Spring Into Action
It is hard to believe but we are already in the last month of the first quarter. For some of us, it is the much-anticipated return of Spring. It is also time to spring into action in regard to your business finances. With the end of the quarter quickly approaching, it is an important time to actually look at your business reports and make any changes if necessary. Take the time to review your books, taking a look at your Profit and Loss and Balance Sheet within your financial system. These should be relatively easy to run in a financial system.
If you do not have a financial system and are using a program such as Excel or Numbers, then it is important for you to have proper classification of the financial transactions that take place each month for your business. The classification of your expenses especially is important because it allows for you to understand if you are spending too much in certain areas. Also try not to have too many types of expenses when classifying, this becomes too cumbersome to maintain.
Lastly, in the last month of the quarter it is time to prepare for the transactions that normally take place during this time period for business owners. These can include but are not limited to quarterly payroll taxes, quarterly tax payments for this year and year-end tax filing and payments for last year. This time period can be overwhelming on business owners, but with proper planning and preparation as business owners we can get ahead of the process.