New and small business owners understand the necessary evil of accounting. Accounting must be done in order keep finances in perspective, and calculate for future expenses and goals, but it can also be very times consuming, to the point of distracting entrepreneurs from focusing on running their companies. Fortunately, there are a few tricks which can help streamline business accounting and make cash flow a lot easier to manage.
Outsource Your Business Accounting Department
New business owners frequently have many roles, and among those is playing the in-house accountant. However, when responsibilities are overlapping, accounting can make for come very late nights, which can cause human error. Similarly, as the business starts to grow and attention is needed elsewhere, accounting can fall by the wayside, and finances can spiral out of control. Outsourcing business accounting may seem like adding an expense, but it can save money in the long run. There are a number of CPAs and independent accountants who will work with your business on a weekly or monthly basis, to keep the books organized and find those little ways to save a lot of money.
Cloud-Based Business Accounting Services
Many business owners keep accounting records in a filing cabinet, or on a computer in the office. While this is a great solution, what happens if files get lost? Or if the computer crashes or is compromised by a virus? Cloud-based business accounting solutions are affordable and secure – offering business owners the accounting services of a CPA, which can be integrated with payroll and even tax services. On top of how inexpensive and secure cloud-based business accounting is, it also offers portability. This way, when entrepreneurs are traveling, or meeting with potential investors, they can call up financials on their personal devices, wherever they are.
Factoring
Factoring is a great way to not only build working capital, but it also helps to streamline business accounting. Factoring is a method of monetizing open invoices to get revenue faster than waiting on customer payments. All invoices are submitted to a factoring company, and they in tune convert those invoices to cash within 24 hours. With all revenue coming from one source – as opposed to tracking payments across multiple accounts – a number of burdens are lifted from the accounting process.
If you would like to learn more about factoring, or any of our other financial solutions designed to make business accounting more streamlined, contact Abel Commercial Funding at 301-200-9801. We will give you a no obligation analysis of your company’s financial situation, and work with you to find the right solution to help you meet your goals.