Do you need help understanding your business financial statements? You have come to the right place, here we will discuss the three main business financial statements. Starting a business can be nerve racking especially trying to figure out how much the business made or how much is coming out. That’s where financial statements come in and help you keep track of your business. Let’s expand your knowledge on the basics of business financials. What Are Financial Statements? Financial statements are written documents that outline a company’s operations as well as its financial success. Government organizations, accounting firms, and other entities frequently audit financial statements to assure they are precise and for reasons related to taxes, financing, or investments. The balance sheet, income statement, and cash flow statement are the three main financial statements for Businesses. Let us get into what each of them consist of. What is a Balance Sheet? A balance sheet is a summary of a company’s assets, liabilities, and shareholders’ equity. The Balance sheet gives insight about your business and its operations. Assets include two categories which are current and non-current assets. Current assets are cash equivalents, Accounts receivables, inventory, and prepaid expense. Non-current assets are properties,
what is a budget? You might find yourself asking, where is all my money going? Sometimes it seems to just slip through your hands. A good solution to get yourself on track with your money habits is creating a budget and sticking to it. A budget is an itemized and detailed plan stating where each dollar is going. This creates guidelines for you to follow in order of priorities or personal goals. For the best results, you want to make sure you are customizing your budget so it fits your daily routines in terms of necessities. Creating a budget can help you develop great money management skills! How Do I Create One? Creating a budget isn’t really a hard task at all. One just has to review their income and expenses and then put the all of the information in a summary format. Here are the specific steps: Step 1: Calculate your income The core of your budget starts with your income. That’s because it serves are your key performance metric. Now what do we mean by that? Well, if you are spending less than your income, you will be saving and creating wealth. Spending more than your income? Well
You might find yourself asking why you were not approved for a loan or credit card. That decision was made based on many factors. Some of those reasons might be because there is a history of not paying on time, you do not have any credit yet, or you are adding too much debt into your accounts. If you are looking to improve your credit score, I will be listing some tips as well as what goes into your score. Ultimately you can use these to see how you can get an 800+ credit score! First, we will be breaking down the categories that are used to determine your score. Credit Score History Payment History- 35% 35% of your score is made up of your payment history. The largest portion of the score is going into whether you are paying on time or not. Make those payments on time! If you find that hard to do, set a reminder somewhere visible for you and put it a couple days prior to the due date. Credit Utilization-30% Another big chunk of your credit score goes into a ratio. This ratio is determined on how much credit you have available vs
With everything being so accessible online, it may feel odd to have to write a check. Something that used to be so necessary is now almost unknown knowledge to today’s generation. So, if you’re wondering how to write a check with dollars and cents correctly, then check out these six quick steps. Date You can write out the date in word or numerical format listing the Month/Day/Year. Some will typically use the numerical format. Why? Because it’s faster to write! Payee Write the name of who you’re paying. Make sure you make it out to the proper person or company AND spell their name correctly. For example, S-H-A-W-N versus S-H-A-U-N. If you’re not sure who to make it out to or the correct spelling – just ask. Because if you write it wrong, the person can’t deposit it at their bank. Numerical Amount Write the amount to be paid numerically. Just make sure that you use commas and decimals in the correct place. Written Amount Write out each number position in expanded form like you would in math class. So for example for $1,900.06 we would write One Thousand, Nine Hundred and 06/100 cents versus Nineteen Hundred and 06/100 cents.
Welcome to our little space on the net. Just like when you move into a new neighborhood or house, we’re still setting up shop and getting our bearings. But we’re happy that you’ve found us and we hope that you’ll come back and visit us often. Our mission is to help individuals and small business owners be financially responsible in a rapidly changing world. Our vision is for you to have the knowledge, resources and confidence to reach your full financial potential. In order to do that, one needs access to education, knowledge and resources. Here you will not only find those things, but like minded people who want you to succeed. This blog will give us a way to share good tidbits of info with you surrounding both business and personal finances. Many people have financial questions that they are dying to ask us in our alternate work over at Wilson Rogers & Company. When we answer one, it tends to spark another and another…well, you get the jist of it. Unfortunately, there isn’t enough time in the day for us to answer everyone’s questions individually, so why not do it en-mass? So let this be the place where