Virtual CFO services give you access to a chief financial officer (CFO) who can help your business grow by implementing ways to raise capital, set key performance indicators (KPIs) and review and analyze financials to identify risks and big-hit opportunities. We looked at several companies and narrowed it down to the top five based on…
How to Do Petty Cash Accounting & Recording in 4 Steps
A petty cash fund is a small amount of money, usually under $500, used to cover incidentals. Petty cash accounting involves establishing a petty cash policy, setting up a petty cash log, creating journal entries, and reconciling the petty cash account. Accounting can be done manually or made easier with bookkeeping software and employee expense…
Petty Cash Log, Form & Voucher [+ Free Templates]
Petty cash is a convenient way to cover small expenses but without the proper documentation, a company’s petty cash program can be abused or mismanaged. Managing petty cash means providing a petty cash form for each use and recording every transaction in a petty cash log. Using our free petty cash templates will make this…
How to Manage Accounts Payable
Accounts payable (A/P) is the money you owe vendors who have provided you with goods and/or services on credit. It’s crucial to stay on top of your bills because, if you don’t, it could lead to cash flow issues and penalties for late payments, and it could even affect your ability to order products and…
How to Write a Collection Letter [+ Free Templates]
Writing a collection letter requires you to follow the right step-by-step process and include the right language to give your customer official notice that a debt is owed and past due. You will typically send a total of four letters before hiring a collection agency or recording a bad debt expense. Collection Letter Templates There…
Accounts Receivable Aging Report: The Ultimate Guide
An accounts receivable (A/R) aging report shows all unpaid customer invoices grouped by the number of days outstanding. If you use online accounting software, you can create this report in a few minutes. Otherwise, you can create it manually in a Microsoft Excel spreadsheet. To avoid delinquent invoices, review this report monthly, and follow up…
25 Tips to Find the Right Bookkeeper from the Pros
Every business should keep a clean record of all its financial transactions. However, most business owners are either not trained to do their own bookkeeping or they don’t have enough time for the task. According to the experts, hiring a bookkeeper to manage your books is something that would benefit most businesses. Below are 25…
Free Purchase Order Template & Instructions: How to Create a Purchase Order
A purchase order is used to request products or services from your supplier. It generally includes the details of the items that you intend to purchase, such as cost, quantity and description. In addition, it allows you to keep track of items ordered but not yet received. This info helps you to determine when you…
What Is The FIFO Inventory Method? First In, First Out Explained
First in First out, also known as the FIFO inventory method, is one of five different ways to value inventory. FIFO assumes that the oldest items purchased are sold first. FIFO is best for businesses that sell perishable food/drink items or products that have an expiration date like certain medications. In this article, we will…
How to Manage Accounts Receivable
Accounts receivable (A/R) is money that is owed to you by customers for products and/or services that you have provided. It’s important to stay on top of your customer invoices. If you don’t, it could lead to cash flow issues, which could impact your ability to pay vendor bills, meet payroll or other obligations. One…
What is a Profit and Loss Statement & Why Is It Important?
A profit and loss statement, otherwise known as a P&L or income statement, is a document that measures and reports a company’s expenses and revenue during a specific period of time. This shows a company’s financial status and progress during the time surveyed. The statement details a company’s capability to create profit by driving revenue,…
Employer Identification Number (EIN): What It Is & Where To Get One
An Employer Identification Number (EIN) is a unique nine-digit number that identifies your small business when you file taxes, open a business bank account, get a business loan, or do other business activities. Many, but not all, small businesses are required to get an EIN. How to Get An EIN – Cost, Online Application, &…