New Business Directions’ Post

Wondering why you're seeing negative #AccountsReceivable on your #CashBasis Balance Sheet? There are a few scenarios that will cause a negative accounts receivable on a cash basis balance sheet in QuickBooks. In this month's newsletter, we focus on two common ones: unapplied payments and timing differences. Read more about why they happen and what you can do about them here: https://lnkd.in/dM6B-hfP

Here are 5 essential items to add to your bookkeeping year-end checklist: 1. Reconcile All Accounts: Ensure all bank accounts, credit cards, and other financial accounts are reconciled to match your records. This includes verifying that all transactions are accounted for and correctly categorized. 2. Review and Categorize Expenses: Go through your expenses for the year and make sure everything is categorized correctly for tax purposes. Check for any missing receipts or unlogged transactions. 3. Review Accounts Receivable and Payable: Follow up on any outstanding invoices or bills to ensure they are paid or collected before the year ends, and make adjustments for any uncollected income or unpaid bills. 4. Prepare Financial Statements: Generate and review your year-end financial statements, including the balance sheet, income statement, and cash flow statement. These will provide an overview of your business’s financial health and be essential for tax filing. 5. Update Depreciation and Assets: Review and update the depreciation schedule for any assets purchased during the year. This will ensure accurate reporting and help maximize potential deductions during tax time. These steps will help set you up for a smoother tax season and ensure your financials are in top shape for the upcoming year! #BookkeepingSuccess #BusinessSuccess #SmallBusinessSuccess

The final month of 2024 is here!  Here are a few tips to wrap up 2024 and set yourself up for success in 2025: ✅ Reflect on the goals you set for the year. What worked, what didn’t, and what can you carry into next year? ✅ Reconcile your accounts, categorize transactions, and make sure your books are up-to-date for tax season. ✅ Collect any unpaid invoices before the year ends to boost your cash flow. ✅ Schedule time to review your books with your bookkeeper or accountant to ensure everything is ready for year-end reporting. 🎉 Celebrate your hard work this year. You deserve it! What’s one goal you’re working on this December? #December #SmallBusinessFinance #TaxConsultant #DigitalTax #SmallBusiness #BigTech #TaxTips #TaxPlanning #ConstructionBusiness #SaveOnTaxes #BusinessSuccess #PortlandBookkeeper #PortlandAccountant #ORBookkeeper #ORAccountant #OregonBookkeeper #OregonAccountant #AnvilTax

Day 1: Start with Accurate Bank Reconciliations! 🏦 Ensuring your QuickBooks is updated and that transactions are reconciled is the foundation for a stress-free tax season. Take a moment today to compare your bank statements with your QuickBooks entries. This step helps identify discrepancies early on, saving you time later. ✅ If you encounter any issues, don't hesitate to ask for help! Is your QuickBooks file ready for tax season? Let’s discuss in the comments! #QuickBooksTips #TaxSeasonPrep #SmallBusinessFinance

💼 Bookkeeping Glossary – Part 3 💼 Continuing with our series on essential bookkeeping terms: ✅ Fiscal Year A 12-month period used for accounting purposes, which may not align with the calendar year. ✅ General Ledger Accounts The complete set of accounts used by an organization to record financial transactions, categorized into assets, liabilities, equity, revenue, and expenses. ✅ Liability A financial obligation or debt that a business owes, such as loans, accounts payable, or wages. ✅ Gross Profit The difference between revenue and the cost of goods sold, representing the basic profitability of a business before other expenses. ✅ Net Profit The amount remaining after all expenses, taxes, and costs have been deducted from total revenue, representing the actual profit of a business. Stay tuned for more terms in Part 4! 📚 #BookkeepingGlossary #FiscalYear #GeneralLedger #Liability #GrossProfit #NetProfit #AccountingTerms #BusinessFinance

Unpaid balances piling up? Get tips on collecting balances faster with simple steps like sending reminders and offering easy payment options. Check it out! #azeasycpa #askthecpaguy #chandlerarizona

Debits vs Credits Cheat Sheet If you want to understand accounting, you must know debits and credits work. Here's a simplified breakdown: Account Types and Their Normal Balances: 💰 Assets: Debit (Increased by Debit, Decreased by Credit) 💸 Expenses: Debit (Increased by Debit, Decreased by Credit) 📈 Dividend: Debit (Increased by Debit, Decreased by Credit) 📉 Losses: Debit (Increased by Debit, Decreased by Credit) 📊 Liabilities: Credit (Increased by Credit, Decreased by Debit) 💼 Capital: Credit (Increased by Credit, Decreased by Debit) 💵 Revenue: Credit (Increased by Credit, Decreased by Debit) 📈 Gains: Credit (Increased by Credit, Decreased by Debit) Key Points to Remember: • All Assets, Losses, and Expenditure accounts will have a Debit balance. • All Liabilities, Gains, and Revenues accounts will have a Credit balance. • All journal entries are placed in their respective ledger accounts. • The first step in accounting is to pass a Journal Entry for every transaction. • Some accounts will be debited and some will be credited. #AccountingTips #DebitsAndCredits #AccountingBasics #FinancialEducation #AssetsVsLiabilities #Bookkeeping101 #AccountingForBeginners #JournalEntries #FinanceCheatSheet #AccountingRules

💼 Bookkeeping Glossary – Part 2 💼 Continuing with our 4-part series on essential bookkeeping terms: ✅ Credit An entry that increases liabilities, equity, or income, and decreases assets or expenses. ✅ Data Raw financial information collected, recorded, and processed for reports. ✅ Double Entry The accounting method where every transaction affects at least two accounts to maintain balance. ✅ Depreciation The gradual reduction in the value of an asset due to wear and tear or obsolescence. ✅ Expenses Costs incurred by a business to generate revenue, such as rent, salaries, and utilities. ✅ Equity The ownership value in a business, calculated as assets minus liabilities. Stay tuned for more terms in Part 3! 📚 #BookkeepingGlossary #FiscalYear #GeneralLedger #Liability #GrossProfit #NetProfit #AccountingTerms #businessfinance2w

Improve your cash flow by following these five simple rules. The key is getting your invoicing right, by invoicing customers as soon as possible and using tools within the software to set reminders to move payments along. That said, there are a few other simple rules you can apply to manage your cash flow and get your invoices paid even faster: 1.     Keep your books accurate and up to date 2.     Don’t be too lenient with your customers 3.     Keep your accounting simple 4.     Keep your business and your personal finances separate 5.     Build a cash reserve Feel free to get in touch with us for guidance on your invoicing and business cash flow. #apcaccountants #businessadvisors #accountants #numbers #finances #profit #loss #tax #budgets #budgeting #business #businessowner #selfemployed