George's Accounting Service

Accounting — Your Management Controls

webadmin — Wed, 01 Aug 2007 00:00:00 +0000

Accounting — Your Management Controls

Would you ever drive your car blindfolded? Obviously, not!

Nonetheless, every day millions of business owners drive their businesses without knowing their financial locations: where they have been, where they are, and where they are going. That sure sounds blindfolded to us.

As your profit and growth expert, our primary role is to ensure that you have the historical data that will tell you where you have been and where you currently are. With that information we can provide a professional consultation that will help you determine where you want to go while creating an action plan that will help you get there.

With this 360 degree view of your business, you can plan effectively and then track your progress against your goals. It will also help you anticipate obstacles so that, when encountered, you can easily maneuver around them rather than allowing them to slow you down.

With our help you can’t go wrong.

Tax Planning & Preparation

webadmin — Thu, 26 Jul 2007 23:28:13 +0000

There’s one distinguishing difference between tax planning, and tax preparation. It’s December 31st. In order to beneficial, any planning has to occur before the end of the year; preparation can only take place after the beginning of the year. Although we can’t promise to eliminate taxes, we can help you with both the planning and the preparation in order to minimize them.

Tax planning is an important step in reducing taxes. Together, throughout the year, we will discuss various tax strategies that could potentially save you thousands of dollars. This will enable you to make any needed adjustments before the end of the year so that you have some control over how much you pay in taxes.

Then, at the end of the year, with your help, we will see that your taxes are professionally prepared in a timely fashion to avoid any late fees. In order to offer you such service we have on staff certified Professional Tax Preparers that will assess your tax liability.

Profit and Growth Expert

webadmin — Thu, 26 Jul 2007 23:24:54 +0000

We trust that if you were forming a foursome for an upcoming golf tournament, you would want to have a golf expert like Tiger Woods on your team.

Although we may not be the golfer Tiger Woods is, we do take our job to be your Profit and Growth Expert just as seriously. Our goal has nothing to do with helping minimize the number of golf swings, but instead to maximize your profit dollars. This entails monthly analysis of your financial results, consultation in areas of profit improvement, and directions of how to take advantage of lower tax strategies.

Together, we will examine past experiences, map out where you want to go with your business, and discuss how that can happen. That’s our role as your Profit and Growth Expert.

Being In the Black

webadmin — Thu, 26 Jul 2007 23:18:27 +0000

Being in the black can mean a lot of different things. Most business owners, it stands for being profitable. When a business owner sets out on a new venture, establishing a profitable business is one, if not the only, primary driver. Unfortunately, too many entrepreneurs get lost in the day-to-day chores of running the business, and forget their main purpose.

When we, as your accounting professional and Profit and Growth Expert, apply The Universal Business Model we see our primary role as helping you maximize the profitability of your business. With financial skills in hand, combined with access to a variety of analytical tools, each month we will focus our attention on your business’s financial position and progress.

Here’s just a short list of those things you will be able to do with our help as we use The Wisdom Pyramid to ensure that we improve your business’s financial position:

You will know how your business stacks up against the competition with the information we provide you in a professional business assessment.
You will understand the areas where your business is strong and where it can improve, and we will regularly provide you with suggestions on how to do it. Consider this a Day with your CFO.
You will be able to identify trends that expose the helps and hindrances to your business.
You will take advantage of tax benefits through regular reviews of your tax position.

By gathering the necessary information through the bookkeeping and accounting process, we will be able to analyze the data and help you make the changes required to improve the profitability of your business. Whether you require an audit or a review of your finances, we can help move your business forward.

Auditing

webadmin — Thu, 26 Jul 2007 23:17:57 +0000

Only about 1 out of 30 businesses are required to have an audit completed by a Certified Public Accountant, CPA. Some businesses have them performed because the bank from which they seek financing requires it. Other businesses seek audits because they will be publicly traded. Regardless of the reason, an audit can be costly.

An audit must be performed by an independent CPA — one that is not presently involved in the business in any way. Although, as your Profit and Growth Expert, we can’t perform the audit, if you find your business in one of these relatively rare situations, we can assist you in locating an auditor who will provide this service in a professional and cost effective way.

On staff we have qualified individuals with various levels of experience and credentials ranging from Certified Professional Bookkeepers to Professional Tax Preparers to QuickBooks Specialists, all of which can provide you with the peace of mind you deserve.

Bookkeeping

webadmin — Thu, 26 Jul 2007 23:17:49 +0000

Too often business owners are so preoccupied with select parts of the accounting process that they don’t realize just how valuable all that financial information can be. Some business owners focus on preparing the yearly tax statement. Others may worry about that and their cash flow. And others still may just balance their check books. If you choose to have us do your accounting, we can do all that and more. And most importantly, we can help you become more profitable.

It really is quite simple. First you need a reputable accountant, what we like to call a Profit and Growth Expert, to determine your business goals. These goals may include, but are not limited to, growth expectations, marketing plans, profit margins, and overall labor expenses. We ask important questions, like what do you want? And why do you want it?

Here is a technical way of looking at bookkeeping:

Bookkeeping: The practice involved in the systematic recording of transactions affecting a company beginning with the data-entry process and ending with the preparation of financial statements. The art, practice, or labor involved in the systematic recording of the transactions affecting a business.
http://www.know-accounting.com/glossary/index.php?terml=b&termid=29

In layman’s terms, bookkeeping is the practice of determining which numbers are important to you and your business. Once that’s decided, we can set up a customized system that will organize the information you want and need. This is how we will come up with Your Accounting System.

Custom-Designed Small Business Accounting System

webadmin — Thu, 26 Jul 2007 23:17:38 +0000

In today’s competitive environment, information is power!

You’ll uncover a goldmine of profit-building information as you determine your financial standing, and when used properly, this information can help you better plan for the success of your business.

Call today for a free consultation. There is absolutely no obligation of any kind.

It will be well worth your time!

Do you have a customized accounting or bookkeeping system? Take This Quiz:

Can you answer these 10 questions about your business?

Were my total sales up or down last month? And where they designated by category?
What was my total gross profit last month? And was it designated by sales category?
What is my gross profit per item?
What were my expenses by category last month?
Who owes me money and how much?
Who’s behind in paying me and by how much?
How much inventory do I have: in total and by item?
To whom do I owe money and how much?
What was my profit last month?
How much do I OWN, and how much do I OWE?

Were my total sales up or down last month? And were they designated by sales category?
You need to know: If your sales are up, you’ll need extra cash to buy replacement inventory. If your sales are down, you’ll want to pull back on inventory purchases. Sales increases in a category can mean a new growth opportunity. Sales decreases need to be investigated to determine the reason for the loss.

Back to questions

What was my total gross profit last month? And was it designated by sales category?
You need to know: Gross profit shows the profit remaining from sales after subtracting the cost of the products or services you sold. Changes in gross profit show whether or not your pricing strategies are working. Cutting prices to increase sales can hurt you if it reduces your gross profit.

Back to questions

What is my gross profit per item?
You need to know: Pricing should be based on profit goals rather than simple conjecture. By raising the prices on some items and selling others near or below cost, you can change your inventory mix and increase gross profits. An increase of just 1% may add thousands of dollars to net profits. You can give sales incentives that will cause employees to sell the most profitable items instead of the easiest ones.

Back to questions

What were my expenses by category last month?
You need to know: Are payroll costs too high? What about other costs, such as insurance and utilities? In order to cut back on expenses, you must first know which costs are excessive. Also, recording your expenses each month ensures that you get the maximum tax deductions.

Back to questions

Who owes me money and how much?
You need to know: You can’t expect to get paid in full unless you tell customers exactly what they owe. An itemized, neatly printed, and up-to-date monthly statement tells customers that you expect to be paid on time and according to your payment terms.

Back to questions

Who’s behind in paying me and by how much?
You need to know: Customers who fall behind need to be contacted immediately and continuously so that it doesn’t become a habit. Also, before you approve a new order from a customer, you’ll want to know if that customer paid you on time for the last order.

Back to questions

How much inventory do I have: in total and by item?
You need to know: If you’re running low on an item, you can reorder in advance and never run out. Plus, you can avoid rush delivery charges. If you have too much of one item, or too much inventory in general, you can cut back on your inventory investment. Also, you can compare a physical count to the books and identify a shortage problem before it threatens to put you out of business.

Back to questions

To whom do I owe money and how much?
You need to know: Many vendors offer discounts for paying bills in less than 30 days, which can add up to big savings on an annual basis. Paying your bills on time will increase your chances of qualifying for business credit. Plus, you can plan for your cash requirements and reduce the need to borrow from a bank or your own funds.

Back to questions

What was my profit last month?
You need to know: A monthly profit figure gives you the financial bottom line, and lets you know where you’ve been and where you’re going. Plus, you can save thousands of dollars, on year-end tax return fees, and plan for taxes in advance.

Back to questions

How much do I OWN, and how much do I OWE?
You need to know: Keeping track of your current assets and liabilities allows you to plan for your cash needs, and helps you stay in compliance with loan agreements. Plus, you’ll be ready to respond to questions on demand from suppliers or potential customers.

Back to questions

Which of the following best describes Your Accounting System?

I do it myself
Your time is so much more valuable than that! You are the World’s #1 expert in running your business. While you are busy managing the books, your competitors are designing new products and services, preparing new advertising, collecting past-due accounts, and shopping for less expensive suppliers. These are essential to the growth of your business. Are you sure that your accounting system conforms to proper rules and procedures? Even more importantly, do you get all of the valuable information described here from your system?

I have an accountant
Does your accountant or bookkeeper provide you with all of the information described here? Does your accountant take the time to explain what the numbers mean, and how you can use them to manage your business more profitably? Do you feel you are getting the best possible value for the fees you are paying?

I don’t have a system
There isn’t a better time than right now to get started! Studies have shown that small businesses often fail because they don’t have a good accounting system in place. We will work with you to develop a system for your specific business that is so easy to use that you’ll be amazed. If you can drop a piece of paper into a file folder, you already have the necessary skills to use it! You can obtain all of the valuable information described here. Plus, you will understand what the numbers mean, and how you can use them to manage your business more profitably, and better control your future.

Day with your CFO

webadmin — Thu, 26 Jul 2007 23:17:27 +0000

You probably visit your doctor for a physical examination every year or so. The purpose of this visit is to alert you to health concerns, discuss life changes, and identify remedial action required before it becomes too late.

Allow us to be your Chief Financial Officer (CFO) for a day. In this capacity, we can perform a financial examination that will assess your business’s fiscal health. In most cases, we will meet with you following an in-depth analysis of your financial results, and share concerns as well as ideas on how your business can achieve better fiscal health. At the same time we can discuss any upcoming business changes you are planning and determine how they can best be handled. As your Profit and Growth Expert, we are committed to elevating the health and vitality of your business.

It’s amazing how much difference we can make in just one day!