Category: Content

Businesses are a servant to cash, whether it is a physical one or the online one. Online businesses demand much less revenue and capital, but it requires challenging marketing, advertising, and promotional strategies. The accounting measures for online businesses require a lot of things to consider. When you settle down to practice credit score for your online venture, take a look at the following hooks to account for your finance more efficiently:

Install accounting software

Technology provides you with an in-hand solution for almost every problem that blocks our way to accomplish our goals. Similarly, when it comes to sustaining the accounting records of an online business’ credits and debits, installing the best accounting software must be your first step. But make sure not to go for software and applications that prepare invoices or only finalize the reports, pick up the software that can lift the burden of accounting from your shoulders, and be your data-recording partners.

Be an income tax for your online business

Sounds different? Have you ever heard about self-study or self-correction? Well, this is almost the same. Be an income inspecting officer for your own business, interpret, align, manage and record each penny you spend, earn, and save. In this way, you can conveniently manage your financial statements, investment details, and generated revenue.

Manage your cash-flows

If your business does not generate cash, it is a total waste. The most suitable way to get knowledge about the amount of revenue generation you experience from your trades and merchandise is to keep a close eye on the cash flow of your business. Separate your online business bank from your earnings and saving accounts. Predict and pen down the payments you desire to receive, and you are required to release each week. It will make the listing much more accessible than ever. Ensure to maintain a margin between the earning and spending of the cash you receive and release each week for your business deals. Lesser expenses will push you towards more profits, of course.

Align proper tax rates for your customers

While accounting for the incoming and outgoing cash of your online business is to fix the tax rates. It can be the most crucial factor, though. There is no chance you can avoid paying tax. Be careful, and avoid shocking your customers with hidden charges. Doing so might spoil your business image. A single negative post can cause you heavy and sometimes unbearable losses.

Strain the tax amount from your income

Technically, this tip appears to be very communal. When your business or start-up starts to generate revenue and plenty of cash, commence a certain amount for the tax you must pay for your business. In this way, you will be capable of collecting the precise amount without taking a burden on your head. But most of the time, when you group around with your accountant to settle the total earned and spent digits of your online venture, you make yourself so focused on the complicated tricks and tactics that such common tips slip out of your mind. In this way, the cash you secure for the tax does not get mixed up in your commercial cash flow.

Manage your inventory

Inventory management is critical if you sell goods and products. Document the cost of each thing that you use in enhancing the presentation of your products. Suppose you run an online business that sells gifts, books, or chocolate baskets, then every product you use to make your product look even more eye-catching is listed in your inventory. The stock is more or less equal to the cash or capital you invest in elevating your business. If you do not run practical strategies to sell your products, you might experience shrinkage in inventory price, a financial loss. If you offer services only then, you can ignore this trick.

Final sum-up

Be prudent and steady with the online business you are running or starting. We aim to encourage you in your journey to score higher in the corporate world. The tips mentioned in the article will surely help you manage your accounts in the best possible way. In the end, I have a piece of advice; be active in your business decisions and never be in a hurry to trust an employee or vendor who is too sweet to digest.

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 choice of good life insurance is so important because it will largely depend on having more effective protection for the coming years. Not only concerning your interests but those of your whole family. In addition, it will be the best tool you have to make sure of an accident or illness. For all these reasons, it will be a decision that you must make based on all the benefits that you can provide from these moments the subscription of a policy of these characteristics.

Life insurance and coverage may offer you some consolation that your loved ones will be dealt with if misfortune strikes. Payouts are tax-exempt, with the goal that’s one less thing they should stress over.

To facilitate this task, nothing better than attending a series of tips that will help you choose the best life insurance. Do you want which are the most practical? Pay a little attention, and surely you will not regret the decision made about the life insurance you should hire from these moments.

How to choose the best life insurance?

These kinds of insurance are very flexible, and of course, they must adapt to your lifestyle, your future expectations, and even your budget. Because the needs you may have as a young person are not the same as you have a few years to retire. In each scenario, you will have a different treatment that will depend on your aspirations to have the best possible protection. In this sense, insurers allow you to develop an à la carte policy with the most basic and other optional benefits. For example, Zurich gives you the possibility of creating life insurance policies based on your individual needs. Try to identify which ones you are demanding right now.

The first key is to be a forecaster about what might happen to you. 

You can make this performance profitable from a young age because it will allow you to have a product with better contracting conditions and a more competitive price. You will have time later to think about the new coverages that you will include in the contract. Of course, it is advantageous to be protected from an early age to optimize your health insurance to the point that you will save money on its formalization and protect yourself from the start.

The second key is to choose who will be the beneficiaries. 

You can indicate who you want to protect through this product and, as a result, how you will distribute or divide the money. In this regard, a very systematic strategy is that you select a secondary beneficiary to receive the operation amount if the primary dies before you as the holder of life insurance. On the other hand, you should assess current needs, especially those you can develop over the next few years.  

The third key is choosing the correct marketing channel.

The new mortgage law expressly prohibits banks from obliging clients to take out insurance linked to another banking product, such as a personal loan or a mortgage loan. This measure seeks to increase the competitiveness in the life insurance premium with the ultimate objective that the client has more options available, being able to compare rates and coverage freely in the market.

Typically, insurance companies provide a better rate when hiring life insurance than banks. It is evident after a study carried out by INESE and Global Actuarial. To the point that the difference between both marketing channels can exceed 10 euros in favor of the first format. In addition, if you hire it through a banking entity, it can be part of a loyalty process for contracting other financial products (savings plans, credit lines, or investment products). As a result of this action, you will have a more significant outlay than expected. And in many cases, without you being able to customize the insurance. 

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.

Your business is successful if you are transparent and honest with the customers. You might be asking what transparency in business means? Business transparency means being honest and open when communicating with stakeholders about the company and trading. Transparency in a business is the foundation for a trusted relationship between a firm and its investors, clients, partners, and employees.

Business terms and scenarios vary accordingly, but if your transparency is constant, there are chances that it may protect you from losing potential and trusted clients. According to research, the customer seems to be patient when they are well-informed about the progress process to fulfill their requests and demands. Everything in business associated with finance is not an easy job. Transparencies can assist a business to run opaquely. There are stratagems to run a prosperous business:

Create and follow a code of ethics

Develop a set of core values to operate a successful and revenue-generating business. Please spread the word to each of your employees, inspire them not to wither from the code of ethics. Be persistent about your core values and follow them no matter whatever you do.

Prepare a comprehensive financial report

Maintaining financial records is always beneficial. Track each penny in the bookkeeping records, from purchasing a pen to selling an airplane. Share the necessary pieces of information with employees, stakeholders, and clients, respectively. In this way, you will be able to strengthen your bond with your business-related individuals.

Be quick and responsive

Answer your customers’ questions and resolve your clients’ issues as soon as possible. Find quick solutions and way-outs for the problems your customers are facing. While communicating, sound genuine to build trust in you; responsiveness will help you go a long way down the lane.

Be transparent with the shareholders

Enable an active communication session with your stakeholders, investors, sponsors, and shareholders. Ask them about their queries and inform them about the risks they might face during investment or other financial contributions. Once they are clear about the chance, they can efficiently decide how much amount to invest. It will assist them in analyzing their tolerance to risk management.

An open policy on the financial statements is a must

Establish an open policy on the company’s financial statement. Let your employees gain maximum and necessary knowledge about the accounting ins and outs of the company’s credits. Call upon a weekly meeting to discuss the bookkeeping, honor, and debit of the business. Highlight the errors and miscalculations in the account books of the company. Make your employees feel motivated and trusted related to the internal matters of the business.

Provide updated information to your clients

Avoid inconsistencies; update information frequently on the website. Keep your pricing strategies and plans updated consistently on your web pages. On a final note, never commit the error of charging your clients secretly; it damages your loyal customers, forcing them to switch towards other vendors or business dealers. Aligning hidden charges will tend you to lose potential customers, upsetting your business transparency.

Encourage and value client feedbacks

Appreciate your customer’s testimonials. If any of your customers step forward to share their opinion about the products and services you offer, value the comments and compliments. If the feedback is optimistic, then well and good, maintain the quality of your services in the future. In any case, if the input is adverse, try to improve your flaws. How you deal with your flaws and mistakes before your customers will help you get potential and loyal clients.

Final words to ensure transparency in your business

Keep your credit statements, investment details, profits, expenses, and savings up to the mark. Follow the tips and tricks mentioned in the article, and it will support increasing your business transparency. Be stern and firm about admitting and fixing the mistakes committed from your or your company’s end. Once you succeed in winning your client’s trust, you can easily experience making more and more money.

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.

Before investing money, it is imperative to have some knowledge regarding it as it will be so helpful in the future. People who understand investment-related matters know what to look for when looking for investors or an institution. 

Risk versus reward is vital to savvy contributing. You would prefer not to chance and lose your cash directly before you need it. Be that as it may, protecting money in ventures, like bonds, could bring about hardly any additions and mean you will not have enough for your drawn-out objective.

Anyone who looks through the market to invest money will get a lot of advice on how to invest and where to invest. Many people ask other individuals why they are investing in the first place, which is an important question to consider in the beginning. Before investing money, it is vital to know it as it will be so helpful in the future. When someone wants to know about funding options, they should know the time horizon or the period. Time horizon or period means when the person will need cash in the future. They need to know the professional planning keys of any institution as well. Because most of the time, they have their own rules and regulations to follow regarding investment.

Many people ask others not to make a common mistake by lumping all their money into a single account or fund while investing money. According to them, a better way is to understand the amount of cash needed at a particular time for a specific work. An individual should know the purpose of their account as it is essential to proceed further. After identifying the goal, they should look through different investment strategies, depending on the short-term investment method or the long-term investment.

Short-Term Investment 

The best advice given to people who try the short-term method is to save money rather than invest it all at once. As mentioned above, this is a common mistake that people make. Short-term goals consist of three or less than three years. That money needs to be saved by the investment market altogether to protect it for short-term reasons.

People who are focusing on saving money when it comes to short-term investment. A lot of people jump in when it says 6%. It is an affordable way but also a risky one. And it becomes a significant risk when applied on a short-term basis as the money is needed shortly after investing. It is a risk that short-term investors should not take.

People should not consider investing for six months or a year. It is of no use as it’s not worth putting an amount of money temporarily. If a person wants to invest in this way, they need to let the time horizon pass by 18 months.

For short-term investment plans that are also stable and affordable, use the following methods instead:

1. Short-term bond funds
2. Fixed income funds
3. High yield savings account

Long-Term Investment 

Long-term investments signify that an account on the asset part of a record book of an organization that portrays the investments of an organization that consists of real estate, stocks, bonds, and cash, that is anticipated to be held for more than a year. The long-term investment account deviates fundamentally from the short-term investment account in the sense that short-term investments are selling. At the same time, it may never sell the long-term investment. 

If the management of an organization wants to keep some stocks or bonds for more than a year, the management assesses them as long-term investments. None of these resources are conventional uses in daily functional activities. 

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.

We are living in a fast-paced business world, where everything associated with it is customer-oriented. But even the “Customer is always right” mentality will not be sufficient to excel in today’s cut-throat competition. From digital transformation to business expansion, modern enterprises have a lot on their plate to achieve success.

Nevertheless, if your business does not have the proper purpose, then it will face defeat in the hands of your purposeful competitors. Thus, today we will discuss how the meaning of involving a business is mandatory for it to survive and flourish in today’s business world.

The motivation behind a business is to offer worth (through items and administrations) to clients, who pay for the incentive with money or counterparts. Negligibly, the cash should subsidize the expenses of working the business to accommodate the owner’s current needs.

Any cash of these requirements of financing and compensation— “edge” or “benefit”— might utilize the business; to be contributed for future needs and security and be used for altruism and the earth.

There are immediate activities required in this procedure: the procurement, propagation, and development of client business.

Regular roundabout activities include redesigning gear, improvement or realignment of the physical property and workspace, legitimate securities, etc. The aberrant activities departmentalize and are run by supervisors in enormous, complex, and various organizations, e.g., IBM. All backhanded activities are “overhead,” and a colossal organization can continue a lot of overhead. In my association advancement work, I’ve found that I could expel 20 percent of every such director and never have the client acknowledge or be influenced by it.

As the owner additions achievement and builds edges, the individual in question can raise expenses while diminishing individual work, with or without representatives. Collecting expenses produces cash. Dwindling workforce creates optional time. Money gives influence, yet optional time offers riches. The visually impaired quest for power can, without much of a stretch, dissolve riches.

The Difference between People’s Lives

The brands in the contemporary era are more than just businesses; they have the power to touch people’s lives with their products. In other words, some organizations have currently operational in the last few decades. Their brand of sustainable products has now affected millions of people around the globe, and it continues to do so in the next few decades as well.

A Purpose-Driven Approach

Businesses these days have a lot going on simultaneously, from tackling the changing demands of the consumers to tweaking the operational tactics for effective business transactions. Moreover, the purpose of any organization depends not only on a goal-centric mindset but also on how it fulfills the latest trends in the global market.

Consistent Ambition

Irrespective of how trends change, the overall ambition of any business must remain the same. In other words, the goal is not to generate a hefty revenue but to make quality products to ensure that the customers stay loyal to the brand for an extended period. In retrospect, if you want your consumers to stay connected, you need to provide them with products that could touch their lives.

Long-term Investment

Even if the concept of long-term investment is no more in the frame, the sense of purpose could leave a life-changing mark on your brand. In other words, brands like Unilever have been in the market for over 90 years since their goal is to deliver sustainable products at a cost-effective price.

All in all, if you want your business to flourish, it needs to think more than generating revenue. Yes, revenue is significant, but sticking around for a few decades is more critical. More so, in today’s business world, where every step can be a crucial one, you have more opportunities to excel in the market. So, let’s conclude that business without a purpose is meaningless, even if you attain success initially.

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 cards have become a necessity in today’s day and age. For most of us, the best alternative to carrying cash is to have a credit card. Whether you are shopping online or traveling the world, your wallet-friendly credit card will always be there when needed. In a report in 2020, the usage of credit cards was up to 77% worldwide. This surge in use means we can dismiss the question of whether credit cards can completely replace currency notes. But, all of that comes with an itsy-bitsy price. When you are using a credit card for business or personal use, chances are you are not actively keeping track of the transactions you are making. For most of us, this becomes a pain, especially when we receive the bill at the end of the month. You are left startled, questioning whether you spent that much money. Keeping track of your transactions is essential, and more critical is reconciliation with your credit card bills.

What is Credit Card Reconciliation & Why Should You Care?

Anyone who has ever attended a business class would immediately react to the word ‘reconciliation.’ It’s the process of comparing the transactions showing on your credit card bill to that recorded by you in your accounting software, ledger, or mobile app. This is a crucial aspect of managing the cash flow for most businesses since there are always doubled, declined, or delayed transactions. To avoid the 3D’s affecting your cash flow, you have to make sure you have the actual picture at hand actively.

Importance of Credit Card Reconciliation

While credit card reconciliation may seem tedious, it’s of high importance for businesses. Banks, merchants & vendors can often show transactions that were declined from the merchant’s end but charged by the bank and so on. In addition, one cannot negate the possibility of fraud and scams. If you don’t check your credit card regularly and stay up to date with the balance, you wouldn’t know if someone has charged your card without your permission.  This type of fraud usually happens when you are buying items online. Scams are a reality of 2021 that no one can deny. To avoid this, it is a must to regularly reconcile your credit card statement with the statement you are maintaining yourself.

Types of Credit Card Reconciliation

Generally, there are two methods of reconciling your credit card statement with the one you have maintained.

Method # 1: Goods Sold:

In simple terms, this is the sales side of your business. When a customer pays you online with their credit card, that payment is processed through the merchant, acting as a middleman between you and the bank. Often, while the merchant’s transaction clears, it might be declined or delayed at the bank side. You match the merchant’s statement with the bank’s statement and your goods sold report to see any discrepancies.

Method # 2: Expenses Incurred

All the expenses you have incurred and paid through your credit card will show in your credit card statement. However, there might be missing transactions due to delays, or there can be duplicate transactions. You have to match the credit card statement with your expense sheet to see any discrepancies. 

How Can You Make the Process Hassle-Free?

While credit card reconciliation is a tedious process, several software and applications can help you get through it with ease. Using accounting software integrated with your eCommerce store, you can quickly get your list of payments received, which you can easily compare with your bank statement. There is other software as well that helps you to make the process of credit card reconciliation easier.

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.

Having a proper record of all the accounting is critical to having a successful business. Learning to account is vital to every business owner as having a sound financial mind helps them make a better business decision.

Let’s discuss some of the best accounting practices every business should follow.

Determine your accounting method

There are two accounting methods: Cash-based accounting and accrual-based accounting. A company should decide which way is more beneficial to their company and stick around. Both of the methods have their transaction recording style. This accounting method records the transaction, but it doesn’t give as clear a picture as the accrual-based accounting method. You record revenues when received and expenses when incurred.

In comparison, an accrual-based accounting system shows clearer vision, as you record transactions when they happen. Being a complex accounting method, accountants can easily manipulate the transactions to present a better view. There are more complex transactions in a larger enterprise. Therefore, accountants are required to be more careful while recording transactions in an accrual system. On the other hand, cash-based accounting is straightforward with better cash flow management.

Track all expenses

Starting your own business requires a lot of capital investment which you need to record with care. As the business grows, the complexity of accounting increases. Use accounting software, such as QuickBooks, to record all the incomes and expenses correctly. It would help if you adequately made all the invoices to track the costs.

Maintain accurate records

Your business won’t progress if your accounts are not maintained. It would help if you kept up all the transactions to date. These updated accounts help the accountant in proper tax filing and guide critical investors in deciding whether they should invest in the business or not. It would be best if you prepared an accurate ledger for every transaction. International accounting standards recommend companies maintain proper daily and monthly cash receipts, check disbursements, updated checkbooks, etc. Maintain accounting transactions and records daily to avoid unnecessary errors during the audit.

Keep business finance separate

It is best to keep personal bookkeeping and business finances separate, especially for a small business that has just taken off. This separation gives the owner an accurate picture of the current position of your business. Keeping the finances separate will also help you with the tax filings and maintain a precise cash flow. Business owners can easily forecast the long-term financial performance of the business.

Automate the accounting process

Automating the accounting process is very important for all the business. Accounting software keeps your records updated, including the incomes, expenses, invoice processing, etc. This software saves a lot of time by making the process quicker through automation.

Hiring professionals for account management

It is best to hire a certified accountant, as this expense is likely to save time and costs. Besides bookkeeping, a certified accountant provides you with professional advice regarding the analysis of the company’s financial situation and what projects are most profitable. Remember that hiring a professional doesn’t absolve you of responsibility for your company’s finances. When it comes to complex tax and financial concerns, however, professional expertise can be highly beneficial. Remember that hiring a professional doesn’t absolve you of responsibility for your company’s finances. However, when it comes to professional experience, it can be beneficial.

Keep cash on hand

Keeping cash on hand is vital for every business. You can easily invest in viable projects which best suit your business goals. It is best to limit the account receivable days and lower your inventory days to have your cash in hand. Having a higher payable and less money in hand is likely that you might end up losing your business. Payments should be clear as soon as possible to avoid late fees.

Don’t leave your business in a dark situation. Using proper accounting techniques and with professional help, your business can take off.

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 government collects income tax from its residents annually. These income tax revenues help the government pay government workers, police, firefighters, etc. The tax money also funds things like road construction, health departments, national defense, and the welfare system and helps improve the country’s overall economy. There are multiple reasons why you should file your tax returns annually and on time. This article will talk about the importance of filing tax returns on time and its benefits.

Claim Tax Returns Easily: 
Taxpayers can claim tax refunds if the total taxes they are eligible to pay is less than the tax amount deducted. Paying excess taxes can happen when tax is deducted from your income, even when your total taxable income is less than the basic exemption limit. In this case, you can claim a TDS refund if you file income tax returns before the due date. You cannot claim tax refunds without the filing of income tax refunds. According to the income tax act, a taxpayer can claim multiple tax deductions to reduce one’s tax outgo. However, taxpayers must file their income tax returns every year on time to be eligible for any such tax deductions under the income tax act.

Mandatory if you need loans or credit cards for your business:
If you are planning on applying for a loan in the future, whether it’s a down payment for a house or any other need, you will need to show your income tax returns for the past few years. Most loan companies insist on it as it gives them proof of return and a guarantee. Banks and credit card companies also require proof of return before issuing a credit card to any customer.

Contributes to Your Social Responsibility as a Citizen:
According to the income tax laws, adults who earn a specified annual income need to file a tax return within the due date. Failure to do so will result in penalties. Adults who make a yearly income of less than the specified amount should also file tax returns as it is a sign that you are a responsible, law-abiding citizen. Filing tax returns is the moral and civic duty of any citizen residing in any country worldwide.

Avoid Penalties & Fines:
If someone avoids filing their annual income tax returns, they are opening themselves up to penalties and fines from the tax officers and the department of justice. Not only tax evasion but the late filing of tax returns also carry penalties that will result in you paying more money than the law requires. The amount of liability depends upon the country you reside in and their income tax act.  Therefore, the intelligent thing to do is to file your income tax returns every year and do so on time to avoid penalties and any unnecessary situations which will cause difficulties.

Earned income tax credit (EITC):
If you belong to the working class and have a low to moderate income, you can qualify for the Earned Income Tax Credit (EITC). It is a refundable tax credit for low to moderate-income workers, especially those with families and children. The Earned Income Tax Credit eligibility depends on multiple factors such as income, family size, filing status, etc. Receiving Earned Income Tax Credit is not possible without the filing of income tax returns.

Carry forward losses:
Any losses incurred by an individual can be carried forward to subsequent years if you file the income tax returns within the official due date. Companies use this to offset the income of upcoming years. In other words, you can adjust your capital losses against your capital gains, and you can carry forward your past losses for subsequent years. However, you cannot move forward with your losses unless you file your annual tax return.

In conclusion, whether your annual income is above or below the specified amount, filing your tax returns is always a good idea and will give you benefits in the long run.

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.

Bank reconciliation is an accounting process that helps you ensure that the money you have spent or deposited matches the amount of money mentioned in your bank statement. It allows you to check or search for any transactions caused by fraud or financial statement errors. Your business and bank keep separate records of withdraws, deposits, or transactions. You must prepare a bank reconciliation once a month to ensure both documents align with each other.

When to Reconcile Your Bank Account?

It’s a good decision to review your bank accounts at least once per month. If you have a high risk of fraud, it is wise to reconcile your accounts more often. Even some companies reconcile their accounts daily. You can also secure your account from any fraudulent activities by using Positive Pay. It helps to notify you about any payment that is going out or coming into your account.

Importance of Bank Reconciliation for Businesses?

• Catch Fraudulent Activities: One of the most critical purposes of reconciling is to check for fraud activities. If you have noticed any unusual transactions, make sure to investigate them. Or, if you see that someone else has unauthorized access to your account, take action before something harms you. If you do not prepare reconciliation for a long time, it can end up with bounced checks or failed payments in the short term, or you may become financially overstretched in the long term. All these things will affect the growth and sustainability of your business.
• Prevent Complications: The bank reconciliation helps to identify any problems or complications in your business. For example, it can show you that your cash flow is down. Once the problem emerges, reconciliation can help you identify the source of the problem. After that, you can easily take steps to solve the problem and fix your cash flows. It also allows you to keep track of your check and see if any payments by your customers have bounced. Bank reconciliation also helps if you have a joined account with a business partner and they say they need some amount for business expenses, but he withdraws more money than he had told you.
• Look for data entry errors: Bank reconciliation assists you in identifying any data entry errors, such as entering wrong amounts and duplicated entries.
• Confirm if the financial statements are accurate: It happens rarely, but it is possible. Reconciling helps to confirm whether the financial statements are correct.
• Help you record earned interest: If you have started a business, the interest earned may be minor, but it’s good to keep track of your interest rate.
• Helps to control theft: It will help you keep a check if any employee or someone else is stealing from your company.
• Prevent Administrative Issues: Bank reconciliation also highlights any issues that are ongoing in your internal administration. It helps you make better choices that might help your business grow, such as changing your record-keeping system or accounting processes you were using before. 

How To Reconcile Your Bank Account?

To reconcile your account, match the internal record of transactions and balances with your monthly bank statement. Business accounts are not as secure as consumer accounts under federal law, so you need to check your business account. Match each transaction carefully and note down the ones that need more investigation.

You can reconcile manually or by using accounting software. You can take the formal or informal approach to reconciliation. But you have to scrutinize your records with the bank records to rule out any discrepancies.

This task becomes simple if you have a well-managed bookkeeping system. Otherwise, bank reconciliation can turn into an arduous task, and you will be exhausted while doing it.

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.

Starting and operating a business is not an easy task. Statistics show that 50% of businesses fail within the first three years. Those that make it beyond that threshold sometimes still struggle to succeed. To have a successful startup business, you have to examine what can and does go wrong.

Many entrepreneurs have tried and failed or tried and succeeded to start and operate a business. Those that have gone before can give insight into what fails and what succeeds. Knowing the mistakes that entrepreneurs make can help new business owners to succeed.

Best practices have always been a viable way to help others succeed. Here are ten mistakes entrepreneurs make when starting a business and how to avoid them.

1. Start with inadequate financial resources

Entrepreneurs often neglect financial planning and minimize the amount of capital they need to start their business. Result: Inadequate funding for achieving your goals and lack of cash as the company prepares to take off.

To avoid these problems, be sure to prepare financial projections for your new business, especially for the first 12 months. These can also help you obtain financing and investments.

2. Neglecting to write a business plan

Many novice entrepreneurs do not prepare a business plan. The latter does not need to be long and detailed. But you have to take the time to develop a plan that will allow you to be consistent in your efforts, serve as a rallying point for your team, and set deadlines for measuring your progress.

3. Neglecting to track progress and adjust the shot

Do not make the mistake of leaving your business plan on a tablet. Make it a dynamic document by constantly monitoring your progress and keeping it – and your projections – up to date.

4. Buy assets with cash

Operating funds to buy long-term assets is a common mistake that can lead to a lack of liquidity. When evaluating your purchases of equipment, machinery, or computer services, consider using a commercial loan with a repayment period that corresponds to the asset’s life (for example, a seven-year loan for a vehicle you want to use seven years).

5. Avoid asking for outside help

Many new entrepreneurs do not like to admit that they need help. Feel free to look for a mentor, hire an outside consultant, or create an advisory committee to give you support and ideas.

6. Set a bad price

Do not make the mistake of setting your prices only according to those of your competitors. To make an informed decision, it is essential to perform a detailed cost search for each product. Also, monitor your costs so you can make the necessary adjustments.

7. Neglecting technology

Canadian companies are investing less in technology than US companies, and that affects our productivity. Be sure to evaluate how technology could benefit your business’s growth, efficiency, and profitability.

8. Neglecting Online Marketing

Make sure you evaluate how you can take advantage of the marketing potential of the Internet. For example, ads on social media platforms can be cost-effective and effective in targeting specific market segments.

9. Do not learn from your mistakes

When starting your business, learn from your mistakes and use them to guide you to success. Many successful entrepreneurs failed on their first try but came back stronger after understanding and improving what did not work.

10. To choose wrong partners

 As the saying goes, it is better to be alone than badly accompanied. This statement also applies to business and a business creation project. It is true that having a partner to launch this great project can be reassuring. Still, a bad association can ultimately harm the development of the company and its future.

It goes without saying that it is not uncommon to see associates no longer get along at all. And for a good reason, their respective tasks have not been carefully defined, and this, from the beginning of the adventure.

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.