Are you a small-business owner? Do you spend a lot of time focused on your company’s finances? Are you seeking ways to improve your efficiency in this area of your business?
Managing your company’s finances is easier said than done. It doesn’t matter if you have a handful of employees or more than 100; nothing changes the fact that you will face a variety of challenges.
Many businesses fail within the first year of opening their doors. There are many reasons for this, including the fact that some owners don’t have a firm grasp of company finances.
With this in mind, you should always be searching for new ways to manage your company’s finances. Here are four types of tools that can clear your mind, save you time, and put you in a better place moving forward.
1. Accounting Software
How do you track everything from revenue to expenses to accounts payable? If you don’t have the right accounting software in place, there’s a good chance that you struggle with these tasks.
There are many types of accounting software to choose from, some of which are free to use. What matters most is that you find and implement a program that you are comfortable with. This can save you a lot of time, thus giving you the opportunity to focus on other areas of your business.
2. Payroll Management System
This may not sound important when you only have a couple of employees, but it becomes much more significant as your company grows.
The right payroll management system will save you time and money, while also giving you peace of mind. There’s nothing more important than making sure your employees are paid on time. It’s also essential that you pay all your taxes in full and without delay. This is something that the right payroll management system can help you do. For small businesses, platforms like Gusto are ideal, as they offer easy and intuitive user interfaces.
3. Budgeting Software
It doesn’t matter how much money is flowing into your business or how much you spend every month; you need a budget to keep you on track. Manual budgeting is time consuming, archaic, and prone to human error. Rather than allotting a significant amount of time to personally overseeing the budget, it’s wiser to lean on comprehensive software.
Many small businesses have failed because they didn’t have a budget in place. Budgeting software can help you better understand both your income and expenses, giving you the opportunity to adjust as you see fit.
Centgage’s Budget Maestro not only helps organizations master their monthly budgets; it also helps them project business forecasts so that entrepreneurs can see a more defined view of their gross incomes.
4. Expense-Tracking Tools
Using an expense-tracking tool in tandem with a budgeting resource may seem excessive, but for organizations where employee travel is par for the course, tracking every hotel, airline, and food bill in a separate space can be a lifesaver.
You can create categories for every expense imaginable, allowing you to track every dollar that is going out of your company.
Some of the most common business expenses include: entertainment, gas for company vehicles, rent payments, insurance, and office supplies. Tools like Certify Now make it easy for both employees and HR reps to monitor expenses across mobile devices.
With an expense-tracking tool, you’ll never have to worry about losing track of how much you’re spending and where your money is going.
Keep an Open Mind
Many companies overlook the importance of these tools because they already have a system in place.
However, what worked for you and your company in the past may not generate the same results in the future. Therefore, you need to keep an open mind at all times. If you come across a tool that’s better than the one you’re using, test it out. You may end up saving time and money in the long run.
These are just four of the many types of tools that can help you better manage your company’s finances. They may not be the only ones to consider, but you should learn more about what each of these could do for your business.
Taking the time to optimize your financial management and planning practices will offer more insight into where exactly each of your dollars go and how you can better spend your budget more efficiently. Additionally, leveraging the right mix of financial organization tools also puts your company in a better position to take on new financing opportunities. If you’re interested in learning more about your financing options, reach out to the Currency team today.