The importance of collecting outstanding monies
In business, the income or sales cycle is critical to your company’s survival. It brings in the money to move the company forward. Simple. Well, yes. The customer or debtor can pay you at a later time (up to 60 days) depending on your terms. This has all been captured in your accounting system already. The […]
5 Small business accounting tips for growth
Discover the small business accounting tips that every small business should implement to make your business grow! Establishing a Clear Budget One of the most important small business accounting tips small businesses is establishing a clear budget. A budget serves as a financial roadmap for your business, helping you allocate resources and plan for the […]
Small business accounting basics: A Beginner’s Guide
For small business owners, managing finances can feel like navigating a foreign language. But fear not! Understanding the basics of accounting is crucial for steering your business towards success. In this post, we’ll break down essential concepts in simple terms, including how money flows in and out of your business, what the key equation means, […]
Budget: time waster or time saver?
“Budget” is a common word that surfaces about three times a year. It is the first “tool” many people turn to when: They are starting a new project or business They need to cut back on their spending (“tighten your belt”) In my opinion, budgets are, aside from social media, one of life’s greatest time-wasters. […]
Accounting and bookkeeping: what’s the difference?
When most people think about bookkeeping and accounting, they would be hard-pressed to describe the differences between each process. In this article, the functional differences between accounting and bookkeeping are explained, as well as the differences between the roles of bookkeepers and accountants. While bookkeeping and accounting share common goals, they each make up a different stage […]
Barter – Can We Still Use It?
Is there more than one form of payment? When you provide a service or goods to another person or entity ie: sell something to someone to make money, we assume that you would get paid in some form of currency. The amount exchanged would equal the amount agreed by both parties. This is a perfectly […]
VAT registration: How and when to cancel it
Why cancel your VAT registration? A vendor’s VAT registration may be cancelled if certain requirements are met. Who can cancel a VAT? The cancellation of VAT registration can be initiated by either the vendor (individual, company or any juristic person) or the Commissioner (SARS). Most commonly, it is done by the vendor though. When can […]
Technology: Do I really need that computer stuff?
Some business owners will avoid changes, especially in technology, in order to stick to the old ways of doing things. These ways might well be good and have probably worked for most of the businesses life. However, avoiding changes could be dangerous for your business as today’s business environment is more competitive than ever before, […]
Trusts – should you have one?
Changing the rules on trusts To anyone involved in a trust, It is now no secret that SARS has identified trusts as a targeted source for extra tax revenue. This is based on the fact that they were used as tax havens for taxpayers as trustees or beneficiaries. As they have become to know this, […]
What are fixed assets in your business?
What are fixed assets? Fixed assets are also called non-current assets or even capital purchases. These are items in your business that will generate income for a period longer than one year. They are all the “big things” in your company that you use to make or sell your service or products. Examples of fixed […]