It can sometimes feel like an endless struggle to keep up with the financial side of owning a small business. The amount of paperwork an entrepreneur has to deal with, from invoices to expenses to day-to-day accounting and dealing with the IRS, is absolutely astounding. It’s almost hard to imagine how entrepreneurs ever produce anything or provide any service at all. Thanks to technology, small business owners can save time and avoid headaches on their daily financial tasks thanks to a multitude of tools. These 10 financial management tools for small businesses can help you streamline your business’s financial management process so you can focus on your core mission.
10 must-have financial tools for your small business
This is what they look like
1. Accounting software
While Quickbooks has long been the most popular accounting tool for small businesses, Xero and similar online accounting solutions are playing an increasingly important role. Choosing a program to use for your accounting must be both robust and flexible in order to be of use to you. You should look for the following features in Business News Daily Performing basic accounting tasks such as invoicing, expense tracking, and maintaining client, vendor, and vendor contact information Integration with point-of-sale software, credit card processing, and Google Apps, as well as automated billing and recurring payments, quote and estimate creation, tax preparation, multiple-user access, payroll processing, and mobile access.
2. Budgeting tools
You must build a realistic budget – and stick to it – to ensure the financial security of your small business. Your accounting software may be able to help you create budgets for your business right there without having to download an additional PlanGuru is a great budgeting tool if you do not need a separate budgeting program.
3. Payroll management system
It takes a lot of time and can be risky to manage payroll correctly. For helping you optimize payroll process efficiency and eliminate costly inefficiencies, Single Grain CEO Eric Siu recommends Gusto (formerly ZenPayroll) and Zenefits, both payroll/HR systems from Single Grain. Among the many tools available for payroll management, these are two of the most popular There are often strong online integrations between these tools and other accounting systems or storefront tools you already use. In addition, SurePayroll can calculate local, state, and federal payroll taxes and provide automatic payment. What more can be done to make payroll simpler?
4. Agile billing
Your billing process should be as smooth and nimble as possible-that way, payments will be made and processed more quickly, and cash will flow into your business more quickly. You can shorten the billing process, and also increase customer satisfaction, by using a cloud-based accounting system (try FreshBooks or Bill.com). With agile billing tools and processes, you’ll improve the customer experience and cut down on the amount of time it takes to collect payments.
5. Financial dashboard
You can use a dashboard to see a snapshot of your small business’s financial health by using LivePlan or InDinero. You will be able to use these programs to track key performance indicators (KPIs), says Sabrina Parsons, in order to determine whether your business is thriving and not just surviving. In addition, by keeping track of these financial metrics in one place with clear visuals, you will instantly be able to see if you’re on the wrong financial track-and take actions to right the ship.
6. Cash flow analysis
No matter how you manage your cash flow, whether you use an accounting program’s cash flow statement feature, Float’s cash flow tracking tool, or a simple spreadsheet, accurately measuring cash flow on a regular basis keeps your business prepared for whatever may arise. By using past patterns to forecast your future financial situation, a cash flow analysis helps you to adjust to ups and downs in your cash balance.
7. Inventory management
You can easily track your inventory, from the minute you purchased your resale items until it is delivered to your customer, with cloud-based solutions like SOS Inventory and Scout’s These tools can not only track your goods, but they can also generate sales reports, send out alerts when your inventory falls below a certain level, and handle
8. Expense tracking
Gas, meals, and cabs are some of the little business expenses that can add up quickly. Employers can scan receipts or add cash expenses directly from their mobile devices and upload them with an expense reporting tool like Expensify Once you have imported the information, you can easily rebill, account for expenses, and reimburse the client.
9. Business credit card
Business credit cards can help entrepreneurs build a credit history, get access to higher credit limits for business borrowing, and receive business discounts and rewards. Anita Campbell recommends opening one to gain a better reputation. switched to a business credit card account with easy employee card management capabilities (and very small credit limits), which proved to be more than worth it in the long run. As a result of this policy, her business was more easily able to cover the expenses of employees such as travel, it also helped boost
10. E-commerce solutions
The use of e-commerce is becoming more and more important for businesses. As more and more customers expect to be able to pay for products and services instantly (from a credit card or mobile device), instant payment methods are becoming increasingly popular. There are many financial tools that make it easier for customers to make payments on the fly, including Apple Pay, Square, and PayPal. Having an online storefront and tracking inventory is important to track in-person or online sales, as well as streamlining order fulfillment and tracking sales data. Tools like Stitch and Vend make it easy to figure out where to sell, whether in-store or online. There can be no doubt that the Holy Grail is a robust, integrated system that manages many of these factors in one location. CashierLive is a powerful tool that can handle everything from inventory management to payroll to web sales for retail businesses. Alternatively, businesses with payroll needs may want to look into Sage 50 or QuickBooks Online. Invoicing, profit and sales reporting, payroll, and expense management are all handled by both systems.