Accounting involves putting your money and time into categories that reflect how you earned it and spent it, as well as tracking your inventory and customer data.
Many small businesses don't hire accountants until they feel overwhelmed by their current system. However, having a basic understanding of the tax code will simplify bookkeeping and ensure all your information is accurate for tax season.
There are many reasons why you may consider setting up a small business, including a goal of financial independence and gaining greater job satisfaction. Whatever your motivation, it can be rewarding in monetary rewards and personal fulfillment if done well. Setting up a business takes much more than good ideas or ambition. It requires careful planning before implementation to ensure that all necessary groundwork has been covered. This includes making sure there is adequate finance available to support the business until it becomes profitable, as well as carefully considered strategy detailing exactly how the business will operate, what services or goods will be offered, who the target market is, etc.