Make sure your business leverages the most valuable financial reporting tactics available.
“How can that be my net income?” “I didn’t make that much, check my bank account?” “This income statement makes no sense to me” I have sat with many business owners and heard these lines seem time and again. Their income statements make no sense. It’s no wonder many owners look at what accountants do […]
Why Your Income Statement Doesn’t Match You Bank Account Read More »
Earlier this week I was having coffee with a potential client when I heard two interesting statements from him within 5 minutes. It started with him saying, “My income statement doesn’t make sense to me. It says I have this huge net income, but that cash isn’t in my bank account”. A few minutes later
That Other Statement – What is the Statement of Cash Flows? Read More »
Let me get this off my chest right away….most business owners stink at reviewing their financial statements. It’s not an intelligence thing or even a lack of effort. The cause boils down to three reasons: Whoever prepared the financial statement for the owner (i.e. bookkeeper) is so consumed with the process of getting the statements
3 Keys to Reviewing Your Financial Statements Read More »
I was meeting with a business owner last week who told me they were interested in moving to accrual-based accounting method. They were currently on the cash basis and their bookkeepers were inquiring if they wanted to convert over. The company was just entering their 3rd year and always prepared their financial statements and tax
Decoding Accounting: Cash vs. Accrual Read More »
Small business owners hate reviewing their financial statements. A combination of it being a reality check and the general disdain for numbers give owners heartburn at even the thought of reviewing an income statement. Small business owners generally don’t have an interest in accounting (only us weirdos do). Besides, most business owners know exactly where
The Business Owners Guide to Analyzing Your Small Business Income Statement Read More »
