Category: Accounting & Bookkeeping
Debt Management for Business Owners
November 20, 2023 | Barton Walter and Krier
Some of you may shudder when you hear the word “debt,” but if you’re a business owner, chances are you know that debt is often necessary. And it doesn’t have to be a bad thing. Taking out a business loan is a common and useful tool for funding a business, especially in its early stages. The trick is managing your debt wisely so that it never grows out of control or otherwise hinders your operations. In today’s blog, we’ll explore strategies of debt management for business owners. How Do Businesses Accumulate Debt? Before we examine how to manage debt, we need to understand how and why businesses accumulate debt in the first place. As a business owner, you may use debt financing for a variety of purposes. You may need a loan to cover startup costs. You may need to borrow money to help with everyday business needs, known as “working capital.” Some business owners use loans to purchase expensive equipment, inventory, or real estate. Many of these costs would prove detrimental to small businesses if they had to be paid in full, but repaying a loan over a long period of time makes them much more manageable. You can obtain a business loan from a bank, credit union, the U.S. Small Business […]
Read MoreHave a Cash Flow Blueprint for Your Business
November 8, 2022 | Barton Walter and Krier
Sure, you want your business to succeed. A big part of that outcome involves keeping your operation running each day. To do that, you want to have a cash flow blueprint for your business. Keep reading to learn why this is important and discover helpful hints to control capital. What Comes and Goes While cash flow may not necessarily reflect a company’s success, it is crucial to the day-to-day enterprise. Cash flow reveals the actual money moving in and out of a business — what you’re earning versus spending. And the process is a give and take. What comes in: This is incoming cash from customers or clients purchasing your company’s goods or services. If invoicing is involved, your cash flow statement will indicate cash flow as accounts receivable. What goes out: Outbound monies are expenditures needed to run your business, such as production costs or rent. Expenses paid in installments will show up as accounts payable. You want to know what’s coming and going so you know when there’s cash on hand for covering expenses. A cash flow blueprint can help you stay organized and keep money moving in a balanced manner. Keep a Record The best way to know what’s coming and going is to keep a record. Monitor cash flow […]
Read MoreHelp Ensure Solid Financials
October 18, 2021 | Barton Walter and Krier
When it comes to your financials, you want to make sure your bases are covered. And there’s a lot to consider. To make things easier, the premier accounting and tax specialists at Barton, Walter & Krier offer tips to help ensure solid financials. Financial Framework You got into business to do more than survive – you want to grow and be successful, right? Having a solid financial plan is key to all of this, and managing that plan is just as crucial. Taking charge of finances is at the base of everything you’re hoping to build, and we’re here to help with some of the basics for building a strong financial foundation. Have a Plan Your clear and detailed business plan will keep you focused on success. This plan should outline where you are now, where you want to be in the next couple of years, and how you intend to get there. What does the market look like? What kind of competition will you have? Who will you need to help you? Determine the capital you will need and how you’ll secure it – business loans, angel investors, bootstrapping, grants, etc. How do you plan to attract interest and potential investors? Consider short-and long-term business goals and objectives and note how you […]
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