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NEW Tax Laws to Discuss with Your Small Business Accountants

Do you stay on top of all the existing and proposed laws that impact your business?  Have your Small Business Accountants proactively reached out to you about the changes introduced in 2012 will begin to take effect in 2014? Several new laws and extension of old ones are now in force and will be reflected in your the filing of your 2014 taxes.

Finally realizing that small businesses are the key to a possible economic recovery on main street, the Ways and Means Committee of the U.S. Congress has drafted a bill aimed at bolstering small businesses.

The bill is designed to “strengthen the economy by helping small businesses expand operations, hire new workers and increase wages and benefits.”  

Here are the key provisions of the draft bill:

  • Allow businesses to immediately deduct expenses on building and equipment up to $250,000.
  • Simplify and expand the use of cash based accounting. The current regulations are recognized as being overly complex.
  • Provide a unified deduction for start up and organizational expenses
  • Ease compliance by changing due dates for tax returns

There are also a wide array of separate provisions for Sub Chapter S and K Corporations and Partnerships including regulations that relate to how long a C Corporation must wait until it can convert to a Sub Chapter S, an increase in the amount of income that can be passive for a Sub Chapter S, repealing the rules that guarantee payouts to Partners, and many more.

Of course not all of these provisions may be in the final bill, but it is definitely worth reading this draft in more detail and discussing it with your Small Business Accountants.

Please contact us at A&B Accounting and Business Solutions if we may be of service helping you understand how these and other laws impact your business.

 

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This, not that: Why Quickbooks Services Are Right For You

QuickBooks has earned an extraordinary reputation among small and medium sized businesses for assisting them in keeping track of their business finances efficiently. Although QuickBooks has a reputation that often can’t be challenged, it is not necessarily the easiest application to use. You may be considering training to learn how to manage QuickBooks. Trust us, you may be eyeing alternatives to quickbooks services, but they’re not for you. We can show you examples of why quickbooks services is right for you.

How can QuickBooks help your business?

QuickBooks has the ability to improve your daily operations by keeping your finances in order. It is the ultimate tool to:

  • Organize your finances all in one place
  • Easily create invoices and track sales & expenses
  • Get reliable records for tax time
  • Manage customer, vendor, and employee data
  • Get a consolidated view of your business with Company Snapshot

These features will keep your business running smoothly and your finances in good condition.

Why should I use a QuickBooks service?

Using a QuickBooks service will ultimately save you time, many mistakes, and frustration. Although the software is user friendly, it can seem complicated and a little intimidating to beginners. A reputable and professional service can quickly get you started. Why not let an expert guide you through your QuickBooks experience and help you get back to your expertise, which is running your business.

 

What type of help will I receive with from a QuickBooks Service?

A QuickBooks service can provide assistance with initial set-up, ongoing maintenance, and training. The initial set-up will include installation and customization according to your business. With the ongoing maintenance service all checks, deposits, invoices, bills, and credit memos will be entered for you.  Training will give you a basic understanding of the software and features so that you will have the knowledge to maintain your records yourself. There is a great amount of flexibility with a QuickBooks service and you have the opportunity to choose which aspects would be the best options for your business. To discuss your service needs, or anything else, please contact us. Thanks.

 

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How medium size business accounting is different as you grow

As your small business evolves, your accounting needs can become complex and it is important that you are working with an accounting firm that has the experience and the knowledge to support your growth

Choosing a firm that specializes in medium size business accounting can be a very important decision.  As your business has grown, you have come to depend on timely financial statements and ideally, your accounting firm is providing consulting on how to manage for growth.

As you grow it will be important to document all systems and processes, manage out complexity, streamline internal operations, insure there is continuity from one department to another, train your management team and staff members and more.

You will want your accounting firm to be closely involved in all of these aspects of growth because they have worked with other companies and can leverage those experiences for you.

Here are a few of the typical attributes of a Small to Medium Sized Business as identified by American Institute of CPA’s (AICPA) :

  • The entity may be closely held and owner-managed.
  • Owners and management have no intention of going public.
  • Management and owners rely on financial statements to confirm their assessments of performance, cash flows, what they own and what they owe.
  • Key users of the financial statements have direct access to management.

It has often been said that starting a business is easy, it is growing a business that is hard!

If your business is growing, please contact us to understand how we can help.

 

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What to look for when you need accounting consulting

While it is true that accounting is not one of the most exciting aspects or running a business, it can be one of the most important!

The firm you choose to provide your accounting consulting can often mean success or failure in your business. Yes, it is that important!  As a small business owner and consultant, I have seen far too many businesses go into business without having a good understanding of how they will track their success.

Accounting is the language of business and if you don’t know how to read a financial statement yet, I suggest that you learn how and fast.  Take the time now to locate an accounting firm that will take the time to explain how to understand your profit and loss statement.

You will want to choose a firm that works with other small business owners in your industry.  They will know what kinds of issues are important to your industry.

For example, if you are starting a restaurant business, they will understand issues like tip reporting, menu pricing analysis and sales tax audits.

If you are a construction company, they can help you with accounting for percentage completion contracts, labor laws and more. There are many very specific tax rules that apply to the construction industry and you will want to know that your accountant understands them and how they impact your business.

If you are the owner of a retail business, you will want to know that your accountant has worked with other retailers and knows about cash register tracking, inventory valuation and the importance of internal controls for your business.

To learn how accounting consulting can help your business, contact us today.

 

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Small business accounting services – How to choose

Among the most important considerations when starting a small business is deciding on who will provide your small business accounting services.

After you have determined what product or services your business will provide, chosen a name, decided on your business structure and how you will attract customers, you will need to decide how to track the success of your new venture. Accounting is how you track your business.

If you are like many new business owners, you may do not have a strong background in accounting or bookkeeping but it is one of the most important things you will need to become comfortable with, and you need to do it quickly.

When you decide to contract with someone to provide your small business accounting services, I suggest these are the most important issues to consider.  Choose a firm that

  1. Is familiar with your industry.  Although it is true that all businesses have many similarities, it is also true that each industry has its unique needs so you will want to choose someone who has experience in your industry
  2. Has the ability to provide both bookkeeping services and full service accounting. This makes record keeping seamless
  3. Does both general and tax accounting.  This will save you time and money at tax time.

4.    Provides free initial consultation.  You don’t want to be charged for deciding who you want to work with.

5.    Can provide both on site and off site service.  As you grow, you may want them to provide a bookkeeper for you or at least recommend someone.

6.    Is responsive.  If they get don’t get back to you on a timely basis before you choose, the odds are good they will do the same once you become a client.

7.    Is located within 50 miles of your office and certainly in your same state. Tax and other laws vary greatly from state to state and you don’t want them learning the difference in state laws on your time.

When you ready to choose your accountant, please contact us. We are A&B Accounting and Business Solutions, LLC located in Deerfield Beach, FL .  Our number is 954-596-9966 or email Alicia Brown at aliciabrown@myabaccounting.com

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Do Bookkeeping and Accounting Services Differ?

There comes a time in the life of every small business when bookkeeping and accounting become a time consuming task that keeps the owner of the business from doing whatever it is that they do best. The question is do you out source these jobs to an accountant or a bookkeeper, and is there a difference.

The terms accountant and bookkeeper are interchangeable in the minds of many people but their jobs entail vastly different duties.

A bookkeeper is literally that, the person that is responsible for the daily recording of financial transactions. They may be responsible for anything from recording payroll to entering accounts receivables. Along with the daily reporting of financial transactions, bookkeepers usually retain the documentation involved in the transactions. A good bookkeeper is far more than just a data entry person; their day to day knowledge of your business can provide the necessary heads up when matters pop up that require a higher level of expertise.

An accountant, using the data provided by the bookkeeper, provides business advice and analysis. Accountants are also the professional you want on your team when dealing with the various federal, state and local tax collectors knocking at your door. Often the bookkeeper and accountant work together, this is particularly true in businesses with payroll, fixed assets or a large amount of inventory.

It is best practice to use both a bookkeeper and accountant. While a bookkeeper handles the day to day reporting, having a third set of eyes provided by the accountant inspect the books periodically not only eliminates mistakes but deters fraud and theft.

When selecting either an accountant or bookkeeper it is important to choose one that can communicate to you in plain English. Accounting professionals often get caught in techno garble they need to be able to explain concepts so they can be easily understood.  Another thing to keep in mind when selecting an accountant is to see if that accountant is available for you, does he or she take your calls, does he or she call you back in a reasonable amount of time.  Many accountants nowadays are too busy to get back to you and so availability is very important when choosing an accountant.

The importance of establishing an accounting system goes far beyond not being the guy trying to find an accountant to sort out his boxes of records while the IRS waits to lower its sword. A good bookkeeping system in the hands of qualified accounting professionals is a key to measuring a business’s health and planning a route to a prosperous future.

A&B Accounting and Business Solutions, LLC is always available to discuss how our services can help you as a business owner concentrate on what you do best. Our business professionals are eager to provide you the services and knowledge you need to continue growing your business.  We want you to know that you can always call us about any questions you might have.  Call us at 954-596-9966 to discuss your accounting needs for your small business or your medium size business.

 

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Do I Need an Accountant or Will Bookkeeping Services Suffice?

If you’re like most small business owners, your expertise in some field other than accounting is what drives your business. You’re a web designer, a marketing professional, or some type of retail online or bricks and mortar shop owner. Besides, bookkeeping isn’t that hard, it it? You can keep track of sales, purchases, receipts, payments owed or made all on your own. Can’t you? You probably can but is that the best use of your time? And what’s the difference between bookkeeping services and accounting services anyway? Do I need either, neither or both?

To answer that question for your business, you need to understand the difference between a bookkeeper and an accountant. A bookkeeper records all daily transactions of a business. This will include purchases and sales, as well as keeping track of all receipts, and processing payments and checks on a timely and reliable basis.

An accountant interprets the records the bookkeeper has prepared and makes sense of the information so that the business owner has accurate financial information to make business decisions based on facts rather than guesses. An accountant knows all the accounting rules to be sure your finances are properly managed and prepares tax returns that minimize your tax liability legally. An accountant is a professional, meaning they have passed tests and experience requirements, as well have specific education that certifies them as such.

Because their functions are so different, most companies need both a bookkeeper and an accountant. Your bookkeeper may only need to work part time to keep track of your income and expenditures, and an accountant may be needed once a week, monthly, quarterly or yearly, depending in the type of business you have.

Or you may need an accountant to update your financial information on an occasional basis to provide accurate information to make an informed business decision. If you’re considering purchasing new equipment, hiring a new employee, or borrowing money, you need to know the state of your business at the current time, and what is expected in the future. Without timely information, you could make a mistake that could destroy or severely damage your business.

The smart strategy is to contact us at A&B Accounting and Business Solutions,LLC to discover how our accounting professionals can work for you to provide accurate and up-to-date financial information.  Allowing you to concentrate on managing your business, while we manage your accounting, is the best way to ensure your business thrives and you reach your goals.

 

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Quickbooks Software Invoice Training

Quickbooks Software Invoice Training

Quickbooks is a great accounting software with many modules that help business owners create invoices, bills, make payments, manage payroll, etc.

Quickbooks invoice manager is one of the tools that are widely used by small business owners to bill their customers for products or services rendered.  However, many don’t know how to properly use this tool and end up damaging the quickbooks file.

In this hour session, I will guide you to properly use this great tool.  You will be able to:

Creating new customers in quickbooks

Creating jobs in quickbooks

Use Transactions Tab in Quickbooks

Create invoices in quickbooks

Create credit memos in quickbooks

Use the quickbooks invoices template

Record customer payments in quickbooks

 

If you are interested, please email me at seminar@myabaccounting.com to register and submit your payment of $40.00.  Please call me at 800-783-6980 – Alicia Brown at A&B Accounting and Business Solutions, LLC if you have any questions.

Thank you.

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