Managing personal finances can be a slog for most people, let alone small business finances. From when to bill clients to how to track every penny, more money is lost in disorganization than most business owners would like to admit. Before you wash your hands of it all though, here are a few tips to getting it right.
1. Hire an Accountant
Not only is keeping the books a time-consuming exercise, but it's also easy for business owners to miss major gaps in their cash flow. An accountant will let a business owner know where they can adjust to maximize their revenue.
2. Adopt Good Financial Habits
This piece of advice will ultimately mean different things to different business owners. Some will need to cut back on their expenses to adopt a leaner and meaner approach. Others may need to invest more in order to grow their company. Ultimately, you're aiming to stave off stagnation as much as possible.
3. Avoid Business and Employee Fraud
Safeguarding your business means protecting your data and hiring people you can trust. But in a complicated virtual age, the question of how to do this is not always clear. Microbilt has found that an identity verification and a thorough background screening can help you narrow down the shortlist, so you can be that much more confident in your final decision.
4. Reduce Financial Risk In Business
In addition to fraud, you need to consider your risk management solutions. There are 100 million people out there with no traditional credit history on file, making it difficult for owners to get a real sense of who they are. That's why Microbilt offers PRBC alternative credit scoring, so you learn more about a person's character before it's too late.
5. Invest in Technology
Technology can make or break a small business, which is bad news for anyone who's overwhelmed with the infinite numbers of available programs that all claim to fix your problem better than the others. Microbilt has built a number of interfaces that companies can use if they're looking for the best API tools.
6. Keep Personal and Business Finances Separate
You can't mix business with personal if you want to succeed, otherwise it just gets too complicated to remember which dollars were spent on what. If you're constantly dipping into the coffers to buy a coffee, it won't take very long before your bottom line doesn't add up.
7. Remember to Pay Yourself
Before you forget it, you matter to this organization. If you're constantly taking on burden after burden and swallowing all the costs, you won't be good to your business or your employees. Don't let yourself become a casualty of your own ambitions.
There's nothing simple about managing money, but it is something that you can get better when you have the right tools in front of you. With the uncertainty of COVID-19 sweeping through the small business community, there’s never been a better time to take precautions. Microbilt is dedicated to keeping the small businesses turning, so the world can do the same.