Upon opening your first business, the excitement of it all could cause new business owners to overlook one thing…accounting. Without good accounting practices, the business could fall within one year due to debt, taxes and much more.
Accounting is the recording of all financial transactions for the business or businesses, along with reporting these transactions in the proper manner throughout or at the end of each tax year.Basically, all business owners must have understand and know the recorded cash flow.
Solopreneurs should know how to handle their own financials as well as reporting while owners of corporations may hire an accountant for manage their financials. Without accounting knowledge and standard principles, it will be literally impossible to make smart money decisions that dictate managerial, staff and products.
Below are links to gain foundational knowledge of accounting for free prior to opening your business and for continuing education: