When working with part-time employees, here are ways to make sure they receive fair employee compensation:
When your business or venture remains on the relatively small or new side, it often makes great sense to hire your first employees as part-time. The US government defines a part-time worker as an employee who works under 30 hours per week. If you have tasks that need to be done but don't take a full work week to complete, a part-time employee will get the job done without costing as much as a full-time hire.
When working with part-time employees, here are ways to make sure they receive fair employee compensation:
Small businesses focus most of their energy and resources on saving time and ensuring that none of their resources go to waste. As much as this is beneficial to them, when it comes to finances, it takes more than savings for these businesses to thrive, and failure to give this aspect due consideration is detrimental to the operations of the firm. Here are some of the common accounting mistakes companies make.
Mixing business and personal finances
It’s easy to grab the wrong card and make a personal purchase on your business card, but don’t make a habit of it. Using your business accounts for personal use, or not creating a separate account will make tracking cash flow a challenge and could suck profit out of your business. Separate your accounts and write yourself paychecks, but don’t mesh your accounts together.
It is no secret that cash-strapped businesses opt for cheap solutions when hiring employees, purchasing technology and buying products, but in the end this becomes expensive for them. When you don’t pay employees enough you will see turnover, which is expensive. Buying low quality technology means having to buy everything again sooner rather than later.
Going it alone
The assumption that one can manage everything in their business either to save on cost or as a passion is a total misconception. Divided attention becomes the order of the day, and this affects operations. If you can’t afford an employee you need to enlist a mentor or someone to run ideas by.
Failure to keep a backup
With so much living in the cloud or as digital files it’s easy to forget to create a backup. When it comes to financial information, client contact information and other important data you want to keep a backup. Data can be lost through computer crashes, accidents and more. Prevent yourself from saying “I should have” and backup today.
Failure to maintain records and receipts
There is a lot of money in and out of business, and you need to know where it’s going. Keep your receipts and keep track of your expenses. Using a bookkeeping service can help to keep you in the black and ready for tax season. It may sound like a lot of work up front but in the end keeping your books up to date will save you time and money.
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Properly handled finances are crucial for business success. It’s tempting to try to operate without keeping a close eye on cashflow but be careful. Just because there is money in the bank doesn’t mean you can spend it. You want to keep a good amount of runway to help you grow your business. It’s important for a business owner to be familiar with basic accounting.
Here are 5 basic accounting tips for small business owners:
It's easy to get bogged down with your business when you're an entrepreneur. Long days that lead into late nights, business trips across time zones and a diet that consists of eating whatever you can grab as you rush from one meeting to another can wreak havoc on your physical and emotional health. If you're an entrepreneur fighting stress, it's important to remember that you need a break.
Here are 5 easy ways entrepreneurs can take care of themselves:
Starting an online business can lead to a successful and rewarding career. With some advanced preparation, you can increase the odds of success.
Here are our 6 steps for starting an online business:
Identify and research - This is the most important part of your journey. Identify your interests and what type of business you want to run. Research your ideas and see what already exists on the internet. Are there already businesses out there competing for customers or will your business fill a unique niche? Take inspiration from what others are doing. Then improve on those ideas and make it your own.
Many people dream of becoming business owners. Often, this dream a romanticized image of lots of free time for leisure, access to limitless amounts of financial gain and so much more. However, the average entrepreneur works very long days, especially in the first 3 to 5 years to get the business up and running. These crucial years are spent partially in the red, then breaking even, and if all goes well, then profitability.
Let's talk about the time factor. On a given day, a business owner must make countless decisions.
Here are 10 helpful tips for making solid decisions:
As fun and exciting as running your own business is, it can be stressful sometimes. Stress in other areas of your life can negatively impact your work too. Regardless of your sources of stress, there are a few ways to reduce and prevent it. We bet that some of your stress is avoidable. By this we don't mean ignoring client emails or avoiding your wife, but preparing for stressful events and choosing to not place yourself in an unnecessary stressful situation.
An example of unnecessary stress is being stuck in morning traffic. If you choose a different route or time to go to work, then you won't experience that stress. Or you could listen to podcasts during commute to make good use of the time, which will help to lessen your stress.
Here are our 3 tips for avoiding unnecessary stress:
Life as an entrepreneur is stressful when you don't have work-life balance. You may feel like there aren't enough hours in the day to do everything and find yourself neglecting certain areas of your life. The truth is you don't have to sacrifice an aspect of your life to be an entrepreneur. You can still be a successful entrepreneur while living your life, spending time with your family, and enjoying a few hobbies.
Here are 3 apps that help you achieve work-life balance:
You’re out on your own and you know all the day-in and day-out operations of your business. Getting your business started will require an online presence consisting of any of the usual social media or all of them: Facebook, Twitter, LinkedIn, Pinterest and Instagram. How do you keep it all straight?
Here are 5 tips we've learned about managing social media:
Facebook allows you to schedule posts right on your page. You can also employ a social media management tool such as Hootsuite or Buffer to help you schedule your posts out. The secret is to not be afraid to make changes. If you schedule a post about sunny weather and there’s a spontaneous blizzard, it’s easy to go in and change your content.
As a small business owner you are familiar with the idea of a stressed life. The pressure to balance work and life and manage a company can feel crushing. While there is a never ending list of recommendations to help you reduce your stress, you may be looking past one key element. Your diet.
Your brain requires 25% of the body’s energy to function properly. That’s a lot of calories. And with your brain running on overdrive, you need to be sure to feed it properly. Stress and anxiety are caused by the feeling of being unable to solve problems.
Any good entrepreneur knows the importance of cash flow. Having to front costs for a project while waiting for a customer to pay can be painful, like the blood of your company is being drained. Solidifying a payment system protects you and the customer. You don’t want to be the nag always asking for payment, so instead use new tech to your advantage.
Here are our 3 tips for getting your invoices paid on time:
So you have the next great idea, you image yourself in a black mock turtleneck running an empire like Steve Jobs. Whatever your business idea is, you are chomping at the bit to get going. Just one problem. You don't have the start-up capital you need.
There’s no denying that it’s easier to launch a business with money than without, but there are solutions for every problem. Big empires have been created out of nothing before, why can’t you be next?
Here are our 7 tips for launching your business with little to no working capital:
Know your numbers: Gain a firm grasp on what it costs to produce your project and where you need your margins to be in order to pay rent. This simple knowledge will help to guide your decisions and set your prices.
One goal all small businesses have is to see growth. For some, this means obtaining top talent in the industry. Others, however, are more interested in increasing sales and improving customer service. Regardless of what you are looking for, there are some things you can do to take your small business to the next level. Here are three things to consider.
Here are 3 ways to foster growth in your small business:
It's so tempting for small business owners to just throw all the bills and receipts at their bookkeeper or CPA. While that system can work, we want you to remain in business for many years which requires you to understand what your business's numbers mean even though you can't and shouldn't track every penny.
Here are our 5 basic accounting concepts for every small business owner:
Managing payroll is a time-consuming task and if not done correctly, it can result in a loss of precious time and money. For instance, late or inaccurate payroll could cause delayed paychecks and late penalties from the IRS. But, do not despair, we've compiled a list of 10 tips to make payroll management simpler.
Here are our 10 tips to streamline payroll management:
1. Select a good payroll system
Identify a cloud-based, payroll system that records and documents data, tracks health care insurance contributions, 401K plans and wage garnishments.
For a lot of people, accounting looks like a big ball of confusion. A maze of spreadsheets and receipts can overwhelm even the most number savvy business owner. We hope that explaining some of the key terms of accounting will help to calm your fears.
Here are some definitions of accounting terms for non-accountants:
Debits and Credits - A debit is money coming out of an account and a credit is money coming in. When you subtract debits from credits you get the balance of your account. If you have more debits than credits, well, you’re in the red.
The Profit and Loss Statement (aka Income Statement) - A summary of all operating transactions that occurred within a specific period of time – usually a calendar month. In other words: sales minus expenses. This report lets you know if your business is profitable during that period of time.
For a lot of small business owners, accounting can be tedious and time consuming. Unfortunately it’s non-optional as a business owner. It’s best to stay organized and up-to-date with everything to lower the burden.
Here are our 10 Tips for Small Business Accounting:
Keep it simple:
Don’t over complicate the matter. Keep your spreadsheets or software and organizational systems in line and easy to follow.