What every small business owner needs to know about accounting.

As a small business owner, it's important to have a clear understanding of your business's finances. That includes knowing how to read and interpret financial statements, as well as understanding the basics of accounting. Here are some key things to know about accounting for small businesses:

- The most important thing to remember when doing accounting is to keep track of everything! Make sure you document all income and expenses, and always use the same system so that your records are accurate and easy to compare.

- There are three main types of accounts small businesses use: assets, liabilities, and equity. Assets are everything your business owns and owes money on, liabilities are what your business owes others,As a small business owner, it's important to have a clear understanding of your business's finances. That includes knowing how to read and interpret financial statements, as well as understanding the basics of accounting. Here are some key things to know about accounting for small businesses:

- Bookkeeping is the process of recording financial transactions for your business. This can be done manually or using software like QuickBooks or Excel.

- Financial statements show your business's overall financial health. There are three main financial statements - the balance sheet, income statement, and cash flow statement - that you should be familiar with.

- Accounting principles govern how financial statements are prepared. These principles include things like the accrual method of accounting and double-entry bookkeeping.

- Tax laws are important to understand when doing your own accounting. You need to make sure you're keeping track of all the deductions and credits you're entitled to.

If you're not familiar with accounting, it's a good idea to get some training. There are plenty of online courses and books available on the subject. Or, you can consult with an accountant or bookkeeper who can help you get set up and keep your business's finances in order.

If you have any questions about accounting or need any assistance, contact us today. We're experienced Certified Public Accountants. and can help you and your business get up to speed quickly.

For more information on accounting, visit our website www.benfordbrown.com or call us at (773) 731-1300 We would be happy to answer any of your questions! Thanks for reading!