5 Simple Steps To Keep Your Business On Track.

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There are a lot of business startups launched offline and online, creative ideas that are capable of impacting the society positively. It's one thing to startup a business and it's another thing to keep it on track, however, to have a successful business, there some few steps that should be followed.

Owning a business startup has become crowded today, but achieving your purpose and satisfying your customers, is some important thing to be considered. Keeping consideration of your accounting tasks and other monetary aspects as some of the basic ingredient of owning a profitable business.

This few business tips will not only keep you guided but will keep you in charge and control of your finances, either in your small or medium business startups.

• Open A Bank Account For Your Business.

When you have successfully opened a business with legal registration, there will be a need for a separate bank account from your personal account where all incomes from your business will be saved. It is recommended you have all your registration documents, corporations, and partnerships ready to aid account opening.

This makes money handling and tax payments easier and conducive. A savings account that will save up additional tax (self-tax) and also help organize funds. if business credit cards are available in your area, you will need to start building business credit, but make sure they do not connect to your personal credit.
Different banks impose different fees on business accounts, make sure you do your research to know the right traditional institution to bank with.

• Keep Track Of Your Expenses.

This step might not seem very effective but at the start of every business, there should be an established system of compiling receipts of expenses and every other record. This does not take time, and records can be done either manually or with electronic devices. With a track of your expenses, you will be able to build good financial statements, grow your business and prepare your tax returns.

Receipts of meals and entertainments, local and international business travels, vehicle and transportation-related expenses, receipts for gifts, and receipts for office payments are some of the receipts & expenses that need extra attention when tracking your business expenses.

• Set Up Your Payroll System.

Whether it's an online or offline business startup, you might be the only one working for yourself. If it's a joint firm, you can have 2 - 3 people and an extra one employed worker to help out with some errands. Anybody working for you has to be on a list, either as an employee or a contractor.
For any employee, there should be a complete payroll schedule which ensures that correct taxes are withheld. For the contractors, there should be a vivid placement of how much is to be paid. Other important information like names, address, experience, and expertise should be recorded on a file or document.

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• Determine Your Payment options.

As the business starts growing, and you are getting clients or sale of products & service starts increasing, you will want to create an easy way of accepting payments. Credit cards, POS, and other direct payment options are reliable because they save you the time of creating a business account where deposits or transfers will be made at the bank.

There are other internet payment options like Paypal, Webmoney, cryptocurrency etc. that allows the movement of digital money from one wallet to another, these payment options will also help if you are conversant with the internet. You will have to use the most convenient one that is available in your location or those with low fees in order to maximize profit.

• Evaluate Your Gross Margin

For a business owner to earn more income, the first step to take is to improve the gross margin of their business, you have to know the cost involved to produce your products and services, to get the correct calculation of gross margin. The cost of goods sold (COGS - the Direct cost of production including materials and labour) and Gross Margin (the total sales revenue generated after the cost of production) should be completely understood.

Gross margin calculation:
(Revenue - COGS) / Revenue = Gross margin (%)

When you finish up with a good amount after comparing the differences of cost of selling a product and how much you take home, actually determines the ability of your business continuity.

Starting a business can be very stressful and difficult but these simple steps will guide you to a successful growth.

Thank you.