Improve Your Business Finances

Improve Your Business Finances

Managing your business finances can be stressful and time consuming. Doing the following will work wonders.

1. Store your bills in one place

Be consistent with where you store these. Misplacing bills can cause you to waste time looking for them. Time is money. Set up a suitable means bearing in mind the amount of mail you receive.

2. Plan to pay your bills on schedule

Set up a schedule to pay your bills at set times each month. It is worth time doing this rather than simply paying just as you receive them. Check how much time is allowed to avoid late payment.

3. Examine your credit card statements

Examine how much interest you are paying. Watch out for increases. If you get transaction fees or your interest rate rises, check with your credit card company. If necessary switch to someone else for a better rate.

4. Use automatic payments

Most banks offer automatic payments to your creditors. Some creditors will give reductions if one agrees to sign up for these. Keep track of these and record the deductions. This can help save time and effort.

5. Go digital with your Checkbook

There are a number of computer programs that can make the process easy for you. These include Microsoft Money and other similar ones. They make your payments and reconciliations easy. Computer checks can be ordered and will fit into most printers. Your software can automatically record all your transactions. Many banks have links to the software and deposits and withdrawals are taken care of. Also when it comes to do your taxes, it is so much easier.

6. Get protection for overdrafts

Most banks can offer a service, where if you were in danger of bouncing a check, money can be taken from another source for example a credit card or savings account. They can arrange this service for a nominal fee.

7. Cancel your unused accounts

If you have any accounts such as bank or credit card that you are not using, arrange to cancel them. This will improve your credit score. Avoid being enticed into opening new accounts, by low interest rates or discounted prices.

8. Consolidating

If you have a number of credit card accounts with balances outstanding, try consolidating them into a single combined one. Take care with transfer fees. Also if you have other kinds of accounts like savings, IRA’s or mutual funds consider consolidating these too. Keeping your money in fewer places can make life easier.

9. Put money aside

Consider setting up regular deductions from bank accounts automatically, into a savings fund. Avoid touching this. Over a period of time, this can generate substantial funds.

10. Sort out your files

Go through your files from time to time and dispose of old receipts and bills that you no longer need. Check with your IRS office for details of how long you should keep them.