You are thinking of starting your own business and looking to setup your own system that will work for you, then this post is for you. This is a step by step guide that will help you ensure you are on the right track. With your start-up, you will need to get on top of the accounting tasks that come along with owning a business.
- Reserve a Business Name (do a name search with NUANS Business name report)
Your business name is very important, choose something that is not easily forgettable.
- Register as Small Business with the Government
Identify what type of business you want to operate, and the type of identity (sole proprietorship, partnership or corporation) that will meet your needs/
- Open a Business Bank Account
After opening a business, you will need somewhere to deposit your income and pay your expense. Make sure you compare rates between different banks to choose the best rate possible.
- Track Your Expenses
It is crucial to keep track of expenses thus this allows you to monitor business growth and build financial statements. From the beginning, you should create a system to keep your receipts and important records organized.
- Meals and Entertainment
- Auto Expenses
- Office supplies etc.
- Develop a Bookkeeping System
These are records of your day-to-day transactions, you need to categorize them.
- Set up a Payroll System (if you have employees)
If you decide to hire employees, you will need to choose a payroll schedule and ensure the correct taxes are being withheld.
- Determine Tax Obligations
- Re-evaluate Your Methods