5 Tips to Start Your Financial Year off Right
If you have the interest to start your financial year off Right, it is the right time to start using the accounting software. Whichever stage you are in, there is a solution. In our article, you will get a few tips to start your financial year off Right.
If you are in the beginning stage of the business you can use single entry accounting software to record all the transactions. Then business grows well you can start to use the double-entry accounting software which is acting as the backbone of your business. By using the accounting software you can able to store all financial information in one place where you can able to prepare financial statement P&L statements and internal or external audits. Through this feature, you can easily find any errors and frauds.
Revise Chart of Accounts (COA)
Every business people have a COA for their business and that maximizes its value so you no need to do change over time. Based on these values you can able to compare your results year by year. Then you can able to add or remove any chart items based on the revised COA. The well-designed COA always provides accurate results to maintain a company’s financial health. Based on it you can make informed decisions.
Document Old and New Statements
You have to document the Old and New statements to apply for the tax returns. To apply for tax returns you should have five years’ of financial statements from the due date. Then begin the SOP to get ready for your business development.
Practice the CCRRA
The CCRRA system is one of the best reminders for transaction tracking. Get a clear idea about the CCRRA.
Capture: You should have to collect every transaction receipt which is a major part of financial tracking.
Check: While collecting the receipt you have to write down the receipt information such as a date, item, and purpose. If you conduct any meeting then you have to note down the people who attended. And always maintain separate statements for personal and business expenses.
Record: During the accounting stage, you have to track all the financial information on your accounting software that saves lots of time.
Review: Every month you have to compare your four reports with the previous month’s report Those reports are a balance sheet, an income statement (P&L), an accounts receivable aging report, and an accounts payable report.
Act: Based on your previous reports you have to improve any areas of concern.
Get Online Accounting Software
Cloud accounting software is one of the best accounting software for business people. By using cloud accounting software you can protect your financial information and that can be accessible from everywhere. And this software is easy to access and cost-effective.
The above tips definitely, help you to build a strong financial foundation for your business. If you are looking for accounting software for your business, you can contact our Singapore accounting software support team on + 65 6227 1797 / +65 6746 2613 or Email us at email@example.com Feel free to reach us!!