10 Profitable Bookkeeping Business Principles
Success in business begins with discipline. Here are nine basic business principles (and a bonus one) that will help you establish a growing and productive business: #1. “Draw a line around your business.” Keeping your business separate from your personal will enable you to clearly see where your business is succeeding and where you need to make changes. #2. Know your costs. Many small business owners don’t know the cost of their product or service and subsequently, don’t know their break-even. This is critical in budgeting and operational planning. #3. Manage from your financial statements (not your checkbook.) Although cashflow demands your attention, it’s your income statement that is the measure of your business’s performance. The balance sheet documents your businesses health and the status of its current worth. #4. Orient your business toward profit, not lowering taxes. You went into business to make a profit, make sure your strateg...