Creating a budget is a smart move. Tracking your actual results is even better. But the real magic happens when you compare the two – and then take action. That’s where your Budget vs. Actual report comes in. It’s one of the most underrated tools in your financial toolkit, and today we’re breaking down how… Read More

You’ve got a handle on your balance sheet and your income statement, but there’s another financial statement that often gets overlooked – and it’s arguably the most important: The cash flow statement. Why? Because it shows how money actually moves through your business. It answers a question every business owner has asked at one point:… Read More

Last week we talked about how your balance sheet can be a powerful planning tool – but now it’s time to turn our attention to its financial sibling: the income statement. Also known as a profit and loss statement (P&L), the income statement often gets the most attention because it answers one of the most… Read More

If you’re like many business owners, the balance sheet is something you review at year-end, maybe glance at quarterly, and sometimes hand off to a lender or accountant when needed. But what if we told you that your balance sheet isn’t just a snapshot of your finances – it’s a dynamic tool for planning smarter,… Read More

It’s not news that more than half of all small businesses fail in the first five years. Most attribute that to a lack of demand, but the reality is that most fail due to financial mismanagement.     The good news? By understanding common financial mistakes, you can avoid costly errors and set your business up for… Read More

Just mentioning accounting can cause eyes to glaze. For most, it conjures a vision of endless spreadsheets and a sea of numbers. That’s unfortunate because one of the most renowned names in business, John D. Rockefeller, started his career in accounting, and investor Warren Buffett famously called accounting “the language of business.” Yet, many business… Read More

There’s no doubt that lifelong learning is part of honing business financial literacy, but does that fact entail pursuing a master’s in Business Administration? Currently, 183 MBA programs exist in the United States, and some reports suggest that graduates earn an average of $41,000 more per year than their peers. Before you dive in, there… Read More

A business owner who lacks financial literacy is like an expatriate who doesn’t know the local language. Sure, you can get by with the help of others, but you’ll never really thrive.  If that describes your situation, don’t worry.  You’re not alone. Plenty of legendary entrepreneurs like Steve Jobs and Richard Branson started that way. … Read More

April Fool’s Day seems like an appropriate time for an in-depth review of Profit First by Mike Michalowicz.  After all, it promises a radical departure from traditional accounting and will change the trajectory of small businesses in America. So, is it real or just another business book trying to trick readers into buying?  Today, we’ll… Read More

This month’s focus on business tax strategy has included posts about its importance, how to create one, and how to align it with business goals.  It all sounds great in theory, but how do you know they work?  That’s what this week’s post is all about. We’ll review two real case studies demonstrating the power… Read More