Keeping on top of your business finances is one of the hardest things about being an entrepreneur but it’s also the most important. If you don’t have a good handle on exactly how much money you’ve got going in and out of the business, you’ll soon start to run into problems. But if you’re relatively new to running your own business, you might be a bit out of your depth. Handling business finances is a lot different from handling your own finances and there are a lot of new things that you’ll need to learn. But the good news is, you don’t have to do it all on your own. There are some great pieces of tech that can help make life a lot easier for you. Here’s how technology can help you to stay on top of your business finances.
It’s true that business finances and personal finances are very different from personal finances but there are some personal finances skills that translate well into the business world. The general rules of budgeting is a good example. That means you can actually use one of the many great budgeting apps to help you out with your business finances. You can use them to keep track of your spending and link them up to your bank accounts so you can always check exactly what your outgoings are and what your money is being spent on. There are, of course, going to be limitations because you’re not using business software. That means you can’t rely solely on budgeting apps to handle your business finances but they’re a very useful tool when used alongside more traditional business software.
Hiring an accountant is the best way to make sure that your money is looked after properly. Unfortunately, it’s also very expensive to hire full-time employees and in the early stages of the business, it might not be an option. But the next best thing is accounting software. There is a lot of great accounting software but before we look at that, it’s worth remembering that some of the basic programs that you’ve got on your computer already are very helpful. Microsoft Excel is a program that a lot of people underestimate because they don’t know how to use all of its features but it’s actually a great tool for keeping track of your money. It’s worth getting some onsite Microsoft Excel training so you can get the most out of this great program. If you are willing to spend a bit more money, it’s worth investing in a subscription to accounting software. Quickbooks is probably the best one on the market right now and you can use it to manage your cash flow, sort out payroll and write financial projections for the company.
Often, companies run into cash flow problems because they’re not receiving payments quickly enough. That’s why it’s essential that you have a good electronic payments system in place. That way, you’ll get payments directly into your bank immediately and you’ll have more cash to play with.
Making good use of these great pieces of technology will really help you to stay on top of your business finances.