What is equity, and how it works in business? Equity is the book value of shareholder capital. The accounting equation tells you that assets equal liabilities plus equity. That also means that equity equals assets minus liabilities. The equity on a company’s balance sheet can go up or down. The equity […]
Business Consultancy Name: Vathani Ariyam My consultation work Mainly I deal with small business owners, giving business advice, growing the business, accounting work, and writing the business plan for them. When I write the business plan, I include explanations for a business plan, why you need it, and whom you will write […]
How do I build a winning business plan? How do I build a winning business plan? Researching the style and pattern of a business plan that belongs to other entrepreneurs will help you understand more about it. Do not ever think of starting a business without a business plan that will be […]
Difference between self-employment and sole trader Sole Trader Definition A self-employed person also exclusively owns a business with a definite structure. You are the owner of a business, a legal entity entitled to the profit after paying tax. You can have employees but remain as a sole trader; also, you need […]
Difference between accounting cash and accrual basis Most small businesses have a cash basis for many reasons; one is easier for them to record sales and purchases. Besides, you cannot offer your service or product until the cash is received or create records unit the money exchanged. Whereas an accrual basis, […]
Why do small businesses need an accounting system? A robust accounting system helps the business build a strong foundation for your business. You might have a few staff, but you must decide who will do your business’s accounting side. Then you have to choose between a cash basis or an accrual […]
Comparison of accounting and bookkeeping job The bookkeeping job is the first part of the situation; therefore, a bookkeeper and an accountant overlap. Bookkeeping involves recording and organizing financial data; an accountant will understand them to produce financial statements. A bookkeeper will record the daily, monthly, and annual transactions by posting […]
How bookkeeping helps the survival of a business? How bookkeeping helps the survival of a business? Running a business without understanding the company’s financial position could damage your business incorrectly. Suppose you do not have accurate financial information about your business. In that case, you will not be able to make […]