurance is only useful in a legal conflict. But did you know that this can happen if your customer does not pay your bill? Unfortunately, your private legal expenses insurance does not offer legal assistance with business matters. With business insurance or legal aid, you do get this help. You pay a monthly premium precisely tailored to your profession and your risk.

3. Inventory Insurance

There is a fair possibility that you have purchased equipment, machines, or other business assets for your work. With inventory insurance, you have cover for theft, burglary, fire, hail, storm, and water damage.

Have you bought or rented commercial property, and do you want to ensure your inventory? Then it would be best if you had inventory insurance. Do you work from home? Then inquire whether your private household insurance also provides your business inventory at home. And if so, up to what amount. Not every insurer distinguishes between your personal household effects and your business inventory. The private Interpolis All in One Policy® ensures business inventory of up to € 25,000 ($26,317.00). But that does not apply to every insurer. If your household insurance is insufficient, you can take out separate inventory insurance.

Portable electronic equipment, such as smartphones, laptops, and tablets, are often not insured outside your business premises. You need additional insurance so that this electronic equipment is properly insured. Most insurers, including Interpolis, take out this insurance to supplement the inventory insurance.

4. Inventory Insurance

Private household insurance does not ensure business stock. You need stock insurance, especially if you have business premises or rent a space to store your inventory. But it would help if you also had stock insurance for stock at home or in your garage because home contents insurance does not cover that.

5. Business car insurance

Business liability insurance is mandatory if you purchase a car or delivery van in your company’s name. If the car or van is in your name, you can also ensure it privately. Note: Most insurers have a limit for business use. Business car insurance is mandatory if you drive more kilometers, even if you bought the (delivery) car privately. So, ask this carefully to avoid discussion afterward in the event of damage.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud platform where their QuickBooks™️ file, critical financial documents, and back-office tools are hosted in an efficient SSO environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

Accounting is a delicate subject that requires your undivided attention when running a business. That is why you should entrust the management of your financial resources to a capable and creative accountant. He must also be diligent in completing the work correctly and flawlessly. This article will provide you with some tips on avoiding common blunders.

Spending too much time preparing financial data

The end of the tax year (typically, but not always, the end of December) and tax season are the busiest times for accountants. Businesses of all sizes struggle to maintain their books accurate and accessible at this time of year. Keeping a tight check on your accounts only twice a year, on the other hand, can be a costly accounting blunder. Indeed, if you committed a mistake in May and wholly ignored your financial statements until December, the ramifications of that error could continue to grow month after month.

Furthermore, the longer an error remains in the records, the more difficult it will be to locate and correct it. There are numerous advantages to outsourcing financial and accounting services, including fewer errors, less stress, and prompt completion of finances. You can update your books daily to keep them as accurate and manageable as feasible (or weekly). When the hectic season arrives, you won’t be distracted by continuing your regular work.

Misunderstand the terms revenue, profit, EBITDA, and NOPAT

Another common blunder made by young business owners is conflating revenue, earnings, EBITDA, NOPAT, and other commonly used measures. While these figures are closely related, you may be astonished to learn that you have significantly less money than expected.

The cash collected from all the goods, services, and assets sold by your company is used to generate income. It is usually the most significant number. You may calculate your net income by deducting your expenses from your revenue. You can drastically reduce your available capital when considering EBITDA (earnings before interest, taxes, depreciation, and amortization). Net Operating Profit after Tax (NOPAT) is the abbreviation for net operating profit after taxes. It will be easier for you to make impartial decisions if you track the impact of taxes on your wealth.

If you’re not sure how much money you have, it’s nearly always better to be conservative and assume a smaller figure.

Think you are in control of your books

Accounting is generally highly complex, and you won’t be able to perform many accounting responsibilities on your own if you don’t have professional CPA training. As a result, many small businesses have realized that hiring an outsourcing accounting firm specializing in finance, taxation, data collection, and other related services makes sense for bookkeeping.

Hiring someone to manage your account, contrary to popular assumptions, can be a lot less expensive than you think. The top accountants can even save you enough money in taxes to cover their fees. When evaluating different accounting professionals, seek someone who has worked with a company comparable to yours and can efficiently address any accounting questions you may have.

Don’t separate business accounts from personal accounts

You’re undoubtedly hoping for as much money as possible when you start a new firm. It’s incredibly tempting to approach your business account and private bank account as the same if you’re an alone trader.

However, if your business and personal accounts are not kept separate, it can have significant financial and even legal ramifications. To support these distinct accounts, you’ll need to register your company as a legal organization, open a separate bank account, and keep track of business and personal costs.

Because many business owners put off accounting tasks until the end of the day (or the end of the week) when they’re getting ready to leave, they’re more prone to simple math blunders. Even seemingly insignificant errors, such as failing to add decimal places, can significantly influence your company’s financial health over time.

Make cautious about double-checking every entry you make to prevent making these blunders. You should also avoid manual input and consider investing in input validation software, depending on the complexity of your procedures.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud platform where their QuickBooks™️ file, critical financial documents, and back-office tools are hosted in an efficient SSO environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

Providing a smooth and safe checkout process is crucial to improving your online store’s consumer experience. Using the correct payment gateway might make this a lot easier. If you do not confirm how to do it, this article will teach you everything you need to know about payment gateways.

What is the difference between a payment gateway and a payment processor?

To comprehend the rest of the text, you must first grasp the concept of a payment gateway.

A payment gateway is a vendor service that e-commerce application service providers provide to accept payments for online purchases made on merchant websites. It enables your clients to enter their payment information and pay for their goods on your online store safely and securely.

What to Think About When Selecting a Payment Gateway?

Choosing the correct payment gateway is essential to the seamless operation of your organization. When picking a payment gateway for your WooCommerce business, keep the following points in mind.

Is it better to use a traditional or a new payment gateway?

There are two types of payment gateways: classic and modern. The first step in obtaining the best payment gateway for your store will be to choose between them. The critical distinction is that traditional payment gateways require a merchant account to process transactions, whereas current payment gateways do not.

The majority of WooCommerce’s payment gateways are classic gateways, although there are a few new gateways. To make the most excellent decision, you must first understand their distinctions.

A standard payment gateway

Regular payment gateways feature cheaper transaction fees but a longer setup process and require a merchant account. Because API integration is needed, you must have a basic technical understanding. Authorize.net and World Pay are two of the most well-known traditional payment gateways.

Gateway for modern payments

Modern payment gateways like PayPal and Stripe are well-known. Unlike old payment gateways, contemporary payment gateways are simple and do not require a merchant account. However, it has higher transaction fees than other payment gateways and sends users off-site to pay, hurting your Woo Commerce store’s conversion rate.

Price

The expenses of using a payment gateway may vary depending on the payment gateway. As a result, you should consider the cost structure of each payment gateway while making your decision. The payment gateway’s total cost is comprised of three fees: setup, monthly, and transaction. To find the most cost-effective payment gateway for your business, you must consider both the amount and cash transactions.

For most businesses, a fee structure of 1% is not excessive, but if your payment costs rise or you sell high-end goods, you should opt for a payment gateway with a low processing fee and a flat subscription payment.

A location

You’ll need an international payment gateway if you market to customers worldwide. Many payment gateways only support a limited number of countries and currencies. Therefore, you won’t be able to transact in a nation that your payment gateway doesn’t support.

Because most consumers prefer to shop in their currency, you must select a service that not only operates in your customer’s nation but also accepts the proper currency. When transacting with international countries, note that payment gateway provider costs differ by country.

Security

Because online transactions entail handling sensitive financial information from merchants and customers, security is essential. As a result, you should choose a payment gateway with robust security features to safeguard your information. Payment gateways adhere to a variety of security criteria. Always use a payment gateway that is PCI DSS Level 1 compliant and has a VeriSign SSL certificate and CVV2 certification.

You must also secure your WooCommerce store and select a secure payment gateway. The majority of payment gateways demand that your website has an SSL certificate. It’s also good to check that your website follows the Payment Card Industry Data Security Standard (PCI-DSS).

Method of payment

If you have many clients or customers, having a variety of payment alternatives is critical. If you don’t give your clients enough payment alternatives, they’re more likely to abandon their cart.

As a result, double-check that your payment gateway accepts all major credit and debit cards. You should also check if the payment gateway accepts local credit cards in the region where you do business and if it supports Apple Pay, Android Pay, and other similar payment methods.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud platform where their QuickBooks™️ file, critical financial documents, and back-office tools are hosted in an efficient SSO environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.