Always Have a financial record in whatever business you own

[Alpha Marine]

I had this barber friend in a neighboring hood I lived a few years ago who is a very good barber and has his own barbershop. He does home service from time to time too. He’s really good so he has a lot of customers but at the end of the month he always struggles to pay the rent of his shop. I spent most of my free time with him at his shop so I know the number of customers that walk in for a haircut daily and I know what his rates are, so by calculations, he should be making enough money even after rent and other expenses required to run the shop. So one day when he complains about rent I asked him how much he makes in a week and he couldn't tell me an estimated number.
Long story short, I educated him on how to keep financial records and record every single penny that comes in and goes out of his business. I also made him understand how this can help him cut losses and make more profit.

The point of this whole story is that I have encountered a lot of people who have small businesses and don't even bother about keeping records in their businesses and this single reason could be a hindrance to growing your business.
No matter the kind of business you do, you should be able to know if you are making a profit or running at a loss. After analyzing a distant relative business I found out that she was taking money from another business to sustain another business. In the long run, both businesses will go under. Not only does a good financial record help minimize losses but it also helps lessen the burden of your taxes.

You don't have to be a big corporation before you keep a record of your daily financial transactions. And no, it doesn't have to be a perfect or standard financial record or statement. It could be done in any way you and the next person will understand. It should just include all the money coming into your business and all the money going out of the business in whatever form. At the end of the day, you should be able to know how much you made in total, how much you have at hand at the moment, how much went to your bank account, how much is in the hands of debtors, how much you owe for bills and to your customers or any other person or entity.

An accurate financial record helps you;
Know the progress of your business: It's through the financial record that you know if your little business is safe or about to go under. If your business is safe your records will also let you know how safe you are. When your records have enlightened you on the future of your business then you can now make a decision based on what the financial records show.
Identify income sources and reduce unnecessary expenses: When you look at your financial records at the end of the month and you see the business not heading in the desired direction, then you do something about it, You can either start cutting down expenses that are not necessary or identify the part of your business that generate the most income and put more focus on it.
Allows you to attain complete regulatory compliance: I stated earlier that an accurate financial record helps with your taxes. Of course, you have to pay taxes, but you can't do that accurately if you don't keep an accurate financial record and that might put you and your business in trouble with the regulatory bodies in the future. Not only does our financial record help figure out your taxes but it also supports the items written on your tax returns.

There are many more benefits of keeping financial records and I know it's not the most exciting part of your business but it is essential to your business. It doesn't matter how small your business is, be it, laundry, hair salon, boutique, online store, etc, always keep financial records.

I have always wanted to organize something like a free seminar and educate the owners of small businesses in my community about this but I'm a very introverted and shy person so I don't know how to go about it, please I will appreciate ideas. 

[1715095818]

1715095818

[1715095818]

1715095818

[1715095818]

1715095818

[1715095818]

1715095818

[1715095818]

1715095818

[Die_empty]

Let me add that every business that wants to grow or expand must keep comprehensive and accurate records. One of the most important criteria to access loans or credit facilities is your financial or business accounts. So I want to commend you OP for helping your barber friend to start keeping records.

You have to know that your plan to organize a seminar on record keeping is to help your community. If you don't assist them many of them will fail in business. Your intention is not to make gain but to help your community so you should be bold to stand before your community members. These are my piece of advice:
1. Ensure you do proper planning like the venue and public address systems.
2. Prepare your seminar note and ensure you master the lessons. Let your lecture be simple to understand and straight to the point.
3. Get an assistant that is an extrovert who will help to cover up for your weakness
4. Practice public speaking before the seminar.
All the best mate.

[panganib999]

This is one of the most basic and most fatal mistakes you could commit to your budding business as a learning entrepreneur, not keeping tabs and checks of your financial records. As what OP have said, that's how you know if over time, your business is bleeding money or it's turning a profit, as well as what product/service the problem/blessing is coming from. Not only will a financial record help you keep track of how your business is growing, it also helps you formulate plans that are in line with what you need at the moment, instead of rushing in and changing things from your business blindly and belligerently. You can never go wrong with keeping records of expenses and profits really. That's going to be your best friend if you're an entrepreneur that recently just started, heck even seasoned entrepreneurs know how important this is.

[Oceat]

Nice list and advices for the future business owners, this will help them. I've seen a lot of business owners who doesn't keep their financial records as if they are gaining enough profit and use the money for unnecessary things but at the end of the month they're struggling hence, they take a loan to cover up their capital again.

3. Get an assistant that is an extrovert who will help to cover up for your weakness

I like that idea or perhaps if all of OP's people know how to use social media then create a post/thread in a group. It may be difficult to establish a free seminar or meeting since you aren't known to people yet I assumed but if they really know who you are then you can follow what's the above reply suggested.

Best of luck, OP

[Mahanton]

I have always wanted to organize something like a free seminar and educate the owners of small businesses in my community about this but I'm a very introverted and shy person so I don't know how to go about it, please I will appreciate ideas. 

If you are really that tending to have that free seminar then you could actually launched one but since you do said that you are a shy type then why not going with those owners and making up some meeting 1 by 1??
For sure it wont really be that much and also if you do have the time then this wont really be an issue.Its really that something commendable on what you have done on trying out to share on how business should really be
handled out and i do really that agree on what you had stated about business plans and handling specially on trying to monitor your expenses which this is the one could really make things mess up
most of the time.If you dont just put up focus on this one then there's no way you could really be able to see some progress.

[Dr.Bitcoin_Strange]

Long story short, I educated him on how to keep financial records and record every single penny that comes in and goes out of his business. I also made him understand how this can help him cut losses and make more profit.
 I have always wanted to organize something like a free seminar and educate the owners of small businesses in my community about this but I'm a very introverted and shy person so I don't know how to go about it, please I will appreciate ideas. 

Your friend probably doesn't know how to go about keeping records, or just laziness is his issue (it's good you talked to him about it; maybe you have just saved someone's ass). I had a female friend who was doing small-scale business; after she closes out her business, I will always ask her if she is done with her daily market analysis, and her response always is that "she's so tired and can't do any calculations at the moment". She was so lazy about it and cared less about it, but one day she came to me so angry, complaining that her capital was not even up to 60% of her initial capital. First, I was angry too because I had to blame her for not listening to my advice in the first place. Most times, some of these business folks may know the right thing to do to keep their business intact, but they just become less concerned because they feel so convinced that nothing is going to go wrong.

The main reason for keeping records in business is to know where your losses are coming from. If you don't keep records as a business person, you may incur losses that you can't explain.
Since you said you are an introvert, conducting the seminar may be challenging for you, and you will have to spend some cash to get a venue for the seminar. You will also need a projector and a microphone, and you will definitely spend very little or a lot of money to get the seminar done. If it is in my country, to hire a minimum event centre will cost you about $300 to $400, but a projector, microphone, and speakers will be made available.

My advice here is that you could just go to a cybercafé and prepare educational material on a paper of about four pages, depending on the level of education you want to pass on to them. Then, you can duplicate it for the number of people you intend to organize the seminar for, and then you can visit them and share the script with them, just telling them it's a guide to keeping good financial records of their business. Just my opinion.

[Alpha Marine]

Let me add that every business that wants to grow or expand must keep comprehensive and accurate records. One of the most important criteria to access loans or credit facilities is your financial or business accounts. So I want to commend you OP for helping your barber friend to start keeping records.

You have to know that your plan to organize a seminar on record keeping is to help your community. If you don't assist them many of them will fail in business. Your intention is not to make gain but to help your community so you should be bold to stand before your community members. These are my piece of advice:
1. Ensure you do proper planning like the venue and public address systems.
2. Prepare your seminar note and ensure you master the lessons. Let your lecture be simple to understand and straight to the point.
3. Get an assistant that is an extrovert who will help to cover up for your weakness
4. Practice public speaking before the seminar.
All the best mate.

Thanks a lot mate.
Your 4th point! I have paid for an online course in public speaking but I'm a little too occupied to keep up and to be honest, I'm a little lazy with the course. I'll put in more effort though. Thanks again for your points, i'll use them to get better.

[o48o]

-cut-
There are many more benefits of keeping financial records and I know it's not the most exciting part of your business but it is essential to your business. It doesn't matter how small your business is, be it, laundry, hair salon, boutique, online store, etc, always keep financial records.
-cut-

You are speaking sense, people seem to think it's hard work but with spreadsheets it really isn't. And there are only upsides of keeping records of everything. It keeps your mind clear too as you don't have to think about any of those numbers after you have marked it down. Just remember to organize/label everything so that it's easy to approach afterwards when you have totally forgotten what your markings are. That's why clear notes with every transaction is a good thing. You never know when you need to dig your history up and who reads it.

If someone doesn't know how to use spreadsheets efficiently, it's worth learning.

[livingfree]

I agree about keeping records regardless of how big or small your business is. Let's just look at that perspective that huge corporations have their financial statements being record which includes the accounts payable and receivables and even their debt.

As a small business guy, it's important to track and record your expenses and profits for you to determine on how much you should be able to deduct and be after all of it to take your profit.

Plus, it's important to have always a back up when you're starting out your business. It could be a fund or another business to support it until you think that it's not longer sustainable even if some support from your other source.

[lousie9]

you have done the right and good thing OP, about to teach him the habit of keeping records of all his business transactions.
it's true that not many people are aware that actually having detailed financial records will really help us, whatever our business is regardless of whether we have a small or medium-scale business, of course having financial records will be very useful so that we can evaluate finances and manage income and expenses more wisely for our business.
but sometimes some people don't want them to bother to record all transactions in their business in detail even though it includes a small business.
Making it a habit to record expenses and income indirectly is one way that we can build a more disciplined lifestyle in my opinion.

[tabas]

An accurate financial record helps you;

One of it, is if your business has some employees maybe one or two and there's some odd records that you're seeing and they're cheating you and your business then you'll be able to figure it out.

Making it a habit to record expenses and income indirectly is one way that we can build a more disciplined lifestyle in my opinion.

Yes, it's a habit that's going to be adopted by you and make use of it as an attitude towards everything where things are accountable and you'll just making sure that everything is black and white and you've got records of it. And that's the literal thing for the words that we here of, for the record. 

[fuer44]

For small entrepreneurs, they don't keep financial records because the turnover they get every day is small, or at least they can still calculate it manually. For example vegetable sellers, snacks, roadside barbers, they don't need to do that because they think the turnover they get is still easy to calculate. Regardless of expenses or costs that come out (not for their business purposes) which in the end they are sometimes "minus" because they are not thorough.

I agree if you want to educate them, but note that the average business actor is 25-30 years old, because if it's above that, they are usually comfortable with the business they are doing in their own way.

[hannahB4]

Keeping a financial record is good because it will help you determine if the business is successful or not. You doing your income and expenditure daily will give you an insight into how the monthly one will look like and also teach you some practical things you need to do. For instance, cutting down your expenses and saving more.

[Sebas.tian]

Taking accurate financial records in your business will really help you to do so many things that will help you to improve higher in some financial areas you are not doing well, and to maintain some areas you are doing well financially in that particular business. I believe, there are a lot of things many people need to learn from this topic to be able to improve their businesses which is very important to humanity, so that many things will go smoothly in the financial aspect. I think, the seminar will really help business owners to make some positive changes in their businesses, and they will never forget your impact in their businesses.

[Silberman]

This is one of the most basic and most fatal mistakes you could commit to your budding business as a learning entrepreneur, not keeping tabs and checks of your financial records. As what OP have said, that's how you know if over time, your business is bleeding money or it's turning a profit, as well as what product/service the problem/blessing is coming from. Not only will a financial record help you keep track of how your business is growing, it also helps you formulate plans that are in line with what you need at the moment, instead of rushing in and changing things from your business blindly and belligerently. You can never go wrong with keeping records of expenses and profits really. That's going to be your best friend if you're an entrepreneur that recently just started, heck even seasoned entrepreneurs know how important this is.

This is true for people too, even if they do not have a business they have an income and expenses as well, and while I suppose most people could tell you how much they earn on a month, for what I can tell those same people cannot tell you how much they spend on a month, so how is it possible for them to reach any kind of goal when it comes to their money when they do not have such basic information? After all without that information there is no way for them to make adjustments to their budget and reduce their expenses if necessary.

[YUriy1991]

What you mentioned above is suitable and hits. Another important point to consider is separating your personal finances from your business finances. While traveling it may be tempting for someone to use your business account for personal expenses or vice versa, but this will only make it more difficult to keep track of your money and can lead to legal or financial problems later on. Separate bank accounts and credit cards for your personal and business expenses.

[Findingnemo]

This doesn't applies only for business, every individual need to maintain their income and expense record and actually this is the first step we need to follow when we wanted to save money, invest and get better life style than how we used to be now.

I personally know many of my friends don't have such habits even though they are making lot of money with decent job still they are living pay check to pay check and need to use the credit cards when the expenses get out of their limits and I know this all happens because they don't really know whether they are spending the hard earned money in the right way or just to show off among others.

@OP this is very wide topic, not even an article is enough cause we need to write a book about this to explain more in detail.

[Fakhrulenclix]

I think financial records are really needed for entrepreneurs, even non-entrepreneurs are really needed. Because we can easily analyze if there are obstacles or problems in the business world that we live in, so we can easily track down the mistakes we make or control unnecessary expenses.
That way we are more efficient in unnecessary expenses in the future.

[franky1]

i too see this many times in businesses and years ago i helped out (pre bitcoin life)

one example was that there was a local "burger van" (food truck) which was always busy and popular, never a dull moment. but it always had issues struggling to pay its employees wages.

the solution was not direct record keeping*. it was calculating a fair price to charge.
it was producing food too cheap that it did not cover costs. thus every customer was getting food for less then the cost to create it. and thats why it got soo popular but that popularity was harming the business

doing simple things like cost evaluations EG accounting for the cost of supply of goods(frozen) + labour plus energy usage of the cooking methods. and then coming to a fair retail price of the end food product.

*this too requires keeping records of stock/labour/ sales to then evaluate the cost:profit ratio..
so record keeping is important

..
as for doing a seminar. which can be a web seminar of a pre-recorded video followed by a Question and Answer section. can be hosted online.

so dont worry about being an introvert, you can easily make a video that does not even require showing your face or having to speak loudly live. you can have 90% of the seminar. pre-recorded/edited on your own, where you can use images of businesses and charts and records as the on-screen view instead of your face.

and when it comes to the Q&A section that can be in text response or using a text to speech tool to turn your keyboard words into vocal.

web seminars can be set up as free to view or using a subscription setup for access.

once you gain confidence to be seen and heard. you can choose to then do an in-person conference where you stand on stage with a audience attending

dont worry so much about your confidence. worry about the contents of your webinar, seminar, conference

attendee's/viewers dont care or demand speakers presence. as long as they get meaningful/helpful content

[Alpha Marine]

@OP this is very wide topic, not even an article is enough cause we need to write a book about this to explain more in detail.

I know right? While writing the post I tried my best to make it as short as possible so people won't get tired of reading. There are a lot of things to be said. I even wanted to add an image or two to show people how they could easily record their financial records on a spreadsheet or a notebook. It really is very broad.

one example was that there was a local "burger van" (food truck) which was always busy and popular, never a dull moment. but it always had issues struggling to pay its employees wages.

the solution was not direct record keeping*. it was calculating a fair price to charge.
it was producing food too cheap that it did not cover costs. thus every customer was getting food for less then the cost to create it. and thats why it got soo popular but that popularity was harming the business

This reminds me of when I was managing a bar immediately after college. There was this particular brand of beer that was way more expensive than the rest but my boss sells it at the same price as the other beers. When I looked at the books it turns out we were actually making less than it cost to buy that particular beer. Without proper recording we wouldn't have discovered this.

so dont worry about being an introvert, you can easily make a video that does not even require showing your face or having to speak loudly live. you can have 90% of the seminar. pre-recorded/edited on your own, where you can use images of businesses and charts and records as the on-screen view instead of your face.

I think this actually a better option to start with. Thanks so much for this.
I know that if I keep working on myself i'll be better at public speaking and for now doing what you just suggested is a great way to start.

[xSkylarx]

I haven't noticed a merchant or business that has no records, or I've just expected that they have them because I don't have really good friends that have businesses, but I've noticed that in some places, like small stores, they always have a POS system for recording the purchases or doing inventory checks and calculating the total earned on that day. Though some probably would just record it in their mind, for sure they are writing it somewhere in their home (but I am not sure). Before we have an online store (for infant wear), it is really impossible to not list down those expenses or profit because you won't see if the business is working well. What I don't understand is why people who got into business don't care about checking their financial status. That is why I am shocked, because by the end of the day, we should be excited about how much we earn.

[Yaunfitda]

I think it boils down to data, and we all know that data is king so even if you are not into business you have to write down anything. Myself do this specially for budgeting and specially what I need to settle every month specially credit card bills, so what's more with your business? You need that data to see where you are missing something or what areas you need more budget as I have a store before so at the end of the day I have to write down everything. So I agree with the OP here, write as much as you can so that you can measure your success or failure.

[Husires]

The problem is that creating these records requires you to work against your nature that you want to spend money and hope that you will have great profits in the future.

Even in your own home, you rarely find a person who records all expenditures and payments and then calculates at the end of the month whether he has achieved profits or losses, and the creation of such lists means that you must be financially disciplined in all aspects of your life, otherwise it will increase the psychological damage to you.

[Doan9269]

The more reasons why many industries and organizations have developed an inventory system in keeping records to their organization activities both in the past and present in other to track any particular occurrence that is of purpose and for future identification on particular event or aspect marked, having a financial records help to have a cohesive budget plan for the business and the financial track  records helps in giving direction to estimate the requirements needed for any future plan ahead a business or an organization to work with.

[robattfield]

This is an obvious problem, in the process of working and collaborating with many people I realize that most of the medium and large enterprises do these things well, but looking at the small scale or the household Families show that people pay little attention to this, which is why they lose control of their finances.
Keeping financial records is always necessary for many things, but I also know many businesses take advantage of this to falsify data and make false statements to raise capital for personal gain.

[ethereumhunter]

If you own a business, you must have financial reports to find out how your business journey is progressing so you can decide to develop your business so that it is even more advanced. But most people don't make those financial statements because they find starting difficult. And most business owners don't learn how to make financial reports even though it's just a report that only they know about the development of their business.

By having financial reports, you can track the use of money in a month and can check whether the use of money is by the plans you made. In the financial report, you can also see how profitable your business is and what needs improvement.

[vv181]

I have always wanted to organize something like a free seminar and educate the owners of small businesses in my community about this but I'm a very introverted and shy person so I don't know how to go about it, please I will appreciate ideas. 

Being introverted and shy is just an excuse. It came back to you to self-reflect on whether you actually want to help/educate your communities or not. You explain clearly and thoroughly the problem that you found within your community. It's up to you to capitalize it. Note that you have something to say that could give benefit others yet it also challenges you to be better personally. It looks like a win-win solution for me.

[darewaller]

The problem is that creating these records requires you to work against your nature that you want to spend money and hope that you will have great profits in the future.

Even in your own home, you rarely find a person who records all expenditures and payments and then calculates at the end of the month whether he has achieved profits or losses, and the creation of such lists means that you must be financially disciplined in all aspects of your life, otherwise it will increase the psychological damage to you.

I don't see that as a problem but it's a good thing rather because this will help you improve. Spending money in a business is normal and this money can still be regained later on, when our business becomes profitable. Recording expenses isn't only found on a business owner but it's also important to do in our house hold so that we can be able to control our spendings and still have some money for savings.

Having such lists doesn't mean that the person is now well disciplined in other aspects of his life. No person is perfect but each of us has their own imperfections. That's okay though at least you have some great qualities with you as a person.

[Fortify]

I had this barber friend in a neighboring hood I lived a few years ago who is a very good barber and has his own barbershop. He does home service from time to time too. He’s really good so he has a lot of customers but at the end of the month he always struggles to pay the rent of his shop. I spent most of my free time with him at his shop so I know the number of customers that walk in for a haircut daily and I know what his rates are, so by calculations, he should be making enough money even after rent and other expenses required to run the shop. So one day when he complains about rent I asked him how much he makes in a week and he couldn't tell me an estimated number.
Long story short, I educated him on how to keep financial records and record every single penny that comes in and goes out of his business. I also made him understand how this can help him cut losses and make more profit.

The point of this whole story is that I have encountered a lot of people who have small businesses and don't even bother about keeping records in their businesses and this single reason could be a hindrance to growing your business.
No matter the kind of business you do, you should be able to know if you are making a profit or running at a loss. After analyzing a distant relative business I found out that she was taking money from another business to sustain another business. In the long run, both businesses will go under. Not only does a good financial record help minimize losses but it also helps lessen the burden of your taxes.

You don't have to be a big corporation before you keep a record of your daily financial transactions. And no, it doesn't have to be a perfect or standard financial record or statement. It could be done in any way you and the next person will understand. It should just include all the money coming into your business and all the money going out of the business in whatever form. At the end of the day, you should be able to know how much you made in total, how much you have at hand at the moment, how much went to your bank account, how much is in the hands of debtors, how much you owe for bills and to your customers or any other person or entity.

An accurate financial record helps you;
Know the progress of your business: It's through the financial record that you know if your little business is safe or about to go under. If your business is safe your records will also let you know how safe you are. When your records have enlightened you on the future of your business then you can now make a decision based on what the financial records show.
Identify income sources and reduce unnecessary expenses: When you look at your financial records at the end of the month and you see the business not heading in the desired direction, then you do something about it, You can either start cutting down expenses that are not necessary or identify the part of your business that generate the most income and put more focus on it.
Allows you to attain complete regulatory compliance: I stated earlier that an accurate financial record helps with your taxes. Of course, you have to pay taxes, but you can't do that accurately if you don't keep an accurate financial record and that might put you and your business in trouble with the regulatory bodies in the future. Not only does our financial record help figure out your taxes but it also supports the items written on your tax returns.

There are many more benefits of keeping financial records and I know it's not the most exciting part of your business but it is essential to your business. It doesn't matter how small your business is, be it, laundry, hair salon, boutique, online store, etc, always keep financial records.

I have always wanted to organize something like a free seminar and educate the owners of small businesses in my community about this but I'm a very introverted and shy person so I don't know how to go about it, please I will appreciate ideas. 

Some of this sounds fairly obvious, the main one being keeping track of your finances - you must be on top of your incomings and outgoings if you want to identify whether your business is successful. It's key to also look at all the secondary expenses that you may overlook, like driving to and from the work premises can add up to a lot of money over time, so you better be paying yourself a salary that can cover that too. Not to mention, most people will have to submit financial records in the form of tax returns, both personal and for a business they run, so it's better to keep a running tally instead of letting it pile up into a huge job performed once a year.

[carlfebz2]

Having a record would really give out idea whether you had progressed or not.Its a must thing as a businessowner because we've put our money into this investment which it would really be just right that you should

really be having that good track of it.You cant just be that careless or doesnt mind on what are your expenses and other factors which would really be in related to business.If you do set out proper plans
and proper handling with your business then dont expect for something positive. You would really be living on having that continuous losses and might ending up on a demise of your business.

[justdimin]

There are a lot of things to be said. I even wanted to add an image or two to show people how they could easily record their financial records on a spreadsheet or a notebook. It really is very broad.

These type of things looks so obvious, how come they are not found out earlier? I mean I am not saying that this is a lie, it could be truth for sure, because there are morons in the world, but we are talking about 8 year old kids mathematical question levels of simple thing here.

You make a burger, and you sell a burger, and you know what the burger has in it, so you know the cost, so you sell it for higher than what it costs, how hard that could be? Or you buy a beer, and you sell that beer, if the beer is 8 bucks and you sell it for 6 bucks then you lose money, how hard is that? Seriously, how hard is that? That's something 8 year olds can figure out, it's not rocket science.

[DrBeer]

Very briefly: doing business and not keeping records of income and expenses is the path to bankruptcy. What else will accelerate bankruptcy is the lack of planning costs, and comparing them with income. Also, not understanding the basics of doing business is not playing into the hands. For example, such a concept as "a cash gap" - when you seem to have, according to your plans, conditionally for a month, you should have enough money for everything, but you don’t have enough! The problem is that without scheduling, you may end up with a situation where on the 30th you have a total income of $10,000, but you have to pay rent on the 15th, and on the 15th you only have 2,000... There are many more classic management practices business and cash flow management. Without it, your friend will suffer for the rest of his life.

[michellee]

You have done a good thing by helping your friend to have financial records so that your friend knows how much profit he gets in a day or a month. And indeed, every business should have financial records so that business owners know the progress of their business from time to time.

You can start helping other friends who have their businesses so that later, several other friends will follow or ask for your help in making the report. And after it's running, you can make free seminars for other friends so that your friends' businesses can grow even more. Start with small steps in helping your friends and when it starts to become big, you will be able to overcome feelings of shyness or isolation because you can feel joy in helping your friends.

[DainSLane]

In my opinion Keeping accurate financial records is crucial for any small business to succeed. It help with understanding the progress of the business identifying income sources reducing unnecessary expenses, and achieving regulatory compliance. The leverage social media platforms for promotion with a local university or college to host the event

[Lorence.xD]

Having a record would really give out idea whether you had progressed or not.Its a must thing as a businessowner because we've put our money into this investment which it would really be just right that you should really be having that good track of it.You cant just be that careless or doesnt mind on what are your expenses and other factors which would really be in related to business. If you do set out proper plans  and proper handling with your business then dont expect for something positive. You would really be living on having that continuous losses and might ending up on a demise of your business.

This is true, you could see your improvement by just simply storing your business records. Companies could also use them in the future for emergency purposes like let's say for example they got blamed and had to attend courts. You can show them your past records in the trial as a proof of your legitimately of your company. Records about transaction could be also useful incase you needed them. For my experience, I have a small convenience store before and I always have record of payments, bills and business permits. Few people from there always questioning about why suddenly I opened a business and they want to close it down. If only they knew that before I opened up my business I already fixed the papers for the business so I printed it out pasted it outside my store. Also I have a customer who tried to scam me with digital payment where they have to sign the log first before payment which it records the previous transactions. Then like weeks later she came back saying that she'd still haven't got the money where I showed to her to records she'd signed up and she silently leaves.

[so98nn]

You don't have to be a big corporation before you keep a record of your daily financial transactions.

This caught my eye more than anything else. There should be lessons about maintaining accounting books for ab individual as well and it should be taught way way early. I am pretty much sure this can change many things in a persons life. I believe this practice is already there in the developed countries like US and Europe? Not sure but looking at the movies and series they do teach kids on how to manage the expenses and everything. This can only benefit them to survive alone without any support.

Those who think they are doing just fine with the expense management could be very wrong. I have tried to do such savings over long period of time but it doesn’t work that way. Somehow you end up doing lot of expenses which are unwanted. There needs strict policies and you should be loyal with them to have long term savings. It helps.

[alastantiger]

Records are crucial documents that must be maintained. Maintaining financial records is very crucial for any organization or business since it allows you to understand if your operations are profitable or not. I own a little shop where I sell things. At first, I didn't keep records since I told myself there was no need to keep records since the business was solely mine. I thought i wouldnt be needing any records for my business. But by keeping track of my finances, I can determine at the end of each week whether or not my firm is expanding or not.
It helped me cut down my unneccessary spending.
In every business, financial records are very important.

[Anonylz]

I also have a close friend who engage in petty trade, the only record she keeps that i know of is the debt record, because she have different people buying some of her items on credit so she only bother about keeping records of her debtors. I guess by doing this she can already be able to know her cost, expenses and profit.
Keeping records is very important but some business owners may sees it as time consuming and may not be interested in doing so even if it will be very helpful for the growth of their business. This can also apply to none business owner, anyone can keep record of their daily expenses which can help them to plan properly.

[bittraffic]

As much as I want to also see where my spending goes in a household, one can only assume it goes to food and utility bills. These are all important to living in a house. In order for me to make this record, it will add another time loss for resting. 

For a businessman who owns works as a barber and manages a barbershop, he will need one more skill such as simple spreadsheet bookkeeping. A tiresome job but as important as learning to see things before the business fails.

[ololajulo]

I think financial records are really needed for entrepreneurs, even non-entrepreneurs are really needed. Because we can easily analyze if there are obstacles or problems in the business world that we live in, so we can easily track down the mistakes we make or control unnecessary expenses.
That way we are more efficient in unnecessary expenses in the future.

Analyzing financial records allows businesses to analyze past performance and project future growth, making informed decisions about investments, expansions, and other strategic initiatives. By tracking income and expenses over time, individuals and businesses can create and stick to budgets.

[Iroh]

I wholly agree with you on the need to have an accurate financial record for a business, irrespective of if it’s a small business or a big one. It really doesn’t matter if you’re just starting up your little business or you’re the owner of a multinational corporation, you just need to have a financial record of your business.

Having an accurate record of your business transactions would, like you stated let you know if you’re running at a loss or you’re making some profits. Also, I think a clear record of your business would also improve your chances of being granted a loan from the bank for your business.

About your friend you mentioned, i think not having an accurate financial record of his business may not be the only cause of him not being able to pay his rent. Apparently he’s skilled at his job and gets a lot of patronage, where then is the money going to? Perhaps, he may be spending his money a lot faster than he can get more and a good financial record of his business might just put him in the right track.

[Silberman]

You don't have to be a big corporation before you keep a record of your daily financial transactions.

This caught my eye more than anything else. There should be lessons about maintaining accounting books for ab individual as well and it should be taught way way early. I am pretty much sure this can change many things in a persons life. I believe this practice is already there in the developed countries like US and Europe? Not sure but looking at the movies and series they do teach kids on how to manage the expenses and everything. This can only benefit them to survive alone without any support.

Those who think they are doing just fine with the expense management could be very wrong. I have tried to do such savings over long period of time but it doesn’t work that way. Somehow you end up doing lot of expenses which are unwanted. There needs strict policies and you should be loyal with them to have long term savings. It helps.

Whether you get this knowledge through the school system depends on where you live, personally I think accounting principles should be taught at a very early age, after all governments are expecting people to work for the majority of their lives, so people might as well learn how to use their money in more effective ways, but in many countries that knowledge is not taught until you get to college, giving a massive advantage to those that reach that level of education over those that do not.

[Frankolala]

OP, you must be a good business person with all that you have said. So many small scale businesses ignore financial records and this is what is very important for any business to grow.

Financial record is also important for future purpose,it will also enable you give accurate record of your business at the end of the year and to plan for the next year ahead. Industries and companies understand all these and that is why they are practising it.

[wiss19]

You are probably right that there are a lot of business owners, especially small ones, who don't always keep a record of their finances, and they just keep spending from the money that comes in from their business which is the reason why they can't keep up with the bills, rents, etc. at the end of the month. It is a very big mistake, even if you don't keep records, it is never a good thing to take and spend money from the money that comes in through the business.

Small business owners, like those vendors who sell things on the road or run small shops, even they should keep a record but even if they don't, they should at least don't take out any money from the daily earnings so that they can at least keep a count of the daily revenue at the end of the day.

[D ltr]

having business financial records is very important because we can see how much profit we get per day, week, month and yearly. This applies to all types of businesses, I think, whether it's big or small,
this is often taken for granted, but this is what can make a small business big in the future

[GeorgeJohn]

Do you know one thing that affect people in their localities, it's due to lack of understanding and lack of saves, some business crash today due to lacks of managerial functions, if you don't have record or personal determination towards saves in business, theirs no tendency that you can renew whatever that's obtainable in your business, A business needs to allocate a specific amount that will be going for refill of business items or goods before it can be standard.

[dothebeats]

This should be the norm. If you don't do this then you're bound to lose your business and may even get legal trouble as well. Businesses are expected to keep track of their profits and expenses. From an operating standpoint, it helps one to check whether they need to make adjustments on something in order to give another thing the headroom to work flawlessly. It is a tedious task, that's why you hire experts to do it for you. Though once you have it all sorted, expect that you'll also have less problems in finance and all that kind of stuff.

[Yatsan]

Tracking or monitoring the cashflow in a business should be a must to all business owners out there. It would also promote discipline and will help you make costing, more efficient. The usual problem with businesses are not being able to track the amount of profit and expenses which results to lack of sustanability for the business in general. Money runs a business, give a valid reason why being organized about it should be disregarded. If you would be able to determine losses, gains, expenses, and other billings, it would also allow you to plan and analyze what have gone wrong and give you enough time to fix the mistakes occured for that particular week or month.

[n0ne]

Tracking or monitoring the cashflow in a business should be a must to all business owners out there. It would also promote discipline and will help you make costing, more efficient. The usual problem with businesses are not being able to track the amount of profit and expenses which results to lack of sustanability for the business in general. Money runs a business, give a valid reason why being organized about it should be disregarded. If you would be able to determine losses, gains, expenses, and other billings, it would also allow you to plan and analyze what have gone wrong and give you enough time to fix the mistakes occured for that particular week or month.

Financial record is a must in our personal family life as well as for business. When it comes to family when the income increases automatically the expense too goes high. This shouldn't happen and this is possible through maintaining financial record. At times we'll have additional expenses and the months saving gets decreased. Through the financial record it can be easily identified and the spending can be limited on the next month.

With business financial record helps in maintaining the stocks in a perfect way. Through this we can order for raw material or necessary things at the right time. Important thing financial record, it is much useful during the year's audit for tax submission.

[Jody.Drummer]

having business financial records is very important because we can see how much profit we get per day, week, month and yearly. This applies to all types of businesses, I think, whether it's big or small,
this is often taken for granted, but this is what can make a small business big in the future

Of course financial records are things that must be very concerned, they will determine the fate of the business that we run. If we do it wrong then what is at stake is our own efforts. Financial records must be done every day and record the slightest transaction made in our business. Many entrepreneurs fail because they fail to do so, it looks simple, but the impact will be huge for our business. Precisely things that seem easy this will be difficult if we are not good at managing it. We can follow the example of big companies, they are successful because they are very good at doing this.

[Silberman]

having business financial records is very important because we can see how much profit we get per day, week, month and yearly. This applies to all types of businesses, I think, whether it's big or small,
this is often taken for granted, but this is what can make a small business big in the future

Of course financial records are things that must be very concerned, they will determine the fate of the business that we run. If we do it wrong then what is at stake is our own efforts. Financial records must be done every day and record the slightest transaction made in our business. Many entrepreneurs fail because they fail to do so, it looks simple, but the impact will be huge for our business. Precisely things that seem easy this will be difficult if we are not good at managing it. We can follow the example of big companies, they are successful because they are very good at doing this.

What happens is that keeping financial records may seem like a boring and unnecessary thing to do to most people, and yet something as simple as this is necessary to keep a healthy business, otherwise it would be impossible for the business owner to tell if they are spending their money as they should or if they are overpaying for a particular product or service, and the differences in price when it comes to products and services can be massive depending on the provider they have decided to use, to the point this single aspect can affect the long term viability of any business.

[speedy963]

having business financial records is very important because we can see how much profit we get per day, week, month and yearly. This applies to all types of businesses, I think, whether it's big or small,
this is often taken for granted, but this is what can make a small business big in the future

Of course financial records are things that must be very concerned, they will determine the fate of the business that we run. If we do it wrong then what is at stake is our own efforts. Financial records must be done every day and record the slightest transaction made in our business. Many entrepreneurs fail because they fail to do so, it looks simple, but the impact will be huge for our business. Precisely things that seem easy this will be difficult if we are not good at managing it. We can follow the example of big companies, they are successful because they are very good at doing this.

What happens is that keeping financial records may seem like a boring and unnecessary thing to do to most people, and yet something as simple as this is necessary to keep a healthy business, otherwise it would be impossible for the business owner to tell if they are spending their money as they should or if they are overpaying for a particular product or service, and the differences in price when it comes to products and services can be massive depending on the provider they have decided to use, to the point this single aspect can affect the long term viability of any business.

Big profit or not from a business is still considered profit. Keeping record to keep track about the expenses and earning is maybe too much for other people, even I would say it is an annoying task to deal with, but without it sometimes you lost track of all the past expenditures and earnings if you have so much in mind or perhaps you are just too busy with your day to day life. It may be nonsense for me or even some other business owners but believe me when I say that time will come when you will needing those records.

[Jody.Drummer]

having business financial records is very important because we can see how much profit we get per day, week, month and yearly. This applies to all types of businesses, I think, whether it's big or small,
this is often taken for granted, but this is what can make a small business big in the future

Of course financial records are things that must be very concerned, they will determine the fate of the business that we run. If we do it wrong then what is at stake is our own efforts. Financial records must be done every day and record the slightest transaction made in our business. Many entrepreneurs fail because they fail to do so, it looks simple, but the impact will be huge for our business. Precisely things that seem easy this will be difficult if we are not good at managing it. We can follow the example of big companies, they are successful because they are very good at doing this.

What happens is that keeping financial records may seem like a boring and unnecessary thing to do to most people, and yet something as simple as this is necessary to keep a healthy business, otherwise it would be impossible for the business owner to tell if they are spending their money as they should or if they are overpaying for a particular product or service, and the differences in price when it comes to products and services can be massive depending on the provider they have decided to use, to the point this single aspect can affect the long term viability of any business.

Here's the point. We can't do something big if we still miss small things because when we want to do good business, we have to start everything neatly even if it's the smallest thing, things like that shouldn't be missed because it could be from the smallest thing. this is what will be the big difference between doing it or not.
At least with records like this we will know the data that we can use as benchmarks to make our business even better.

[Xcode7]

I think financial records are the key to the success of a business. I can't imagine running a business without keeping financial records. How do we do monthly and yearly analysis. because by doing annual and monthly analysis we know how our business is developing, whether it is healthy or not, that way we can make choices about the future of our business.

[fadhilz123]

I think financial records are the key to the success of a business. I can't imagine running a business without keeping financial records. How do we do monthly and yearly analysis. because by doing annual and monthly analysis we know how our business is developing, whether it is healthy or not, that way we can make choices about the future of our business.

Financial records in doing business and in running a business are very basic things and can also be used as a basic key as you said. But apart from all that, everyone who is already running their business must have stronger relationships in order to improve the future of their business for the better and that is also another point that is just as important as the point you said. So apply some important points that can really help business progress so that the time that has been used to run the business is not wasted.

[JoyMarsha]

for someone to keep their business from suffering losses. A person must constantly keep a record of their financial dealings, regardless of the type of business they are engaged in.

There are lots of people that do this. particularly the small firm businesses like barbers. They do operate under the assumption that since it is a small firm, there is no need to keep track of how much money is spent on what as they are not buying and selling items. forgetting that they will inevitably exceed the budget if records are not kept of how much money comes into their hand and how they spend it.

You did well in informing your barber friend that maintaining financial records in a business is essential, regardless of how little it may be.

[Cookdata]

I have an aunt who is into grocery sales, and basically, there is no way that your family wouldn't interfere, it is a big one and they do have large sales. The challenge she was having back then was that the children would come and take what they needed without paying because of the family title, they do have this entitlement, and the bad side of this is that there will be missing sales or a shortage of money at the end of the month.

She did something incredible about it and mandated that whenever they visit the shop to pick up any item, they should record it even if they don't drop money. This helps her balance her credit and debit at the end of the month, and what she was doing at the end of the day is charging their father for the items they did pick. She believes a business should remain a business, but that doesn't mean she wouldn't support them at home; if it weren't for the records, they would have rekt her business progress.

[virasisog]

Having a financial record is too important for you to track your expences, profit and losses at the same time. It is a way for you to determine whether your marketing strategy is working or if your product is in demand.
Even a small amount of expense should be recorded for you to know the flow of your business o matter how big or small it is so you should know if you are reaching your goal or if you are failing in your business.

[serjent05]

Having records of everything is the best practice in business.  May it be stocks, sales, deliveries, purchases, etc.  Having a financial record enables us to track how well the company is performing.  It can also give us information on which product is performing well and which is not.  Thus we can either trim down or expands the allotment of budget for certain products.  Thus it also helps us to determine the best way to use in marketing and promotions without compromising the company's financial stability.

[CODE200]

I wholly agree with you on the need to have an accurate financial record for a business, irrespective of if it’s a small business or a big one. It really doesn’t matter if you’re just starting up your little business or you’re the owner of a multinational corporation, you just need to have a financial record of your business.

Having an accurate record of your business transactions would, like you stated let you know if you’re running at a loss or you’re making some profits. Also, I think a clear record of your business would also improve your chances of being granted a loan from the bank for your business.

Financial record is somehow a must specially if you are into business. This will serves as your tracker for your journey on your business and to all profit and loses that you may encounter. By this also you can easily distinguish where/what you need to improve. You can easily monitor where your money goes. Just when you enter in one company you can notice that even it was 10-20 years ago they still have the record it may be physical or digital record because its useful to improve their finances in the future.

[irhact]

There are many more benefits of keeping financial records and I know it's not the most exciting part of your business but it is essential to your business. It doesn't matter how small your business is, be it, laundry, hair salon, boutique, online store, etc, always keep financial records.

You have done very well with this topic of yours, Keeping financial records is a very important step in building businesses, any business that doesn't keep a financial record won't know the way their business is going if it's been profitable or you're losing in the business. Keeping a financial record will help you stay disciplined. Reason why most business fail is because the owners aren't serious with the business.

Most business owners don't know how to run business because if they did then they'll know keeping financial record is very beneficial to a business so why then won't they won't to it instead just thinking the business is successful while it isn't. Business owners invest their salary or other sources of income into their business and think it's the business sustaining itself.

[Alpha Marine]

I have an aunt who is into grocery sales, and basically, there is no way that your family wouldn't interfere, it is a big one and they do have large sales. The challenge she was having back then was that the children would come and take what they needed without paying because of the family title, they do have this entitlement, and the bad side of this is that there will be missing sales or a shortage of money at the end of the month.

She did something incredible about it and mandated that whenever they visit the shop to pick up any item, they should record it even if they don't drop money. This helps her balance her credit and debit at the end of the month, and what she was doing at the end of the day is charging their father for the items they did pick. She believes a business should remain a business, but that doesn't mean she wouldn't support them at home; if it weren't for the records, they would have rekt her business progress.

Let me also use this opportunity to say that small businesses should always follow the "entity concept" in business which states that a business is different from the owner of the business. So whatever relationship you as a person has with someone else, that relationship does not include your business. She may be your aunt but the business is not your aunt.
Your aunt was smart with the idea she came up with because if she hadn't done that her business might be suffering and it would have been worst if she doesn't keep records because she would have no idea of what is going on.

but in many countries that knowledge is not taught until you get to college, giving a massive advantage to those that reach that level of education over those that do not.

In a lot of countries, it's not even taught in college. Only students that are in the social science and Management science department have the advantage of learning this and even there it's not handled like an important topic or course. A lot of people who know these things didn't learn this from school.

[Silberman]

having business financial records is very important because we can see how much profit we get per day, week, month and yearly. This applies to all types of businesses, I think, whether it's big or small,
this is often taken for granted, but this is what can make a small business big in the future

Of course financial records are things that must be very concerned, they will determine the fate of the business that we run. If we do it wrong then what is at stake is our own efforts. Financial records must be done every day and record the slightest transaction made in our business. Many entrepreneurs fail because they fail to do so, it looks simple, but the impact will be huge for our business. Precisely things that seem easy this will be difficult if we are not good at managing it. We can follow the example of big companies, they are successful because they are very good at doing this.

What happens is that keeping financial records may seem like a boring and unnecessary thing to do to most people, and yet something as simple as this is necessary to keep a healthy business, otherwise it would be impossible for the business owner to tell if they are spending their money as they should or if they are overpaying for a particular product or service, and the differences in price when it comes to products and services can be massive depending on the provider they have decided to use, to the point this single aspect can affect the long term viability of any business.

Here's the point. We can't do something big if we still miss small things because when we want to do good business, we have to start everything neatly even if it's the smallest thing, things like that shouldn't be missed because it could be from the smallest thing. this is what will be the big difference between doing it or not.
At least with records like this we will know the data that we can use as benchmarks to make our business even better.

True, which is why when I hear someone saying they have no money and I see them buying expensive coffee, video games they do not even play, useless apps and all kind of stuff they do not need I simply ignore them as I know the are not serious about their goals, because if they were they would sit down and analyze their expenses and suddenly realize they are throwing an immense amount of money away each month and immediately change their ways.

[Gallar]

in doing business should be the obligation of every company owner that it is necessary to write down all expenses and all income carefully and precisely, there should not be the slightest mistake. because in opening a business, one of the keys to success that should not be missed is always keeping books/recording capital, income, expenses, materials, and salaries of all employees (if you already have one).

and all of these records are very important, no point should be missed, because if the data/recording is inaccurate, it will cause confusion.
Therefore, it is mandatory for entrepreneurs who are just starting out to get used to always keeping records/recording all data. so that when the business is big enough there is no word to forget or underestimate this bookkeeping.

and for recording there are several ways that can be done, namely in a classic way and in a modern way, if you use a classic way that is using a book, and for a modern way you can use a laptop or computer device (PC).

[mvdheuvel1983]

What is not measured cannot be improved(Peter Drucker)
Most small and medium enterprises always overlook the aspect of a good financial record keeping. Some feel they are in control. There is no need.
While some others may have just learned it from their parents who ran or managed similar business in the past.
There are too many pros to having a financial record in this age that it cannot be stress enough. And the internet age has made it all the easier because there are several bookkeeping apps that will save you stress and even improve your business inflow and outflow of cash.

[xSkylarx]

having business financial records is very important because we can see how much profit we get per day, week, month and yearly. This applies to all types of businesses, I think, whether it's big or small,
this is often taken for granted, but this is what can make a small business big in the future

Of course financial records are things that must be very concerned, they will determine the fate of the business that we run. If we do it wrong then what is at stake is our own efforts. Financial records must be done every day and record the slightest transaction made in our business. Many entrepreneurs fail because they fail to do so, it looks simple, but the impact will be huge for our business. Precisely things that seem easy this will be difficult if we are not good at managing it. We can follow the example of big companies, they are successful because they are very good at doing this.

What happens is that keeping financial records may seem like a boring and unnecessary thing to do to most people, and yet something as simple as this is necessary to keep a healthy business, otherwise it would be impossible for the business owner to tell if they are spending their money as they should or if they are overpaying for a particular product or service, and the differences in price when it comes to products and services can be massive depending on the provider they have decided to use, to the point this single aspect can affect the long term viability of any business.

Here's the point. We can't do something big if we still miss small things because when we want to do good business, we have to start everything neatly even if it's the smallest thing, things like that shouldn't be missed because it could be from the smallest thing. this is what will be the big difference between doing it or not.
At least with records like this we will know the data that we can use as benchmarks to make our business even better.

Small details are also big details. Imagine if you missed to record $1 expenses in your business, which you continue to spend in a month so it would be $31 and it is huge already as it is profit, and if you analyze and check your income business then you fall short. Even cents should be recorded, no matter how small, so that you can see if business is going well or not. Even though it's kind of tiring to list it down, for sure you'll benefit from it in the long run.

[GeorgeJohn]

I think financial records are really needed for entrepreneurs, even non-entrepreneurs are really needed. Because we can easily analyze if there are obstacles or problems in the business world that we live in, so we can easily track down the mistakes we make or control unnecessary expenses.
That way we are more efficient in unnecessary expenses in the future.

Sometimes what we need is curiosity in any business,  because if we happen to be conscious of our business, its necessary that we most have record to enable us to be accountable both our expenses and profits achieve, because its obvious that theirs no mini company or large companies that doesn't have bookkeeping in it business,  because its through your records that will indicate if you are making profits or not. A low business owners makes records which tells the strength of the business  or not. So any business deserves records so that you can be accountable to expenses made weekly and monthly.

[Silberman]

Small details are also big details. Imagine if you missed to record $1 expenses in your business, which you continue to spend in a month so it would be $31 and it is huge already as it is profit, and if you analyze and check your income business then you fall short. Even cents should be recorded, no matter how small, so that you can see if business is going well or not. Even though it's kind of tiring to list it down, for sure you'll benefit from it in the long run.

This level of detail is tiresome but it must be done if we want to have a successful business, and this is something which can be used when it comes to your household expenses as well, for example many people just buy the same brand of products over and over again, however if you really sit down and compare prices you can find a product which does the very same thing for a lower price and save a lot of money, money which you can later use on something else you may need.

[Kakmakr]

I see, you are saying that you are too shy and introverted to speak to large groups... so I will recommend that you have smaller interactions with smaller groups..until you get enough courage to speak to larger groups.

Yes, this is a very important aspect of all businesses.... and I speak from experience. One of my family members ran a small car wash for extra income during their retirement. There were little paper work done, because it was done more as a hobby to keep them busy, but it turned bad very quickly.

So, when they started keeping record of the income and expenses.. they realized that after expenses... they actually made very little profit.... and some rainy months, they had to pay from their own pension money to keep paying the payroll. 

[iamsange]

Financial record is somehow a must specially if you are into business. This will serves as your tracker for your journey on your business and to all profit and loses that you may encounter. By this also you can easily distinguish where/what you need to improve. You can easily monitor where your money goes. Just when you enter in one company you can notice that even it was 10-20 years ago they still have the record it may be physical or digital record because its useful to improve their finances in the future.

You stated this very precisely, but on this occasion I also want to add a little to the explanation you said so that it is even more complete, because according to a source from payfazz.com that bookkeeping is something that the company cannot forget. or any employer. Because bookkeeping or financial records are intended to organize and store financial documents such as financial reports.

In the financial records usually several things will be listed such as cash flow, number of sales, profit and loss and other things. The existence of these records can later be used as a reference whether your business is healthy, different strategies need to be carried out to determine profits and losses. In addition, there are also other reasons why financial records in business are important. Such as the following:

• To know income and expenses
• To regulate the use of money or capital
• As one of the decision-making factors
• Simplify when reporting taxes
• For consideration of potential investors

[Sir Legend]

If we want to be successful in managing finances then we must have a financial record, many people are in business but do not have a financial record so that when difficulties occur they are powerless and bankrupt, with a financial record we determine the best steps and strategies when facing financial difficulties.

[zaki12]

The way you educate your friends is correct, that's how it should be. Having good financial reports is very important for all levels of business, not only for large businesses with complex financial systems. However, the barber must also have good financial reports to help determine the financial condition of the business, and maintain the financial balance of the business.

Because by keeping financial records, we can record and manage all business financial transactions in a structured and well-documented manner. so that the existence of financial records can also help business people to find out their business cash flow, maintain a balance between income and expenses, and find out the profit or loss of their business.

[Mauser]

I have always wanted to organize something like a free seminar and educate the owners of small businesses in my community about this but I'm a very introverted and shy person so I don't know how to go about it, please I will appreciate ideas. 

That's a great idea, I think there is a lot of demand for such seminars among small business owners. In my country it's mandatory that all types of businesses need to keep at least a basic level of financial records. But many companies are struggling with it and when there is an audit happening there is a lot of panic. During university I worked part time in a tax office and saw first hand in what conditions these documents where. There were a lot stains on the paper and pages missing, which was a big problem because the government would always make unrealistic estimates. If you are struggling with speaking in front of strangers you could think about only making online seminars, then you would be sitting alone in your room and only have to engage via video with your clients. One problem is that many business owners don't pay much attention to the subject, it only comes to mind when there is an audit around the corner.

[Alpha Marine]

That's a great idea, I think there is a lot of demand for such seminars among small business owners. In my country it's mandatory that all types of businesses need to keep at least a basic level of financial records. But many companies are struggling with it and when there is an audit happening there is a lot of panic. During university I worked part time in a tax office and saw first hand in what conditions these documents where. There were a lot stains on the paper and pages missing, which was a big problem because the government would always make unrealistic estimates. If you are struggling with speaking in front of strangers you could think about only making online seminars, then you would be sitting alone in your room and only have to engage via video with your clients. One problem is that many business owners don't pay much attention to the subject, it only comes to mind when there is an audit around the corner.

I think making it mandatory for businesses to have a certain level of knowledge in financial records. That would help businesses take their financial record more seriously. People find it boring and to an extent I can't blame them because it's pretty uninteresting but it's very necessary.

A user gave me a similar tip. I have been editing videos and I have already started taking steps in making the semina happen.

[Silberman]

That's a great idea, I think there is a lot of demand for such seminars among small business owners. In my country it's mandatory that all types of businesses need to keep at least a basic level of financial records. But many companies are struggling with it and when there is an audit happening there is a lot of panic. During university I worked part time in a tax office and saw first hand in what conditions these documents where. There were a lot stains on the paper and pages missing, which was a big problem because the government would always make unrealistic estimates. If you are struggling with speaking in front of strangers you could think about only making online seminars, then you would be sitting alone in your room and only have to engage via video with your clients. One problem is that many business owners don't pay much attention to the subject, it only comes to mind when there is an audit around the corner.

I think making it mandatory for businesses to have a certain level of knowledge in financial records. That would help businesses take their financial record more seriously. People find it boring and to an extent I can't blame them because it's pretty uninteresting but it's very necessary.

A user gave me a similar tip. I have been editing videos and I have already started taking steps in making the semina happen.

I think this is mandatory already, however since it is impossible for people to learn everything there is to know then they hire an accountant to do this job for them, however accountants can charge high wages, wages which small businesses cannot afford and if the business owner tries to keep the financial records by themselves then most likely will fail, otherwise we will not have any need for a profession like accountants which specialize on this field.

[Joshapat]

If we want to know the condition of whether the business we are managing is profitable or losing, then the most important thing is to always keep financial records, many people are complacent and run a business so modestly that when they see the facts they are already losing money, records are important to make the business we manage can profit.

[Inwestour]

I spent most of my free time with him at his shop so I know the number of customers that walk in for a haircut daily and I know what his rates are, so by calculations, he should be making enough money even after rent and other expenses required to run the shop. So one day when he complains about rent I asked him how much he makes in a week and he couldn't tell me an estimated number.

What was the problem with this barber?
If you say that he has a good flow of customers and sufficient rates to make a profit, even after paying all taxes, then why did he have no money left, what was the problem?

Some people lead such a lifestyle that only keeping records will not help them, for this you need to learn how to plan a budget. Although accounting is very important in business, and after that he will see how much he earns, but if he does not change his lifestyle, does not reduce his spending, then he still will not have enough money for rent, because his habits are costly.

He will need to improve financial planning, and after he sees where and how much he spends, he will be able to understand how much he needs for a comfortable life, and in relation to this amount he will be able to plan his budget.

[mm2543363580]

I spent most of my free time with him at his shop so I know the number of customers that walk in for a haircut daily and I know what his rates are, so by calculations, he should be making enough money even after rent and other expenses required to run the shop. So one day when he complains about rent I asked him how much he makes in a week and he couldn't tell me an estimated number.

What was the problem with this barber?
If you say that he has a good flow of customers and sufficient rates to make a profit, even after paying all taxes, then why did he have no money left, what was the problem?

Some people lead such a lifestyle that only keeping records will not help them, for this you need to learn how to plan a budget. Although accounting is very important in business, and after that he will see how much he earns, but if he does not change his lifestyle, does not reduce his spending, then he still will not have enough money for rent, because his habits are costly.

He will need to improve financial planning, and after he sees where and how much he spends, he will be able to understand how much he needs for a comfortable life, and in relation to this amount he will be able to plan his budget.

This is the basics of any business to keep records either manually or digitally on your devices,  how come someone running a business without record keeping . I myself know alot of businessman and they have proper records of their earnings and spendings . They know about their profits and losses on monthly basic , they know their incomes .
So this is strange to hear that a person running a shop is not keeping any record.

[concept2]

I had this barber friend in a neighboring hood I lived a few years ago who is a very good barber and has his own barbershop. He does home service from time to time too. He’s really good so he has a lot of customers but at the end of the month he always struggles to pay the rent of his shop. I spent most of my free time with him at his shop so I know the number of customers that walk in for a haircut daily and I know what his rates are, so by calculations, he should be making enough money even after rent and other expenses required to run the shop. So one day when he complains about rent I asked him how much he makes in a week and he couldn't tell me an estimated number.
Long story short, I educated him on how to keep financial records and record every single penny that comes in and goes out of his business. I also made him understand how this can help him cut losses and make more profit.

The point of this whole story is that I have encountered a lot of people who have small businesses and don't even bother about keeping records in their businesses and this single reason could be a hindrance to growing your business.
No matter the kind of business you do, you should be able to know if you are making a profit or running at a loss. After analyzing a distant relative business I found out that she was taking money from another business to sustain another business. In the long run, both businesses will go under. Not only does a good financial record help minimize losses but it also helps lessen the burden of your taxes.

You don't have to be a big corporation before you keep a record of your daily financial transactions. And no, it doesn't have to be a perfect or standard financial record or statement. It could be done in any way you and the next person will understand. It should just include all the money coming into your business and all the money going out of the business in whatever form. At the end of the day, you should be able to know how much you made in total, how much you have at hand at the moment, how much went to your bank account, how much is in the hands of debtors, how much you owe for bills and to your customers or any other person or entity.

An accurate financial record helps you;
Know the progress of your business: It's through the financial record that you know if your little business is safe or about to go under. If your business is safe your records will also let you know how safe you are. When your records have enlightened you on the future of your business then you can now make a decision based on what the financial records show.
Identify income sources and reduce unnecessary expenses: When you look at your financial records at the end of the month and you see the business not heading in the desired direction, then you do something about it, You can either start cutting down expenses that are not necessary or identify the part of your business that generate the most income and put more focus on it.
Allows you to attain complete regulatory compliance: I stated earlier that an accurate financial record helps with your taxes. Of course, you have to pay taxes, but you can't do that accurately if you don't keep an accurate financial record and that might put you and your business in trouble with the regulatory bodies in the future. Not only does our financial record help figure out your taxes but it also supports the items written on your tax returns.

There are many more benefits of keeping financial records and I know it's not the most exciting part of your business but it is essential to your business. It doesn't matter how small your business is, be it, laundry, hair salon, boutique, online store, etc, always keep financial records.

I have always wanted to organize something like a free seminar and educate the owners of small businesses in my community about this but I'm a very introverted and shy person so I don't know how to go about it, please I will appreciate ideas. 

Listen up peeps, if you own a biz no matter how small, it's hella important to keep a financial record. It ain't just for the big shots, ya hear? You gotta keep tabs on all yo transactions to see if you're making moolah or not, know where yo cash flow's comin' from, cut down on expenses, and make sure you're following all the legal mumbo-jumbo. The benefits are huge, and trust me, it can make or break your biz. And yo, it ain't gotta be all fancy and technical-like, just make sure you and anyone else can understand it.

So why's it so dang important? Well, it helps you figure out if you're making bank or losing it, ya dig? And you don't wanna take money from one biz to prop up another, that's just asking for trouble. Having a solid financial record will help you see how much cash you got on hand, in the bank, and who owes you money. Plus, you'll know what bills you gotta pay and to who.

If you want your biz to blow up like a balloon at a birthday party, then you gotta keep track of your cash flow. When the month comes to an end and you peep your finances, if you see your biz ain't heading in the right direction, then you can start slashing expenses left and right or figure out which part of your hustle is bringing in the most cheddar and put your hustle in that direction. By doing this, you'll have the 411 to make boss moves that will help your biz thrive.

[Twentyonepaylots]

I spent most of my free time with him at his shop so I know the number of customers that walk in for a haircut daily and I know what his rates are, so by calculations, he should be making enough money even after rent and other expenses required to run the shop. So one day when he complains about rent I asked him how much he makes in a week and he couldn't tell me an estimated number.

What was the problem with this barber?
If you say that he has a good flow of customers and sufficient rates to make a profit, even after paying all taxes, then why did he have no money left, what was the problem?

Some people lead such a lifestyle that only keeping records will not help them, for this you need to learn how to plan a budget. Although accounting is very important in business, and after that he will see how much he earns, but if he does not change his lifestyle, does not reduce his spending, then he still will not have enough money for rent, because his habits are costly.

He will need to improve financial planning, and after he sees where and how much he spends, he will be able to understand how much he needs for a comfortable life, and in relation to this amount he will be able to plan his budget.

It all boils down to having financial planning since it is important to track all your expenses and income so you can further assess the performance of your business. Having keeping records is one way to go since it could give you an image of the business' financial flows. I think in the situation of the barber, having personal financial planning is important since it could be a problem of how he personally manage his own money. It is important to any business and individuals to track their expenses and have financial planning so that they can really see what to do and also to view their standing in terms of financial secureness.

[Jody.Drummer]

Small details are also big details. Imagine if you missed to record $1 expenses in your business, which you continue to spend in a month so it would be $31 and it is huge already as it is profit, and if you analyze and check your income business then you fall short. Even cents should be recorded, no matter how small, so that you can see if business is going well or not. Even though it's kind of tiring to list it down, for sure you'll benefit from it in the long run.

Things that are considered small are things that are actually big things starting from that. Even large corporations have special staff to keep track of their finances. We're not kidding about this. I can be sure, try asking people who have been successful with their business. They will definitely answer the same thing that recording every income and expenditure is very important. And try asking people whose business is not running smoothly, they will surely answer that this is one of the reasons their business went bankrupt (maybe not all, but one of them).

[imamusma]

Things that are considered small are things that are actually big things starting from that. Even large corporations have special staff to keep track of their finances. We're not kidding about this. I can be sure, try asking people who have been successful with their business. They will definitely answer the same thing that recording every income and expenditure is very important. And try asking people whose business is not running smoothly, they will surely answer that this is one of the reasons their business went bankrupt (maybe not all, but one of them).

Within the scope of business, of course, financial management must be a major concern in addition to maintaining the quality of products or services. Businesses can thrive when the owner has a good strategy for managing income and expenses so that the business runs as it should. OP's story reminds me of one thing, without good and correct financial management, of course business will only go bankrupt sooner or later. The solution is as correct as some people have said, and simply it should be of use to anyone.

In the scope of investment is also no different. Financial management is the most important part so that investors generate worth returns with their plans. Limit expenses that are not really needed and don't prioritize desires when financial conditions can't keep up.

[Aanuoluwatofunmi]

Having a track record o every activities in your financial economy is very important, this helps in having an adequate planning over time, most businesses a d inventions do archive their data for future reference a d this serve well in this purpose for them to fast track on past events, record keeping is very important to any organizations because they work on their past records to be able to serve them when applicable.

[Theones]

Having a track record o every activities in your financial economy is very important, this helps in having an adequate planning over time, most businesses a d inventions do archive their data for future reference a d this serve well in this purpose for them to fast track on past events, record keeping is very important to any organizations because they work on their past records to be able to serve them when applicable.

that is true - but I am such a loser not to do it properly
I plan everytime that I will do it this time - but i forget and get lazy every time and this brings so much damage to me.

[summonerrk]

I had this barber friend in a neighboring hood I lived a few years ago who is a very good barber and has his own ...
... it, please I will appreciate ideas. 

This is called money management.
The ability to distribute and spend the money you have and at the same time know exactly how much you earn and from what sources.

I use all this in everyday life, routine, without having a small business. I have a program on my phone where I drive in all my earnings and expenses, and what topic they are related to.
I can find out at any time how much and when I spent on food, credit, entertainment.
At the same time, thanks to the application, I know perfectly well when and where I earned. All this provides excellent data for forecasting expenses. After a little calculation, I always know how much extra money I have.
I strongly advise same apps to everyone. Especially for business.

[Semar Mesem]

If we focus on profits then financial reports are important, we don't know whether the products we are selling are profitable or at a loss if we don't have financial reports, the easiest thing is to use a computer or application so we can easily monitor financial conditions and target profits we will get.

[Inwestour]

It all boils down to having financial planning since it is important to track all your expenses and income so you can further assess the performance of your business. Having keeping records is one way to go since it could give you an image of the business' financial flows. I think in the situation of the barber, having personal financial planning is important since it could be a problem of how he personally manage his own money. It is important to any business and individuals to track their expenses and have financial planning so that they can really see what to do and also to view their standing in terms of financial secureness.

In this case, I wanted to say that for this barber, in addition to keeping financial records, he must also separate personal expenses and the budget of his business.

To fix the problem, you need to know its source, what is the reason for the deficit in his budget. But in any case, if he is faced with this problem, it means that he does not have enough income that he receives for a comfortable life, and he will need to think about how to increase income. It is possible to expand his barbershop and hire a few more barbers. From identifying the cause, the problem will not go away by itself, it will be necessary to work on its solution.

[xSkylarx]

If we focus on profits then financial reports are important, we don't know whether the products we are selling are profitable or at a loss if we don't have financial reports, the easiest thing is to use a computer or application so we can easily monitor financial conditions and target profits we will get.

Nah, it is not only about the profit, but also about how the business is running—that is, imean is it doing well or not? Since that is the time you can also monitor if you need to improve or add innovation to your business. This is also the way you have reports in your business, unless you don't want to have a monthly update on your business to see if that month is going well or not. There are a lot of apps on smartphones and PCs to track your business, so it is better to make use of them.

[Obari]

This is a great advice to whomsoever is interested in largescale business I think the main aim of involving in any business venture is to gain profit and make interest as well so it is important to record every transactions made imagine being into a business for long and not knowing what you make daily this will not only be a loss to you but might lead to you business downfall people keep record of there activities in other to maintain a perfect trade without loss and this keeps you focus as a business owner because you can understand what comes in and out of your entreprise record keeping does not only help in knowing the business condition but also help in knowing the time and date of every transactions made

[Davidvictorson]

As a small business owner, I learned the art of keeping financial records from my mentor. Because of his meticulous book keeping was secure funding for his business expansion from several financial institutions. He has over time been able to gain clarity about the next business decision from just looking at his books. They have been impecable.

[Theones]

As a small business owner, I learned the art of keeping financial records from my mentor. Because of his meticulous book keeping was secure funding for his business expansion from several financial institutions. He has over time been able to gain clarity about the next business decision from just looking at his books. They have been impecable.

It is very important to keep the records handy - one of my muslims friends said that they are asked in their Holy book to write the financial transactions.
So it is very good and safe trick to keep it on record.

[Silberman]

As a small business owner, I learned the art of keeping financial records from my mentor. Because of his meticulous book keeping was secure funding for his business expansion from several financial institutions. He has over time been able to gain clarity about the next business decision from just looking at his books. They have been impecable.

This is another good point, good financial records not only help you to take better decisions when it comes to your business, they also allow others to have a very clear vision of your business too and you can obtain loans or investments that you could not get otherwise, and while the owners of some small businesses may think they may not need something like this, who is to say the very reason their business remains small is because they do not keep better records and they are unable to find the opportunities and the money to expand because of it?

[Lida93]

There are many more benefits of keeping financial records and I know it's not the most exciting part of your business but it is essential to your business. It doesn't matter how small your business is, be it, laundry, hair salon, boutique, online store, etc, always keep financial records.

I have always wanted to organize something like a free seminar and educate the owners of small businesses in my community about this but

Financial records keeping in every business makes the business owner to have an indepth insight if he's moving forward in his business, fluctuating or retrogressional. Financial records of our business we keep today helps us on how to avoid same futuristic financial mistakes when we're faced with one. Financial records of our business can be likened to a compass that guides our business projections.

I'm a very introverted and shy person so I don't know how to go about it, please I will appreciate ideas. 

It's okay to be an introvert, I used to be one not until I met some crazy friends back then in the university that turned my introvert  lifestyle around without me even knowing.

As an introvert with such brilliance you can make good use technology to share your knowledge to crowd out there without you having to sit face to face with them. You can do an audio recording and share with them, which they can keep listening to time after time. It can make you some cool cash if you're very good at what you intend to do.

[BRINIRHA]

Having a special financial book, a business development planning book, a special notebook for finding new problems in our business and our business development journal is a must-have staple. everything is needed to make it easier for us to observe and evaluate the business that we have. We also have to routinely observe our business. if it is a company that has a certain number of employees then a monthly meeting to evaluate the performance of the company is also required. but if it's a small business then we personally have to routinely observe and evaluate our business performance.

[Wong Gendheng]

Now it is easier to create a financial report, we choose a lot of applications on Android, although simple but can be easy to monitor financial conditions, to run a business, of course, financial report is the most important thing, financial reports make it easier for us to determine decisions.

[Theones]

I had this barber friend in a neighboring hood I lived a few years ago who is a very good barber and has his own barbershop. He does home service from time to time too. He’s really good so he has a lot of customers but at the end of the month he always struggles to pay the rent of his shop. I spent most of my free time with him at his shop so I know the number of customers that walk in for a haircut daily and I know what his rates are, so by calculations, he should be making enough money even after rent and other expenses required to run the shop. So one day when he complains about rent I asked him how much he makes in a week and he couldn't tell me an estimated number.
Long story short, I educated him on how to keep financial records and record every single penny that comes in and goes out of his business. I also made him understand how this can help him cut losses and make more profit.
...

Big ups for sharing your experience and schooling your home skillet about how crucial it is to keep your financial records on point. You couldn't be more spot on, dude. No matter how small your biz is, keeping tabs on your dough is key to progress. I gotta give it up to you for having so much passion for educating small biz owners in your hood.

I know you might be feeling a bit anxious since you're more of an introvert, but we can handle this sh*t. We'll start by making some dope flyers with all the info about the seminar and get them out to local businesses. We could also hit up the community center or library and see if they could host it for us. Don't hesitate to hit up your boys and fam for help if they're experienced in event planning. Remember, the more heads we get in here, the more of an impact we can make.

Financial records ain't just some snooze-fest about profits and losses. They're the game-changer that lets you call the shots and take your biz to the next level. When you keep your books on lock, you can see what's poppin' with your cash flow and plan your moves like a pro. And if you wanna tighten up your spending, you'll know what to do. It's like a secret weapon that gives you the power to crush it and achieve your dreams.

that barbar is exactly like me - I do three jobs and at the end of the month I am also struggling
I will not try to keep the financial record and see if it works.

[worldofcoins]

It's great that you recognize the importance of financial record-keeping for small businesses and want to share your knowledge with others in your community. There are a few ways you can organize a free seminar: Partner with a local organization that supports small businesses, Use social media, Collaborate with other small business owners, and Host the conference online. Good luck with your efforts to educate and support small businesses in your community.

[Silberman]

Now it is easier to create a financial report, we choose a lot of applications on Android, although simple but can be easy to monitor financial conditions, to run a business, of course, financial report is the most important thing, financial reports make it easier for us to determine decisions.

If you want to use those apps that is fine but they are not really necessary, bookkeeping is relatively easy to do and with just reading a book about it you will be able to do without too much of an effort, and even if someone does not have a business or even the desire to start one soon they should still learn this skill, as any skill which helps you to manage your money is a skill in which it is worth to invest our time, as over the long term it will save us a ton of money.

[Bholutefe]

It is such a good thing to normalise keeping financial updates and records of a business in order to be accountable for any form of profit or loss in the business sales. It has a lot of advantages to mention but a few; part of the purpose of keeping financial records also includes that you get to figure out where a debt/loss has been incurred as a result of one thing or the other. You also get to know the amount of profit you are making at a given point in time of a particular period of time. While record keeping in a business also serves as reference during the process of reviewing and analysing data involved at the end of each transaction in a business.

[Fivestar4everMVP]

Great thread with one of the best advice I've come across in a while, financial record is a crucial part of any business, it's not a matter of whether one wants to do it or not, it is completely mandatory, not doing it is simply the same as not being serious wit the business, and every business that lacks care and attention will suffer and eventually crumble after some time, I am a business man myself and I understand how this works, financial record is the most important part of any business, doesn't matter how large or small the business is, which op stated categorically.

I have always wanted to organize something like a free seminar and educate the owners of small businesses in my community about this but I'm a very introverted and shy person so I don't know how to go about it, please I will appreciate ideas. 

Friend, just get up and do it, locking yourself up all the time damages the brain, so get up, go out there and do what you have to do, I am an introvert myself, but somehow, I've managed to break free from such habit, introvert is an habit the limits a man, the man never get to exercise and show his true potentials, not good at all.
So once again, I say, get up, get out there and do what you have to do.

[Cryptock]

Great thread with one of the best advice I've come across in a while, financial record is a crucial part of any business, it's not a matter of whether one wants to do it or not, it is completely mandatory, not doing it is simply the same as not being serious wit the business, and every business that lacks care and attention will suffer and eventually crumble after some time, I am a business man myself and I understand how this works, financial record is the most important part of any business, doesn't matter how large or small the business is, which op stated categorically.

I have always wanted to organize something like a free seminar and educate the owners of small businesses in my community about this but I'm a very introverted and shy person so I don't know how to go about it, please I will appreciate ideas. 

Friend, just get up and do it, locking yourself up all the time damages the brain, so get up, go out there and do what you have to do, I am an introvert myself, but somehow, I've managed to break free from such habit, introvert is an habit the limits a man, the man never get to exercise and show his true potentials, not good at all.
So once again, I say, get up, get out there and do what you have to do.

I have trouble focusing and I am suffering with acute ADHD problem
Everytime I plan - I forget to write it down. I wish I recover from this disease soon

[og kush420]

Great thread with one of the best advice I've come across in a while, financial record is a crucial part of any business, it's not a matter of whether one wants to do it or not, it is completely mandatory, not doing it is simply the same as not being serious wit the business, and every business that lacks care and attention will suffer and eventually crumble after some time, I am a business man myself and I understand how this works, financial record is the most important part of any business, doesn't matter how large or small the business is, which op stated categorically.

I have always wanted to organize something like a free seminar and educate the owners of small businesses in my community about this but I'm a very introverted and shy person so I don't know how to go about it, please I will appreciate ideas. 

Friend, just get up and do it, locking yourself up all the time damages the brain, so get up, go out there and do what you have to do, I am an introvert myself, but somehow, I've managed to break free from such habit, introvert is an habit the limits a man, the man never get to exercise and show his true potentials, not good at all.
So once again, I say, get up, get out there and do what you have to do.

One of the best idea is use social media for your skills to reach to the people
You can hire a good social media manager for a month to see how it works and later you can do it on your own. Sky is the limit

[Cryptock]

Great thread with one of the best advice I've come across in a while, financial record is a crucial part of any business, it's not a matter of whether one wants to do it or not, it is completely mandatory, not doing it is simply the same as not being serious wit the business, and every business that lacks care and attention will suffer and eventually crumble after some time, I am a business man myself and I understand how this works, financial record is the most important part of any business, doesn't matter how large or small the business is, which op stated categorically.

I have always wanted to organize something like a free seminar and educate the owners of small businesses in my community about this but I'm a very introverted and shy person so I don't know how to go about it, please I will appreciate ideas. 

Friend, just get up and do it, locking yourself up all the time damages the brain, so get up, go out there and do what you have to do, I am an introvert myself, but somehow, I've managed to break free from such habit, introvert is an habit the limits a man, the man never get to exercise and show his true potentials, not good at all.
So once again, I say, get up, get out there and do what you have to do.

i have planned to keep the records written - and I will do it from this month.
Today while was preparing my diaries - I thanked the OP who has started this threat - This is very helpful in going back to people on track

[bettercrypto]

I have always wanted to organize something like a free seminar and educate the owners of small businesses in my community about this but I'm a very introverted and shy person so I don't know how to go about it, please I will appreciate ideas.

I like that you said this, because there are many people who organize free seminars for business, they have turned it into a business, that is, the strategy teaching has been turned into a profession where those who attend the seminar are charged a fee , as if when they attend the session, the lessons they will hear are literally when they build a business, they will advance immediately.

      But you want to do it for free, and I admire you for that. Here I can see that you have a good heart of helping others, and you don't resent what you know you have, keep up the good work.

[Vaskiy]

Having a financial record and on each and everything will let you have control over ones finance. Another thing with the financial record it is possible to find what is wrong with our activity and the flaw can be corrected. Flaws are common, but it needs to be easy identifiable.

Having financial record or our daily usage lets us to limit spending and focus on saving. Not everyone were able to do it, as we need to have basic mathematics. Nowadays different Applications were available to perform these activities with ease.

[Lanatsa]

Having a financial record and on each and everything will let you have control over ones finance. Another thing with the financial record it is possible to find what is wrong with our activity and the flaw can be corrected. Flaws are common, but it needs to be easy identifiable.

Having financial record or our daily usage lets us to limit spending and focus on saving. Not everyone were able to do it, as we need to have basic mathematics. Nowadays different Applications were available to perform these activities with ease.

Always having a record is a must so that you would really be having a track which same as you said on where you could be able to look back and check on where you had commit out some mistakes or simply with

your errors which you could also checked out if there are some skipped or missed out payments or whatsoever which it did result into negative outcome or simply make huge effect in overall revenue.

This is why it would really be that crucial if we do speak about having a record or trail of all the transactions neither incoming or outgoing on your business.
Having a good track would really be giving out that kind of monitoring whether your business is doing good or bad.

[Inwestour]

Having a financial record and on each and everything will let you have control over ones finance. Another thing with the financial record it is possible to find what is wrong with our activity and the flaw can be corrected. Flaws are common, but it needs to be easy identifiable.

Having financial record or our daily usage lets us to limit spending and focus on saving. Not everyone were able to do it, as we need to have basic mathematics. Nowadays different Applications were available to perform these activities with ease.

This does not require applications, elementary reporting in Excel will be enough. Perhaps the OP was mistaken in his judgments and he saw some particular day when the barber had a lot of clients, and on other days or at other times everything is different.

In any case, if at the end of the month he does not have enough money to pay for the rent of the premises, then something is wrong with the business, since the business must provide for his needs. But if there is accounting, then it will be possible to see what the problem is.

[Cryptock]

Having a financial record and on each and everything will let you have control over ones finance. Another thing with the financial record it is possible to find what is wrong with our activity and the flaw can be corrected. Flaws are common, but it needs to be easy identifiable.

Having financial record or our daily usage lets us to limit spending and focus on saving. Not everyone were able to do it, as we need to have basic mathematics. Nowadays different Applications were available to perform these activities with ease.

This does not require applications, elementary reporting in Excel will be enough. Perhaps the OP was mistaken in his judgments and he saw some particular day when the barber had a lot of clients, and on other days or at other times everything is different.

In any case, if at the end of the month he does not have enough money to pay for the rent of the premises, then something is wrong with the business, since the business must provide for his needs. But if there is accounting, then it will be possible to see what the problem is.

great point mentioned.
I am also the one who have no money left at the end of the month.

[gaston castano]

This is one of the most basic and most fatal mistakes you could commit to your budding business as a learning entrepreneur, not keeping tabs and checks of your financial records. As what OP have said, that's how you know if over time, your business is bleeding money or it's turning a profit, as well as what product/service the problem/blessing is coming from. Not only will a financial record help you keep track of how your business is growing, it also helps you formulate plans that are in line with what you need at the moment, instead of rushing in and changing things from your business blindly and belligerently. You can never go wrong with keeping records of expenses and profits really. That's going to be your best friend if you're an entrepreneur that recently just started, heck even seasoned entrepreneurs know how important this is.

as op said all sections should have their own details, especially about money, because the flow in and out of our business can be seen from there.
but it looks like if the business is still managed by ourselves and it's still small I think using our own calculations won't be a problem either, because we're the ones doing all the action.

[Cryptock]

This is one of the most basic and most fatal mistakes you could commit to your budding business as a learning entrepreneur, not keeping tabs and checks of your financial records. As what OP have said, that's how you know if over time, your business is bleeding money or it's turning a profit, as well as what product/service the problem/blessing is coming from. Not only will a financial record help you keep track of how your business is growing, it also helps you formulate plans that are in line with what you need at the moment, instead of rushing in and changing things from your business blindly and belligerently. You can never go wrong with keeping records of expenses and profits really. That's going to be your best friend if you're an entrepreneur that recently just started, heck even seasoned entrepreneurs know how important this is.

as op said all sections should have their own details, especially about money, because the flow in and out of our business can be seen from there.
but it looks like if the business is still managed by ourselves and it's still small I think using our own calculations won't be a problem either, because we're the ones doing all the action.

I secoind your opinion - the best approach for the small business is to keep the financial records in your hand and keep writing them time to time

[og kush420]

This is one of the most basic and most fatal mistakes you could commit to your budding business as a learning entrepreneur, not keeping tabs and checks of your financial records. As what OP have said, that's how you know if over time, your business is bleeding money or it's turning a profit, as well as what product/service the problem/blessing is coming from. Not only will a financial record help you keep track of how your business is growing, it also helps you formulate plans that are in line with what you need at the moment, instead of rushing in and changing things from your business blindly and belligerently. You can never go wrong with keeping records of expenses and profits really. That's going to be your best friend if you're an entrepreneur that recently just started, heck even seasoned entrepreneurs know how important this is.

as op said all sections should have their own details, especially about money, because the flow in and out of our business can be seen from there.
but it looks like if the business is still managed by ourselves and it's still small I think using our own calculations won't be a problem either, because we're the ones doing all the action.

right - some people maintain their business so well that they grow rich in no time but on the other hand some people fell from riches to rag. Life is so unpredictable

[BRINIRHA]

Having a financial record and on each and everything will let you have control over ones finance. Another thing with the financial record it is possible to find what is wrong with our activity and the flaw can be corrected. Flaws are common, but it needs to be easy identifiable.

Having financial record or our daily usage lets us to limit spending and focus on saving. Not everyone were able to do it, as we need to have basic mathematics. Nowadays different Applications were available to perform these activities with ease.

More precisely, knowledge about activities in management and especially bookkeeping related to economic (financial) activities is the science of accounting. Even in my country, in high school, more specifically in social science classes, accounting is also taught which is very useful when applied to financial activities in our lives. Having a special journal to record each of our economic activities will indeed make it easier for us to evaluate and observe. and knowledge about this is a basic thing that must be mastered by everyone, especially for business people.

[Alisha-k]

I had this barber friend in a neighboring hood I lived a few years ago who is a very good barber and has his own barbershop. He does home service from time to time too. He’s really good so he has a lot of customers but at the end of the month he always struggles to pay the rent of his shop. I spent most of my free time with him at his shop so I know the number of customers that walk in for a haircut daily and I know what his rates are, so by calculations, he should be making enough money even after rent and other expenses required to run the shop. So one day when he complains about rent I asked him how much he makes in a week and he couldn't tell me an estimated number.
Long story short, I educated him on how to keep financial records and record every single penny that comes in and goes out of his business. I also made him understand how this can help him cut losses and make more profit.

The point of this whole story is that I have encountered a lot of people who have small businesses and don't even bother about keeping records in their businesses and this single reason could be a hindrance to growing your business.
No matter the kind of business you do, you should be able to know if you are making a profit or running at a loss. After analyzing a distant relative business I found out that she was taking money from another business to sustain another business. In the long run, both businesses will go under. Not only does a good financial record help minimize losses but it also helps lessen the burden of your taxes.

You don't have to be a big corporation before you keep a record of your daily financial transactions. And no, it doesn't have to be a perfect or standard financial record or statement. It could be done in any way you and the next person will understand. It should just include all the money coming into your business and all the money going out of the business in whatever form. At the end of the day, you should be able to know how much you made in total, how much you have at hand at the moment, how much went to your bank account, how much is in the hands of debtors, how much you owe for bills and to your customers or any other person or entity.

An accurate financial record helps you;
Know the progress of your business: It's through the financial record that you know if your little business is safe or about to go under. If your business is safe your records will also let you know how safe you are. When your records have enlightened you on the future of your business then you can now make a decision based on what the financial records show.
Identify income sources and reduce unnecessary expenses: When you look at your financial records at the end of the month and you see the business not heading in the desired direction, then you do something about it, You can either start cutting down expenses that are not necessary or identify the part of your business that generate the most income and put more focus on it.
Allows you to attain complete regulatory compliance: I stated earlier that an accurate financial record helps with your taxes. Of course, you have to pay taxes, but you can't do that accurately if you don't keep an accurate financial record and that might put you and your business in trouble with the regulatory bodies in the future. Not only does our financial record help figure out your taxes but it also supports the items written on your tax returns.

There are many more benefits of keeping financial records and I know it's not the most exciting part of your business but it is essential to your business. It doesn't matter how small your business is, be it, laundry, hair salon, boutique, online store, etc, always keep financial records.

I have always wanted to organize something like a free seminar and educate the owners of small businesses in my community about this but I'm a very introverted and shy person so I don't know how to go about it, please I will appreciate ideas. 

to overcome shyness isn't as difficult as it's painted, I'd have said you can start up a tutorship online but then, how many audience can you get from your community since majority of persons who are victim of this NO RECORD KEEPING are the advanced and matured people.

You can start up with a small audience, probably people you're close and relate to, the most important thing should be that you have enough to transmit, gradually you'll over every.

[eightdots]

It is definitely a very important issue. Especially in countries with high inflation, people should keep these financial records. Because when there is uncertainty in front of their business, it is difficult to move forward. When you keep financial records, you can clearly see expenses and revenues. In this way, you can plan the steps to be taken more solidly. These financial records also reveal your unnecessary expenses and allow you to take precautions. Both our own unnecessary spending and price increases in inflationary countries force us to keep financial records. I would like to share a quote about this situation.

Rowing in the dark is not the same as rowing in the light.

[Cryptock]

It is definitely a very important issue. Especially in countries with high inflation, people should keep these financial records. Because when there is uncertainty in front of their business, it is difficult to move forward. When you keep financial records, you can clearly see expenses and revenues. In this way, you can plan the steps to be taken more solidly. These financial records also reveal your unnecessary expenses and allow you to take precautions. Both our own unnecessary spending and price increases in inflationary countries force us to keep financial records. I would like to share a quote about this situation.

Rowing in the dark is not the same as rowing in the light.

sometime life is so bitter and sometime you don't know where you are heading towards?
In our country inflation is definitely very high. Its a good idea to have keep the records if your have good finances and if not then you should also write it to cut down the expenses.

[tjtonmoy]

It is always good to have a plan for the future. Even if we make a plan, sometimes it gets hard to follow that plan. For a situation like this, we need a saving. I was also spending more than what I needed. And in the end, was facing some similar problems.
So how I have fixed the issue, let me tell you here. At the end of the every month, I separate the amount of money I am going to need for the next month. Then I keep it safe and won't touch that no matter what happens. And with the rest of the money, I can spend it which ever way I like. Gives me much more freedom in life.
I am not suggesting that you should spend the rest of the money carelessly. It's just easy to maintain a life on regular basis. Spend wisely, make a plan, stick to it. Life will be more fun that way. Also, if you are able to do it properly, you will end up with some extra money as well, who knows.

[Cryptock]

It is always good to have a plan for the future. Even if we make a plan, sometimes it gets hard to follow that plan. For a situation like this, we need a saving. I was also spending more than what I needed. And in the end, was facing some similar problems.
So how I have fixed the issue, let me tell you here. At the end of the every month, I separate the amount of money I am going to need for the next month. Then I keep it safe and won't touch that no matter what happens. And with the rest of the money, I can spend it which ever way I like. Gives me much more freedom in life.
I am not suggesting that you should spend the rest of the money carelessly. It's just easy to maintain a life on regular basis. Spend wisely, make a plan, stick to it. Life will be more fun that way. Also, if you are able to do it properly, you will end up with some extra money as well, who knows.

writing the record is a good practice - and some people like me are too lazy and dumb that they wont do it time
I try my best but I forget to do so all the time.

[og kush420]

It is definitely a very important issue. Especially in countries with high inflation, people should keep these financial records. Because when there is uncertainty in front of their business, it is difficult to move forward. When you keep financial records, you can clearly see expenses and revenues. In this way, you can plan the steps to be taken more solidly. These financial records also reveal your unnecessary expenses and allow you to take precautions. Both our own unnecessary spending and price increases in inflationary countries force us to keep financial records. I would like to share a quote about this situation.

Rowing in the dark is not the same as rowing in the light.

it is good practice to write what you deal - most of the time your forget what where you have spent and what you have committed.
Best practice I agree is to keep a written record.

[tjtonmoy]

writing the record is a good practice - and some people like me are too lazy and dumb that they wont do it time
I try my best but I forget to do so all the time.

Keep your important expenses separate every time you get paid. Then you will have freedom that you can spend the rest as you like. Even after that, you can make strict rules on what you can spend the rest. Don't spend on things that aren't important. That way, even if you don't keep a record, you won't have to worry that much.
This will make your life more easy and hopefully, as said before, you can also save some in the end which will help you in the future. It's as simple as that. Choose your priority and work for that.

[lizarder]

In general planning is needed when starting to build a business, whether it is a big or small business that you are running. An important lesson in building a business is to have a special record of incoming and outgoing financial flows, so that you can evaluate each year the development of your business, this is important and cannot be forgotten for a businessman.

There are many more benefits of keeping financial records and I know it's not the most exciting part of your business but it is essential to your business. It doesn't matter how small your business is, be it, laundry, hair salon, boutique, online store, etc, always keep financial records.

Everyone has to start small to grow in business, you can't open a big business if you don't have experience in that field, even if you have big capital to start. The concept of running a business is not easy, it takes a lot of resources for you to set it as a standard, even if the business you are running is small.

Financial records or whatever the name is, is an obligation in business, from here you can consider whether the business being run has increased profits or not and you can monitor immediately what are the shortcomings of the business.

I have always wanted to organize something like a free seminar and educate the owners of small businesses in my community about this but I'm a very introverted and shy person so I don't know how to go about it, please I will appreciate ideas. 

Public speaking is an important literacy for someone who intends to educate others, when you don't master the conversation you want to convey to people, it will actually look ridiculous when you speak, moreover you are a typical shy person.

So what can you do?
1. Practice standing in public so you don't get nervous.
2. Pay attention to your appearance when giving material to others.
3. Master the audience as the person you want to give material to.
4. Take part in seminars that teach about leadership and invite lots of people to discuss so that it expedites your way of speaking in front.
5. Praying is the last key when you start standing in front before giving material.

[bayu7adi]

There are many more benefits of keeping financial records and I know it's not the most exciting part of your business but it is essential to your business. It doesn't matter how small your business is, be it, laundry, hair salon, boutique, online store, etc, always keep financial records.

This is a message from a local entrepreneur in my area. He boldly declares that 'complete and valid financial reports are the most important thing in this company.' He is known for being meticulous in tracking every expense in his businesses. In fact, he is the type of entrepreneur who will inquire about small amounts of money even if his company's net revenue is already significant.

This message seems to have a profound meaning. What I have gathered from it so far is that cultivating complete financial reports is crucial for any company, whether it is small or large, that wishes to have significant growth. The key is detailed tracking of income and expenses.

[Cryptock]

writing the record is a good practice - and some people like me are too lazy and dumb that they wont do it time
I try my best but I forget to do so all the time.

Keep your important expenses separate every time you get paid. Then you will have freedom that you can spend the rest as you like. Even after that, you can make strict rules on what you can spend the rest. Don't spend on things that aren't important. That way, even if you don't keep a record, you won't have to worry that much.
This will make your life more easy and hopefully, as said before, you can also save some in the end which will help you in the future. It's as simple as that. Choose your priority and work for that.

That is one of the best thing advices I have read so far.
Managing priority in work is also an important thing.

[Theones]

There are many more benefits of keeping financial records and I know it's not the most exciting part of your business but it is essential to your business. It doesn't matter how small your business is, be it, laundry, hair salon, boutique, online store, etc, always keep financial records.

This is a message from a local entrepreneur in my area. He boldly declares that 'complete and valid financial reports are the most important thing in this company.' He is known for being meticulous in tracking every expense in his businesses. In fact, he is the type of entrepreneur who will inquire about small amounts of money even if his company's net revenue is already significant.

This message seems to have a profound meaning. What I have gathered from it so far is that cultivating complete financial reports is crucial for any company, whether it is small or large, that wishes to have significant growth. The key is detailed tracking of income and expenses.

that is correct - the detail tracking of the income and expenses is important.
And taking the notes and not doing the mistake is also an important thing to be kept in mind.

[FUCKBSVFUCK]

Yes, you are right, but what if you lose your business? Do you have a financial record? Or you have a business that you own?If you should have a financial record. 
 
If you have a business that you own,

[bettercrypto]

This is one of the most basic and most fatal mistakes you could commit to your budding business as a learning entrepreneur, not keeping tabs and checks of your financial records. As what OP have said, that's how you know if over time, your business is bleeding money or it's turning a profit, as well as what product/service the problem/blessing is coming from. Not only will a financial record help you keep track of how your business is growing, it also helps you formulate plans that are in line with what you need at the moment, instead of rushing in and changing things from your business blindly and belligerently. You can never go wrong with keeping records of expenses and profits really. That's going to be your best friend if you're an entrepreneur that recently just started, heck even seasoned entrepreneurs know how important this is.

This financial record is really important, because this is where you can see your input and output when you run the business. At least you will also know what you should do more if your income increases or decreases.

       This will be our proof of evidence when, for example, there is a problem in running your business, because without it you will have no basis and basis in case of a problem, it's that simple to understand.

[Theones]

This is one of the most basic and most fatal mistakes you could commit to your budding business as a learning entrepreneur, not keeping tabs and checks of your financial records. As what OP have said, that's how you know if over time, your business is bleeding money or it's turning a profit, as well as what product/service the problem/blessing is coming from. Not only will a financial record help you keep track of how your business is growing, it also helps you formulate plans that are in line with what you need at the moment, instead of rushing in and changing things from your business blindly and belligerently. You can never go wrong with keeping records of expenses and profits really. That's going to be your best friend if you're an entrepreneur that recently just started, heck even seasoned entrepreneurs know how important this is.

This financial record is really important, because this is where you can see your input and output when you run the business. At least you will also know what you should do more if your income increases or decreases.

       This will be our proof of evidence when, for example, there is a problem in running your business, because without it you will have no basis and basis in case of a problem, it's that simple to understand.

that is correct and that is how you make your game plan for your future move.
one thing which I believe is very important in dealing you finances in honesty

[Sayeds56]

I completely agree with the importance of maintaining records of every type of businesses, regardless of its size or scale. By tracking record of transactions, it becomes possible to get insights of business operations, identify the areas where improvement is needed for efficiency, and make informed decisions about making investments. In summary, financial records are essential tool for any business owner to manage finances effectively.

[Theones]

I completely agree with the importance of maintaining records of every type of businesses, regardless of its size or scale. By tracking record of transactions, it becomes possible to get insights of business operations, identify the areas where improvement is needed for efficiency, and make informed decisions about making investments. In summary, financial records are essential tool for any business owner to manage finances effectively.

me too - but sometime we lose track of it. But many lesson we learn from the mistakes we do it.
I have now forcefully made myself realize that I have to keep track of my finances

[Cryptock]

I completely agree with the importance of maintaining records of every type of businesses, regardless of its size or scale. By tracking record of transactions, it becomes possible to get insights of business operations, identify the areas where improvement is needed for efficiency, and make informed decisions about making investments. In summary, financial records are essential tool for any business owner to manage finances effectively.

that is the main thing in business - managing finances well. Some people are managing business and finances so well without even computer and internet
they do it simply on their diary but they do well = it is all the number game and dealing with it is an art

[og kush420]

This is one of the most basic and most fatal mistakes you could commit to your budding business as a learning entrepreneur, not keeping tabs and checks of your financial records. As what OP have said, that's how you know if over time, your business is bleeding money or it's turning a profit, as well as what product/service the problem/blessing is coming from. Not only will a financial record help you keep track of how your business is growing, it also helps you formulate plans that are in line with what you need at the moment, instead of rushing in and changing things from your business blindly and belligerently. You can never go wrong with keeping records of expenses and profits really. That's going to be your best friend if you're an entrepreneur that recently just started, heck even seasoned entrepreneurs know how important this is.

This financial record is really important, because this is where you can see your input and output when you run the business. At least you will also know what you should do more if your income increases or decreases.

       This will be our proof of evidence when, for example, there is a problem in running your business, because without it you will have no basis and basis in case of a problem, it's that simple to understand.

I get my grocery from a store near by and the best thing the shop owner does is write all the amount people lead from it
this is by far the best practice I have seen

[Fatunad]

Identify income sources and reduce unnecessary expenses:

This is the importance i would definitely be saying because having some track would really be giving out some idea on where you do spend your money or specially on outgoing transactions.
In this case you would be able to see if you are spending that much or really just that in limit. This is where people do always miss out and in the end of the day you would really be having those questions on where
those funds go if you dont have that tracking.

In any business then it would really be that crucial specially into those things which had been said or mentioned on OP which it would really be just that worth for you to mind off
on following those at least. Its the basic stuff on where it would really be just that recommendable on doing so specially when you are really that serious
on having that kind of target or goal in your business to progess.

[Andrija Branislav]

I am a business man myself and I understand how this works, financial record is the most important part of any business, doesn't matter how large or small the business is, which op stated categorically.

I think the same is true in business. Prioritizing spending and setting strict rules about what you can spend can be a great way to stay within a budget. Plus, separating important expenses from discretionary expenses can make it easier to track your finances without feeling overwhelmed. and it's true what my friends say, Good financial management is about making smart choices and working towards your financial goals.

[og kush420]

I am a business man myself and I understand how this works, financial record is the most important part of any business, doesn't matter how large or small the business is, which op stated categorically.

I think the same is true in business. Prioritizing spending and setting strict rules about what you can spend can be a great way to stay within a budget. Plus, separating important expenses from discretionary expenses can make it easier to track your finances without feeling overwhelmed. and it's true what my friends say, Good financial management is about making smart choices and working towards your financial goals.

correct - and that is the real essence of the business
Checking the finances and taking care of finances in you business is the art of every business

[Cryptock]

I am a business man myself and I understand how this works, financial record is the most important part of any business, doesn't matter how large or small the business is, which op stated categorically.

I think the same is true in business. Prioritizing spending and setting strict rules about what you can spend can be a great way to stay within a budget. Plus, separating important expenses from discretionary expenses can make it easier to track your finances without feeling overwhelmed. and it's true what my friends say, Good financial management is about making smart choices and working towards your financial goals.

these days we are losing our minds because we are not getting enough money in business
not a good time to discuss this rather if there is anyway to earn more money that would be a great help though

[og kush420]

I am a business man myself and I understand how this works, financial record is the most important part of any business, doesn't matter how large or small the business is, which op stated categorically.

I think the same is true in business. Prioritizing spending and setting strict rules about what you can spend can be a great way to stay within a budget. Plus, separating important expenses from discretionary expenses can make it easier to track your finances without feeling overwhelmed. and it's true what my friends say, Good financial management is about making smart choices and working towards your financial goals.

that is true - some people are good in keeping the financial record in the old way but they are doing good
on the other hand some business make fancy stuff but their business fail - that is all the luck and hard work you put in

[arimamib]

Yes, you are right, but what if you lose your business? Do you have a financial record? Or you have a business that you own?If you should have a financial record. 
 
If you have a business that you own,

Complete question.

The reason is that every business founder must have every record of every expense and income. Company cash must be managed as best as possible and for every company or business that you manage, you will definitely make calculations every quarter.

So from that I think if one of the businesses must have records, but depending on the progress process that occurs in the business that you are in, I mean if you have calculated profits this year, that the records will not be important to keep at. Because you will open a new record for the next year.

But if you need a comparison of results in the following year, last year's financial records should be stored as best they can and become history later.

[smile1218]

Keeping financial record is essential to any kind of business as it helps in monitoring the finacial health of the business, it used to track the operational expenses and income and it help in the decision making of the company when it comes to finances. It also helps filing taxes accurately and avoiding any legal or financial issue. Usually here in my country we need to keep the financial documents in within 5 to 10 years as mandated by the Bureau of Internal Revenue for future audit.

[Ryu_Ar1]

I completely agree with the importance of maintaining records of every type of businesses, regardless of its size or scale. By tracking record of transactions, it becomes possible to get insights of business operations, identify the areas where improvement is needed for efficiency, and make informed decisions about making investments. In summary, financial records are essential tool for any business owner to manage finances effectively.

Actually, if you look further, this is a basic thing that must be owned.
Regardless of any expenses and income in the business, it is clear that there must be a record because the benefits of it are clearly very much.
Apart from us not messing around in daily, weekly or monthly reports on the other hand this is also to see the progress of the business we are running whether it is developing or not.

We certainly have to know and manage this well because even though things like this look trivial, this will actually have a very big impact and the risk if we don't do something like this is quite clear, apart from us being confused we also won't know about the progress of what we are doing.

[og kush420]

I completely agree with the importance of maintaining records of every type of businesses, regardless of its size or scale. By tracking record of transactions, it becomes possible to get insights of business operations, identify the areas where improvement is needed for efficiency, and make informed decisions about making investments. In summary, financial records are essential tool for any business owner to manage finances effectively.

Actually, if you look further, this is a basic thing that must be owned.
Regardless of any expenses and income in the business, it is clear that there must be a record because the benefits of it are clearly very much.
Apart from us not messing around in daily, weekly or monthly reports on the other hand this is also to see the progress of the business we are running whether it is developing or not.

We certainly have to know and manage this well because even though things like this look trivial, this will actually have a very big impact and the risk if we don't do something like this is quite clear, apart from us being confused we also won't know about the progress of what we are doing.

The good businessman would always keep their financial record straight.
For sure business would not flourish if the if the record are not uptodate

[bangjoe]

Keeping financial record is essential to any kind of business as it helps in monitoring the finacial health of the business, it used to track the operational expenses and income and it help in the decision making of the company when it comes to finances. It also helps filing taxes accurately and avoiding any legal or financial issue. Usually here in my country we need to keep the financial documents in within 5 to 10 years as mandated by the Bureau of Internal Revenue for future audit.

Yes, that is one of the functions of having financial records archived in the long term, we can easily calculate how income and circulation of money and goods increase in our business, we can monitor it in days, weeks, months, quarters and annually and or every shift of season, if we keep financial records in a structured and neat manner we will be able to see differences in financial circulation in business at any given moment or certain season.

I completely agree with the importance of maintaining records of every type of businesses, regardless of its size or scale. By tracking record of transactions, it becomes possible to get insights of business operations, identify the areas where improvement is needed for efficiency, and make informed decisions about making investments. In summary, financial records are essential tool for any business owner to manage finances effectively.

Actually, if you look further, this is a basic thing that must be owned.
Regardless of any expenses and income in the business, it is clear that there must be a record because the benefits of it are clearly very much.
Apart from us not messing around in daily, weekly or monthly reports on the other hand this is also to see the progress of the business we are running whether it is developing or not.

We certainly have to know and manage this well because even though things like this look trivial, this will actually have a very big impact and the risk if we don't do something like this is quite clear, apart from us being confused we also won't know about the progress of what we are doing.

I agree with you, no matter how big or small money we manage in business or no matter how small the business we do, having financial records is the main thing to do for a business person if he wants to grow in his business, and indeed it has many the benefits that we get if we have financial records.
I don't think so, financial records are not only for business people, financial records are important for anyone, both businessmen, students, workers and even housewives to monitor financial flows, and with that we will have awareness of the money control we have every day, week, month, and yearly.

[JeffBrad12]

This actually should be common sense, keeping record of business helps massively, but unfortunately so many people out there, more over the small business don't really know the importance of keeping the record, that's why sometimes they have hard time filling taxes, and therefore sometimes got penalty, there are many accounting app out there that even someone that don't have much knowledge in accounting could use, even if it's business that directly deal with customers the ins and outs usually already accounted automatically if they used such apps like payment apps, so I don't think there's any reason to not keep the records of the business. moreover this data might also helps for finding potential investors for expanding the business.

[Ryu_Ar1]

I completely agree with the importance of maintaining records of every type of businesses, regardless of its size or scale. By tracking record of transactions, it becomes possible to get insights of business operations, identify the areas where improvement is needed for efficiency, and make informed decisions about making investments. In summary, financial records are essential tool for any business owner to manage finances effectively.

Actually, if you look further, this is a basic thing that must be owned.
Regardless of any expenses and income in the business, it is clear that there must be a record because the benefits of it are clearly very much.
Apart from us not messing around in daily, weekly or monthly reports on the other hand this is also to see the progress of the business we are running whether it is developing or not.

We certainly have to know and manage this well because even though things like this look trivial, this will actually have a very big impact and the risk if we don't do something like this is quite clear, apart from us being confused we also won't know about the progress of what we are doing.

I agree with you, no matter how big or small money we manage in business or no matter how small the business we do, having financial records is the main thing to do for a business person if he wants to grow in his business, and indeed it has many the benefits that we get if we have financial records.
I don't think so, financial records are not only for business people, financial records are important for anyone, both businessmen, students, workers and even housewives to monitor financial flows, and with that we will have awareness of the money control we have every day, week, month, and yearly.

In this case, financial recording is clearly still one of the things that must be done to manage finances properly because regardless of anything, what you say is true because no matter who is a businessman or whatever, things like this still need to be done. But when we are based on business as the initial context, we only have to follow this flow so as not to widen.

Currently I still continue to do things like that because indeed by recording finances like this, I realize that apart from knowing my current financial condition, on the other hand we also realize that this can affect the efficiency of using money which of course with that we can immediately think of several options for the next plan, especially in making decisions whether this will be good or not in the future.
Even though something like this is trivial, the impact is really huge.

[og kush420]

I completely agree with the importance of maintaining records of every type of businesses, regardless of its size or scale. By tracking record of transactions, it becomes possible to get insights of business operations, identify the areas where improvement is needed for efficiency, and make informed decisions about making investments. In summary, financial records are essential tool for any business owner to manage finances effectively.

Actually, if you look further, this is a basic thing that must be owned.
Regardless of any expenses and income in the business, it is clear that there must be a record because the benefits of it are clearly very much.
Apart from us not messing around in daily, weekly or monthly reports on the other hand this is also to see the progress of the business we are running whether it is developing or not.

We certainly have to know and manage this well because even though things like this look trivial, this will actually have a very big impact and the risk if we don't do something like this is quite clear, apart from us being confused we also won't know about the progress of what we are doing.

I agree with you, no matter how big or small money we manage in business or no matter how small the business we do, having financial records is the main thing to do for a business person if he wants to grow in his business, and indeed it has many the benefits that we get if we have financial records.
I don't think so, financial records are not only for business people, financial records are important for anyone, both businessmen, students, workers and even housewives to monitor financial flows, and with that we will have awareness of the money control we have every day, week, month, and yearly.

In this case, financial recording is clearly still one of the things that must be done to manage finances properly because regardless of anything, what you say is true because no matter who is a businessman or whatever, things like this still need to be done. But when we are based on business as the initial context, we only have to follow this flow so as not to widen.
that is correct and one should have the record being written in whatevery way they right as you mentioned about studets - so they should have it written in their diary how they are spending their pocket money - I encourage my kids to do it by bring good stationary and giving them gift when they do good and save some money in the previous month

Currently I still continue to do things like that because indeed by recording finances like this, I realize that apart from knowing my current financial condition, on the other hand we also realize that this can affect the efficiency of using money which of course with that we can immediately think of several options for the next plan, especially in making decisions whether this will be good or not in the future.
Even though something like this is trivial, the impact is really huge.

that is correct and one should have the record being written in whatever way they right as you mentioned about students - so they should have it written in their diary how they are spending their pocket money - I encourage my kids to do it by bring good stationary and giving them gift when they do good and save some money in the previous month

[Cryptock]

I completely agree with the importance of maintaining records of every type of businesses, regardless of its size or scale. By tracking record of transactions, it becomes possible to get insights of business operations, identify the areas where improvement is needed for efficiency, and make informed decisions about making investments. In summary, financial records are essential tool for any business owner to manage finances effectively.

Actually, if you look further, this is a basic thing that must be owned.
Regardless of any expenses and income in the business, it is clear that there must be a record because the benefits of it are clearly very much.
Apart from us not messing around in daily, weekly or monthly reports on the other hand this is also to see the progress of the business we are running whether it is developing or not.

We certainly have to know and manage this well because even though things like this look trivial, this will actually have a very big impact and the risk if we don't do something like this is quite clear, apart from us being confused we also won't know about the progress of what we are doing.

that is correct - we must keep track no matter what
It is a good practice to keep record of your finances - once it is a routine - things are in better shape and form

[Theones]

This actually should be common sense, keeping record of business helps massively, but unfortunately so many people out there, more over the small business don't really know the importance of keeping the record, that's why sometimes they have hard time filling taxes, and therefore sometimes got penalty, there are many accounting app out there that even someone that don't have much knowledge in accounting could use, even if it's business that directly deal with customers the ins and outs usually already accounted automatically if they used such apps like payment apps, so I don't think there's any reason to not keep the records of the business. moreover this data might also helps for finding potential investors for expanding the business.

that is very true - for a person like its very hard to keep writing all the record despite of the fact how much I try to make it a routine.
but now I have accepeted the way I am - the only thing I can do is to keep record online by sending watsapp mesg to myself.

[xSkylarx]

This actually should be common sense, keeping record of business helps massively, but unfortunately so many people out there, more over the small business don't really know the importance of keeping the record, that's why sometimes they have hard time filling taxes, and therefore sometimes got penalty, there are many accounting app out there that even someone that don't have much knowledge in accounting could use, even if it's business that directly deal with customers the ins and outs usually already accounted automatically if they used such apps like payment apps, so I don't think there's any reason to not keep the records of the business. moreover this data might also helps for finding potential investors for expanding the business.

The only solution really is for those people who really don't know or have no knowledge of it to invest in POS mostly in stores because they don't have to do the dirty work as they only check the dashboard and see the summary of all that is why here in our country, even though we are in a third-world country, the government is pushing everyone into digitalization because the tax department realizes that there are some stores that really don't have a track record of their businesses, as well as other businesses that are declaring only small value, which is why they only pay small taxes.

[Desmong]

This actually should be common sense, keeping record of business helps massively, but unfortunately so many people out there, more over the small business don't really know the importance of keeping the record, that's why sometimes they have hard time filling taxes, and therefore sometimes got penalty, there are many accounting app out there that even someone that don't have much knowledge in accounting could use, even if it's business that directly deal with customers the ins and outs usually already accounted automatically if they used such apps like payment apps, so I don't think there's any reason to not keep the records of the business. moreover this data might also helps for finding potential investors for expanding the business.

that is very true - for a person like its very hard to keep writing all the record despite of the fact how much I try to make it a routine.
but now I have accepeted the way I am - the only thing I can do is to keep record online by sending watsapp mesg to myself.

it is very obvious that financial record had save a lots of persons fr debt that is why we need to know what we are doing so that we are not going to miss out big from all those record we are keeping. Financial record can make us make a lots of money from the market if we are the type that keep to what we know and have strategies of making money.

[Lanatsa]

This actually should be common sense, keeping record of business helps massively, but unfortunately so many people out there, more over the small business don't really know the importance of keeping the record, that's why sometimes they have hard time filling taxes, and therefore sometimes got penalty, there are many accounting app out there that even someone that don't have much knowledge in accounting could use, even if it's business that directly deal with customers the ins and outs usually already accounted automatically if they used such apps like payment apps, so I don't think there's any reason to not keep the records of the business. moreover this data might also helps for finding potential investors for expanding the business.

that is very true - for a person like its very hard to keep writing all the record despite of the fact how much I try to make it a routine.
but now I have accepeted the way I am - the only thing I can do is to keep record online by sending watsapp mesg to myself.

it is very obvious that financial record had save a lots of persons fr debt that is why we need to know what we are doing so that we are not going to miss out big from all those record we are keeping. Financial record can make us make a lots of money from the market if we are the type that keep to what we know and have strategies of making money.

Having financial record or saving up those incoming or outgoing flow of money would really be always that recommended for whatever business you are dealing with. You cant really just make one and wont bothered

on having one just because you are that confident that you are making money which might result into that kind of confidence which might lead to negative income or profit which is something that it is really that bad for the business. Having those tracks could give out the idea on which part you are really that spending the most, to maximize profitability then it would be normal that you would really be needing to cut off some expenses or spendings on which you could possibly see to make things more way better.

This is why its really that recommendable to have a record because if not, then you would lost off track if there's something wrong. On the time that you would be having questions on where expenses do go
or too much spending and if you dont have some tracks or records then there's no way on finding out on which it would really be bad for the business if it would continue.

[Cryptock]

This actually should be common sense, keeping record of business helps massively, but unfortunately so many people out there, more over the small business don't really know the importance of keeping the record, that's why sometimes they have hard time filling taxes, and therefore sometimes got penalty, there are many accounting app out there that even someone that don't have much knowledge in accounting could use, even if it's business that directly deal with customers the ins and outs usually already accounted automatically if they used such apps like payment apps, so I don't think there's any reason to not keep the records of the business. moreover this data might also helps for finding potential investors for expanding the business.

that is very true - for a person like its very hard to keep writing all the record despite of the fact how much I try to make it a routine.
but now I have accepeted the way I am - the only thing I can do is to keep record online by sending watsapp mesg to myself.

it is very obvious that financial record had save a lots of persons fr debt that is why we need to know what we are doing so that we are not going to miss out big from all those record we are keeping. Financial record can make us make a lots of money from the market if we are the type that keep to what we know and have strategies of making money.

Having financial record or saving up those incoming or outgoing flow of money would really be always that recommended for whatever business you are dealing with. You cant really just make one and wont bothered

on having one just because you are that confident that you are making money which might result into that kind of confidence which might lead to negative income or profit which is something that it is really that bad for the business. Having those tracks could give out the idea on which part you are really that spending the most, to maximize profitability then it would be normal that you would really be needing to cut off some expenses or spendings on which you could possibly see to make things more way better.

This is why its really that recommendable to have a record because if not, then you would lost off track if there's something wrong. On the time that you would be having questions on where expenses do go
or too much spending and if you dont have some tracks or records then there's no way on finding out on which it would really be bad for the business if it would continue.

keeping a track of financial record is surly very important.
For those who do not do that - might be lazy and indifferent people and does not know how to manage their funds. Like I always suffer losses in. business - those who do not keep track of finances also suffer

[shinratensei_]

For those who do not do that - might be lazy and indifferent people and does not know how to manage their funds. Like I always suffer losses in. business - those who do not keep track of finances also suffer

keeping records of financial, shows the discipline of one, I could be sure that everyone who always know to keep records of their financial gain will always have better discipline in spending them carefully without any worry of overspending.
they always know their spending capability which didn't disturb their overall business, unlike one that usually didn't even record their gain, they gonna face some difficulties in the future because they don't feel like recording their finance.
there has been many cases of someone trying the hard way recalling all their financial gains when they need the data.

[Theones]

For those who do not do that - might be lazy and indifferent people and does not know how to manage their funds. Like I always suffer losses in. business - those who do not keep track of finances also suffer

keeping records of financial, shows the discipline of one, I could be sure that everyone who always know to keep records of their financial gain will always have better discipline in spending them carefully without any worry of overspending.
they always know their spending capability which didn't disturb their overall business, unlike one that usually didn't even record their gain, they gonna face some difficulties in the future because they don't feel like recording their finance.
there has been many cases of someone trying the hard way recalling all their financial gains when they need the data.

That is very right where you have mentioned everyone knows how to do it

[og kush420]

This actually should be common sense, keeping record of business helps massively, but unfortunately so many people out there, more over the small business don't really know the importance of keeping the record, that's why sometimes they have hard time filling taxes, and therefore sometimes got penalty, there are many accounting app out there that even someone that don't have much knowledge in accounting could use, even if it's business that directly deal with customers the ins and outs usually already accounted automatically if they used such apps like payment apps, so I don't think there's any reason to not keep the records of the business. moreover this data might also helps for finding potential investors for expanding the business.

that is very true - for a person like its very hard to keep writing all the record despite of the fact how much I try to make it a routine.
but now I have accepeted the way I am - the only thing I can do is to keep record online by sending watsapp mesg to myself.

it is very obvious that financial record had save a lots of persons fr debt that is why we need to know what we are doing so that we are not going to miss out big from all those record we are keeping. Financial record can make us make a lots of money from the market if we are the type that keep to what we know and have strategies of making money.

Having financial record or saving up those incoming or outgoing flow of money would really be always that recommended for whatever business you are dealing with. You cant really just make one and wont bothered

on having one just because you are that confident that you are making money which might result into that kind of confidence which might lead to negative income or profit which is something that it is really that bad for the business. Having those tracks could give out the idea on which part you are really that spending the most, to maximize profitability then it would be normal that you would really be needing to cut off some expenses or spendings on which you could possibly see to make things more way better.

This is why its really that recommendable to have a record because if not, then you would lost off track if there's something wrong. On the time that you would be having questions on where expenses do go
or too much spending and if you dont have some tracks or records then there's no way on finding out on which it would really be bad for the business if it would continue.

Valid point stated - there are many important points one needs to consider - finances is one such point.
also if one has difficulty doing that - they should make a specific goal and should be very particular in achieving it

[Cryptock]

For those who do not do that - might be lazy and indifferent people and does not know how to manage their funds. Like I always suffer losses in. business - those who do not keep track of finances also suffer

keeping records of financial, shows the discipline of one, I could be sure that everyone who always know to keep records of their financial gain will always have better discipline in spending them carefully without any worry of overspending.
they always know their spending capability which didn't disturb their overall business, unlike one that usually didn't even record their gain, they gonna face some difficulties in the future because they don't feel like recording their finance.
there has been many cases of someone trying the hard way recalling all their financial gains when they need the data.

Keeping the record of the finances is a good thing. And it's very important to have it written.
but if you are not good at managing and updating the finances then its surely a difficult situation

[Mario Yamasaki]

If we want to make our business grow then one of the most important things is to have a financial record, many people just do business and never know whether profit or loss, what happens is they have a lot of debt because the business is not in accordance with the plans and targets set.

[xSkylarx]

For those who do not do that - might be lazy and indifferent people and does not know how to manage their funds. Like I always suffer losses in. business - those who do not keep track of finances also suffer

keeping records of financial, shows the discipline of one, I could be sure that everyone who always know to keep records of their financial gain will always have better discipline in spending them carefully without any worry of overspending.
they always know their spending capability which didn't disturb their overall business, unlike one that usually didn't even record their gain, they gonna face some difficulties in the future because they don't feel like recording their finance.
there has been many cases of someone trying the hard way recalling all their financial gains when they need the data.

Keeping the record of the finances is a good thing. And it's very important to have it written.
but if you are not good at managing and updating the finances then its surely a difficult situation

There are a lot of apps for smart phones right now that can easily track the expenses or profit in your business, unlike before, when it was a traditional one like a log book and it was written, but right now we do have a lot of choices, even there are POS. I also couldn't bear if the business has no records, like how he will file for tax and how they know if the business is running well or not, as you put up a business to have profit, not to lose all of your money.

[YUriy1991]

There are a lot of apps for smart phones right now that can easily track the expenses or profit in your business, unlike before, when it was a traditional one like a log book and it was written, but right now we do have a lot of choices, even there are POS. I also couldn't bear if the business has no records, like how he will file for tax and how they know if the business is running well or not, as you put up a business to have profit, not to lose all of your money.

Yes. Apps for smartphones Nice and helpful option too. I myself, in terms of business records, only use Microsoft Excel, I think I am very good at managing, analyzing and presenting data in tabular form and if I am more careful I use a public accountant to calculate a balance sheet and back it up by recording using a good table, transaction records. daily per item so that the accountant can easily audit it. Yes. As you say "Set up a business to make a profit, not to lose all your money" and that's the typical end story.

[naikturun]

I agree about keeping records regardless of how big or small your business is. Let's just look at that perspective that huge corporations have their financial statements being record which includes the accounts payable and receivables and even their debt.

As a small business guy, it's important to track and record your expenses and profits for you to determine on how much you should be able to deduct and be after all of it to take your profit.

Plus, it's important to have always a back up when you're starting out your business. It could be a fund or another business to support it until you think that it's not longer sustainable even if some support from your other source.

Absolutely, keeping accurate financial records is crucial for small businesses. It allows you to track your expenses, monitor your profits, and make informed decisions about the financial health and future of your business

[Cryptock]

I agree about keeping records regardless of how big or small your business is. Let's just look at that perspective that huge corporations have their financial statements being record which includes the accounts payable and receivables and even their debt.

As a small business guy, it's important to track and record your expenses and profits for you to determine on how much you should be able to deduct and be after all of it to take your profit.

Plus, it's important to have always a back up when you're starting out your business. It could be a fund or another business to support it until you think that it's not longer sustainable even if some support from your other source.

Absolutely, keeping accurate financial records is crucial for small businesses. It allows you to track your expenses, monitor your profits, and make informed decisions about the financial health and future of your business

but some people are so good at it and they are successful
The only thing is consistency and honesty

[Alpha Marine]

the government is pushing everyone into digitalization because the tax department realizes that there are some stores that really don't have a track record of their businesses, as well as other businesses that are declaring only small value, which is why they only pay small taxes.

The tax issue is going to be a big issue for government of  third world countries because a lot of these businesses are not documented. A business can operate for years and the government won't even know a business like that exists because it was not registered anywhere. There may be different local forms of payment but these monies don't go into the coffer of the government , they just end up in the pockets of those that receive the payment.
This is due to a lack of a working system, so things are not run accordingly.
There is also the fact that the people don't trust the government, so they find it hard to pay their taxes.  The government provides nothing for them.Not roads, electricity, water, security, so why should they willingly pay their taxes when they provide even the things the government should provide for them by themselves

[og kush420]

the government is pushing everyone into digitalization because the tax department realizes that there are some stores that really don't have a track record of their businesses, as well as other businesses that are declaring only small value, which is why they only pay small taxes.

The tax issue is going to be a big issue for government of  third world countries because a lot of these businesses are not documented. A business can operate for years and the government won't even know a business like that exists because it was not registered anywhere. There may be different local forms of payment but these monies don't go into the coffer of the government , they just end up in the pockets of those that receive the payment.
This is due to a lack of a working system, so things are not run accordingly.
There is also the fact that the people don't trust the government, so they find it hard to pay their taxes.  The government provides nothing for them.Not roads, electricity, water, security, so why should they willingly pay their taxes when they provide even the things the government should provide for them by themselves

that is correct - if you find the right person and you get your tax return done the right way.
Than you are the lucky person to have done the work done in the right way.

[xSkylarx]

There are a lot of apps for smart phones right now that can easily track the expenses or profit in your business, unlike before, when it was a traditional one like a log book and it was written, but right now we do have a lot of choices, even there are POS. I also couldn't bear if the business has no records, like how he will file for tax and how they know if the business is running well or not, as you put up a business to have profit, not to lose all of your money.

Yes. Apps for smartphones Nice and helpful option too. I myself, in terms of business records, only use Microsoft Excel, I think I am very good at managing, analyzing and presenting data in tabular form and if I am more careful I use a public accountant to calculate a balance sheet and back it up by recording using a good table, transaction records. daily per item so that the accountant can easily audit it. Yes. As you say "Set up a business to make a profit, not to lose all your money" and that's the typical end story.

Yes, Excel or Google Sheets have been mostly used by business owners, and it is really easy to manage our finances. This is still like the old traditional log book, which is just an online document that you can edit through your phone or laptop. No matter what you use, as long as you've been recording it in an efficient way so that you can see the data and results of it, it's good. Anything will work as long as you are not lazy about writing it out.

[Gozie51]

Long story short, I educated him on how to keep financial records and record every single penny that comes in and goes out of his business. I also made him understand how this can help him cut losses and make more profit.

The things you pointed out are not peculiar to your friend alone in such small scale businesses. Most owners of such businesses don't see it as something that they can turn into a big business venture but they only see it as an end in itself, like a means to only feed, go with the girls and to sustain just immediate hunger and funfair.

They don't see it as a business that they can bestow to heirs and for that one of the challenges to it is they don't believe they have a future in the business. They don't see it as SME and they don't think about the future but to consider it as a time to hold on to pending when bigger employment job will come then they will fold it up and abandon it thereby killing the circle of SME growth that are suppose to be a good engineering to the economy.

Such barbing saloon business is suppose to be handled properly because they are part of small businesses and the government is interested in them. A more wiser business person on it can write proposals to government and may get access to loan for expansion and advertise the business online then you see more customers.

The buttom line is your friend is not seeing what he has found his hand to be doing as a business, he doesn't consider a future with it but looking for a white collar job.

[xSkylarx]

the government is pushing everyone into digitalization because the tax department realizes that there are some stores that really don't have a track record of their businesses, as well as other businesses that are declaring only small value, which is why they only pay small taxes.

The tax issue is going to be a big issue for government of  third world countries because a lot of these businesses are not documented. A business can operate for years and the government won't even know a business like that exists because it was not registered anywhere. There may be different local forms of payment but these monies don't go into the coffer of the government , they just end up in the pockets of those that receive the payment.
This is due to a lack of a working system, so things are not run accordingly.
There is also the fact that the people don't trust the government, so they find it hard to pay their taxes.  The government provides nothing for them.Not roads, electricity, water, security, so why should they willingly pay their taxes when they provide even the things the government should provide for them by themselves

Though right now the government is very strict and unlike before, you can have a business without a permit as the government doesn't really check on it, right now it is very difficult as they are now checking all of the establishments 1 by 1 to know if they have permits, which is why there is a constant increase in the number of people who are paying taxes. Also, right now the government is going into digitalization as it is easily manipulated if you are just writing your annual income, which you will write small on it so that you'll pay less tax.

[MiF]

Yeah we need to always have a record to know if we got profit from our business or not, we need to record everything not just financial record but every little thing record is very important in doing business we can look at the record and make a future plan to earn or to make  the business more good.

[smile1218]

It is very important to keep the financial record in whatever business you own. Financial records can provide us the informations for tax reporting. Those financial records are needed in complying to the Bureau of Internal Revenue, here in our country those financial records should be kept for 5-10 years for future audit of the Bureau if they had requested the company to show it off for questioning and clarifications versus the declared taxes submitted to them. The financial record could help us also track the income, expenses and other financial activities of the company.

[YinShuiSiYuan]

It is very important to keep the financial record in whatever business you own. Financial records can provide us the informations for tax reporting. Those financial records are needed in complying to the Bureau of Internal Revenue, here in our country those financial records should be kept for 5-10 years for future audit of the Bureau if they had requested the company to show it off for questioning and clarifications versus the declared taxes submitted to them. The financial record could help us also track the income, expenses and other financial activities of the company.

Keeping financial records is important for normal life too as it keeps check on your earnings and spending and you know where you stand by the end of month.
In business obviously its compulsory to have financial records to calculate profits and losses and to adjust income statements.

[19Nov16]

To make a business profitable and growing, of course, the important thing that a business owner has to do is to know the financial flow, without knowing the financial flow, we don't know whether we are making a profit or a loss, many business people don't care about financial records so what happens is the business flows and it doesn't can be controlled.

[Cryptock]

the government is pushing everyone into digitalization because the tax department realizes that there are some stores that really don't have a track record of their businesses, as well as other businesses that are declaring only small value, which is why they only pay small taxes.

The tax issue is going to be a big issue for government of  third world countries because a lot of these businesses are not documented. A business can operate for years and the government won't even know a business like that exists because it was not registered anywhere. There may be different local forms of payment but these monies don't go into the coffer of the government , they just end up in the pockets of those that receive the payment.
This is due to a lack of a working system, so things are not run accordingly.
There is also the fact that the people don't trust the government, so they find it hard to pay their taxes.  The government provides nothing for them.Not roads, electricity, water, security, so why should they willingly pay their taxes when they provide even the things the government should provide for them by themselves

That is correct - we give away to much money in tax. One should try to find different ways to earn ad much as we could and keep the financial record hand so to keep track of it. one of my friends says that in their religion they must keep written records and that is their religion

[og kush420]

To make a business profitable and growing, of course, the important thing that a business owner has to do is to know the financial flow, without knowing the financial flow, we don't know whether we are making a profit or a loss, many business people don't care about financial records so what happens is the business flows and it doesn't can be controlled.

That is so true. Keep thr records in written and see the magic set the goals and try to acheive the goals as soon as possible. Make it your motto to set the goal and achieve it for this keep the financial in written form.

[sulendra12]

Know the progress of your business: It's through the financial record that you know if your little business is safe or about to go under. If your business is safe your records will also let you know how safe you are. When your records have enlightened you on the future of your business then you can now make a decision based on what the financial records show.

I don't even know why people doesn't even track their record to see if the business goes well or not. What's the purpose of managing a business if they don't even want to manage and keep track of everything, because the stake is really high and it would make you bankrupt if you do nothing about it. Financial records are important so you can decide better actions.

Sure managing your business is difficult and it's not everyone's game but the freedom you can get while doing it is really worth and with the tasks you have to do then it's always a must to prepare everything.

[og kush420]

I think financial records are really needed for entrepreneurs, even non-entrepreneurs are really needed. Because we can easily analyze if there are obstacles or problems in the business world that we live in, so we can easily track down the mistakes we make or control unnecessary expenses.
That way we are more efficient in unnecessary expenses in the future.

Analyzing financial records allows businesses to analyze past performance and project future growth, making informed decisions about investments, expansions, and other strategic initiatives. By tracking income and expenses over time, individuals and businesses can create and stick to budgets.

those who keep their records update are more vigilent than those who are lazy keeping the records track becuase you can forget even after an hour where you spent the money

[MFahad]

Keeping a financial record is good because it will help you determine if the business is successful or not. You doing your income and expenditure daily will give you an insight into how the monthly one will look like and also teach you some practical things you need to do. For instance, cutting down your expenses and saving more.

records of everything should be kept safe because in life if you continue your journey without any planning or records so it will become difficult for you one day to manage your expenses and to make your financial status easier. By keeping record it will be easy for you to minimizes your expenses and to save some amount of money for future use and I think those businessman will be more successful who keep records of each and everything as it provides a smooth way of business.

[southerngentuk]

Keeping financial records is very important in business. It can make it easy for businesses to check for accuracy in financial assessments, ensuring accuracy and eliminating the risk of errors or miscalculations. Know your business's costs and revenues so you can identify unnecessary expenses, reduce waste, and make adjustments to optimize profits. So try to promote understanding of specific financial records needs and concerns. Can provide instruction on basic record-keeping methods, such as simple spreadsheets, notebooks, or mobile apps, that can help entrepreneurs track income and expenses easily.

[og kush420]

If we think that we will continue to grow our business then what we have to do is record a balance sheet, of course we don't have to pay employees who specifically monitor financial flows, but we can do this ourselves with excel or an application on android that we can download for free.

Keeping financial records in written form is a great way to keep the records hand and also if the financial deal is between two people. It is great to deal with written records. Otherwise most of the time the deal end in disaster

[AicecreaME]

Financial record obviously when having a business is a must, so you can track )(1)if the inventory of your sales per day is correct, (2)to track your profits weekly or monthly, (3) to know what to adjust in order to meet your daily expenses in your business.

Actually there's a lot of advantages when you record all your financial things in your business, but for me that's the main reasons why any businessmen or businesswomen do it.

[Cryptock]

Financial record obviously when having a business is a must, so you can track )(1)if the inventory of your sales per day is correct, (2)to track your profits weekly or monthly, (3) to know what to adjust in order to meet your daily expenses in your business.

Actually there's a lot of advantages when you record all your financial things in your business, but for me that's the main reasons why any businessmen or businesswomen do it.

it is a great thing to keep the financial record handy.
once you are used to it, you will be happy and will thank yourself for being able to make this your habit. One of my friends even make a stamp paper of any deal which he does with contractor

[$crypto$]

Keeping a financial record is good because it will help you determine if the business is successful or not. You doing your income and expenditure daily will give you an insight into how the monthly one will look like and also teach you some practical things you need to do. For instance, cutting down your expenses and saving more.

records of everything should be kept safe because in life if you continue your journey without any planning or records so it will become difficult for you one day to manage your expenses and to make your financial status easier. By keeping record it will be easy for you to minimizes your expenses and to save some amount of money for future use and I think those businessman will be more successful who keep records of each and everything as it provides a smooth way of business.

Just look at large companies, they even have special staff to record their finances, this proves that having financial records is very important in running any business, no matter whether the nominal is small or large, it must always be recorded.

Things like this do seem like trivial things, but when we ignore them, they will have a big impact on the business we run. Financial records are one of the determining factors for our business, because from there we can see the progress of our business every month, week or even every day. That way we can continue to evaluate so that our business becomes bigger and more advanced.

Financial management is important, not only in running a business, but it is also very important in our daily lives, so make it a habit for us to continue doing it from the smallest things, such as in the personal or family sphere.

[umbara ardian]

Each country will have different laws, but there is no denying that they are increasingly trying to tighten regulations and requirements for businesses to have the appropriate licenses and permits. So it affects a lot of businesses, especially small or established businesses. Moreover, the fact that they also strongly increase the application of taxes is also one of the big challenges for these businesses because, with more and more advanced technology, the application of digitalization in taxes for easy management is also important. such as tightening the possibility of tax evasion. That's why the government is profitable when more and more new businesses are born.

[doomloop]

If we think that we will continue to grow our business then what we have to do is record a balance sheet, of course we don't have to pay employees who specifically monitor financial flows, but we can do this ourselves with excel or an application on android that we can download for free.

Keeping financial records in written form is a great way to keep the records hand and also if the financial deal is between two people. It is great to deal with written records. Otherwise most of the time the deal end in disaster

By written do you mean having notebooks or registers for entries and financial stats and records? That is a traditional way of keeping records and isn't recommended anymore, we are living in a digital world and it is more easy and convenient to keep your records online or at least on a computer, I would still recommend keeping them online as it has fewer risks of losing the data.

One should use a cloud service or a drive like Google drive to keep their important files and business records so that if something goes wrong with the computer that they are using at work, their data stays safe and they can easily get it back even on another device.

[Cryptock]

If we think that we will continue to grow our business then what we have to do is record a balance sheet, of course we don't have to pay employees who specifically monitor financial flows, but we can do this ourselves with excel or an application on android that we can download for free.

Keeping financial records in written form is a great way to keep the records hand and also if the financial deal is between two people. It is great to deal with written records. Otherwise most of the time the deal end in disaster

By written do you mean having notebooks or registers for entries and financial stats and records? That is a traditional way of keeping records and isn't recommended anymore, we are living in a digital world and it is more easy and convenient to keep your records online or at least on a computer, I would still recommend keeping them online as it has fewer risks of losing the data.

One should use a cloud service or a drive like Google drive to keep their important files and business records so that if something goes wrong with the computer that they are using at work, their data stays safe and they can easily get it back even on another device.

It is good to keep a track of  your financial record in written form. it is obviois that we are going to forget the expense we are going to make.
Also it is great idea to discuss all the financial records in
consideration.

[Patrol69]

Proprietary business always needs to keep a specific account so that at the end of the month you can understand whether your business has made a profit or a loss. Due to not keeping financial accounts of the business, many times the businessman has to face a lot of trouble with these issues. You understand that your business is making a lot of profit, but seeing that you are making a profit, you did not keep any account in your business, but it will be seen at the end of the month or if you calculate annually, you will see that your business is showing a loss even if you make so much profit every day. Even if the business is one's own, every aspect of this business should be accounted for. Because this daily calculation will help you in yearly calculation.

[Smartprofit]

Usually, when the business is at the stage of rapid development, the founders of the company are careless about the issue of maintaining management and financial accounting. 

At this stage of business development, other points are important - the speed of making managerial decisions, healthy aggressiveness, a small close-knit team, informal contacts with employees and contractors. 

However, as the business develops, the situation changes dramatically.  Business stops growing.  The income of the organization / individual entrepreneur ceases to grow.  To maximize profits, balanced management decisions are needed.  The issue of cost optimization becomes relevant. 

At this stage of business development, the preparation of voluminous management and financial statements becomes the main goal of the organization (or entrepreneur).

[Bitcoin2009]

The most difficult thing in business is that in the first 3 years, there is no business that is immediately successful, especially if we are still new and have no experience in the business, patience and of course capital is important so that we can succeed in business.

[Cryptock]

The most difficult thing in business is that in the first 3 years, there is no business that is immediately successful, especially if we are still new and have no experience in the business, patience and of course capital is important so that we can succeed in business.

there are a lots of benifits of keeping the records in written. Firstly it helps track the progress of your income . you wont regret keeping the writte  records because this will be very helpful when you will be return your tax and will process your audits

[Paul Pogba]

As a businessman who has a long -term vision and wants businesses to develop, it is time to record the financial streams that occur, do not fall asleep even if they are profit so that they do not know how much profit is obtained, with good records it can make the business greater.

[bettercrypto]

The advice you gave your friend is good. Having a record breakdown in a business is really important. So we can see the incoming income and outgoing expenses. This is where you will know immediately what you should do if you are the one managing a business.

And it's also right to have lists of things that should and should not be bought, especially for business and personal things, maybe because later on we don't realize that what we earn in business is being moved and spent on things that don't make sense. or significance instead of being saved as savings for the future.

[og kush420]

If we think that we will continue to grow our business then what we have to do is record a balance sheet, of course we don't have to pay employees who specifically monitor financial flows, but we can do this ourselves with excel or an application on android that we can download for free.

Keeping financial records in written form is a great way to keep the records hand and also if the financial deal is between two people. It is great to deal with written records. Otherwise most of the time the deal end in disaster

By written do you mean having notebooks or registers for entries and financial stats and records? That is a traditional way of keeping records and isn't recommended anymore, we are living in a digital world and it is more easy and convenient to keep your records online or at least on a computer, I would still recommend keeping them online as it has fewer risks of losing the data.

One should use a cloud service or a drive like Google drive to keep their important files and business records so that if something goes wrong with the computer that they are using at work, their data stays safe and they can easily get it back even on another device.

some people are not good in keeping an icloud record. One should keep the records in their own ways. I have even seen people keeping a record on note book.

[og kush420]

If we think that we will continue to grow our business then what we have to do is record a balance sheet, of course we don't have to pay employees who specifically monitor financial flows, but we can do this ourselves with excel or an application on android that we can download for free.

Keeping financial records in written form is a great way to keep the records hand and also if the financial deal is between two people. It is great to deal with written records. Otherwise most of the time the deal end in disaster

By written do you mean having notebooks or registers for entries and financial stats and records? That is a traditional way of keeping records and isn't recommended anymore, we are living in a digital world and it is more easy and convenient to keep your records online or at least on a computer, I would still recommend keeping them online as it has fewer risks of losing the data.

One should use a cloud service or a drive like Google drive to keep their important files and business records so that if something goes wrong with the computer that they are using at work, their data stays safe and they can easily get it back even on another device.

keeping the financial record in written form is great way.
It will help you in audit and to track the record

[Fortify]

I had this barber friend in a neighboring hood I lived a few years ago who is a very good barber and has his own barbershop. He does home service from time to time too. He’s really good so he has a lot of customers but at the end of the month he always struggles to pay the rent of his shop. I spent most of my free time with him at his shop so I know the number of customers that walk in for a haircut daily and I know what his rates are, so by calculations, he should be making enough money even after rent and other expenses required to run the shop. So one day when he complains about rent I asked him how much he makes in a week and he couldn't tell me an estimated number.
Long story short, I educated him on how to keep financial records and record every single penny that comes in and goes out of his business. I also made him understand how this can help him cut losses and make more profit.

It seems a bit weird that you had to educate this person on financial records, when it is pretty much demanded by the tax authorities in every country to have proper accounting. Otherwise you end up in a grey area which can easily be misconstrued as you trying to avoid taxes or even worse - money laundering offenses. If this person had been around for at least a couple years they should have been paying taxes and to do that, you need to know your incomings and outgoings. With that in mind, some people pay accountants to deal with the nitty gritty details, especially if they're in fields where they make a lot of money or once the company starts to expand but it is necessary to know these basics things to determine if you're making any sort of profit.

[og kush420]

I had this barber friend in a neighboring hood I lived a few years ago who is a very good barber and has his own barbershop. He does home service from time to time too. He’s really good so he has a lot of customers but at the end of the month he always struggles to pay the rent of his shop. I spent most of my free time with him at his shop so I know the number of customers that walk in for a haircut daily and I know what his rates are, so by calculations, he should be making enough money even after rent and other expenses required to run the shop. So one day when he complains about rent I asked him how much he makes in a week and he couldn't tell me an estimated number.
Long story short, I educated him on how to keep financial records and record every single penny that comes in and goes out of his business. I also made him understand how this can help him cut losses and make more profit.

It seems a bit weird that you had to educate this person on financial records, when it is pretty much demanded by the tax authorities in every country to have proper accounting. Otherwise you end up in a grey area which can easily be misconstrued as you trying to avoid taxes or even worse - money laundering offenses. If this person had been around for at least a couple years they should have been paying taxes and to do that, you need to know your incomings and outgoings. With that in mind, some people pay accountants to deal with the nitty gritty details, especially if they're in fields where they make a lot of money or once the company starts to expand but it is necessary to know these basics things to determine if you're making any sort of profit.

some people just earn the money and do not keep the record this damages their business and doesnt know how to deal with finances

[smile1218]

Having a financial record is essential for any business owner because it provides valuable information about the financial health of the company. Keeping financial records can helps with budgeting and forecasting. By keeping track of income and expenses, business owners can create a budget and forecast for future cash flows. Financial records provides insights into the financial performance of the business, allowing owners to make a good decision about investments, expenditures and pricing. Maintaining accurate financial records helps businesses comply with tax laws by providing documentation of income and expenses. Lenders and investors require financial records to evaluate the credit worthiness of a business and determine the terms of financing. In the event of an audit or legal dispute, having accurate financial records can provide evidence to support the business's position. Maintaining financial records is crucial for any business owner who wants to make a decisions, comply with tax laws and secure financing.

[Fiatless]

It seems a bit weird that you had to educate this person on financial records, when it is pretty much demanded by the tax authorities in every country to have proper accounting. Otherwise you end up in a grey area which can easily be misconstrued as you trying to avoid taxes or even worse - money laundering offenses. If this person had been around for at least a couple years they should have been paying taxes and to do that, you need to know your incomings and outgoings. With that in mind, some people pay accountants to deal with the nitty gritty details, especially if they're in fields where they make a lot of money or once the company starts to expand but it is necessary to know these basics things to determine if you're making any sort of profit.

In some countries there are no proper taxation systems. Most citizens of developing nations don't pay tax. Even if they pay it is not properly calculated and corrupt tax officials also use tax collection as opportunities to steal. Like in my country only civil servants and registered businesses are require to file tax statement. So most businesses don't keep records and these businesses don't know their financial standings. 

some people just earn the money and do not keep the record this damages their business and doesnt know how to deal with finances

Illiteracy is another reason why people don't keep records. Some people don't know how to read and write, so it affects their ability to keep records. But one of the solution is to employ a financial records personnel. But small businesses might not be financially strong enough to employ workers. But every business owner should be a prudent spender. You should be able to know your income so that it will determine your expenses. 

[xSkylarx]

It seems a bit weird that you had to educate this person on financial records, when it is pretty much demanded by the tax authorities in every country to have proper accounting. Otherwise you end up in a grey area which can easily be misconstrued as you trying to avoid taxes or even worse - money laundering offenses. If this person had been around for at least a couple years they should have been paying taxes and to do that, you need to know your incomings and outgoings. With that in mind, some people pay accountants to deal with the nitty gritty details, especially if they're in fields where they make a lot of money or once the company starts to expand but it is necessary to know these basics things to determine if you're making any sort of profit.

In some countries there are no proper taxation systems. Most citizens of developing nations don't pay tax. Even if they pay it is not properly calculated and corrupt tax officials also use tax collection as opportunities to steal. Like in my country only civil servants and registered businesses are require to file tax statement. So most businesses don't keep records and these businesses don't know their financial standings. 

It was the opposite for us; it is required to have financial records as you are an illegal business if you don't have them, as this is required before having a permit to operate. That is why it is important, but the problem starts because most of them are handwritten, so they can be cheated, like if you wrote a total of $25k rather than $50k because they are just handwritten, which means they can be easily manipulated, and you really needed to declare it to the tax department so that they can introduce you to how much you are paying monthly or quarterly.

[Litzki1990]

Even if the business is sole proprietorship, every item of that business should be accounted for. I have an uncle who is my age. He owns a clothing business and sometimes I visit his clothing store. But I notice one thing, since the shop is his own, he keeps a note of the products sold in the shop as soon as they are sold. After following this incident regularly for a few days, I suddenly asked him one day, "uncle, is this shop yours? After selling everything, do you note the account of each product in the ledger?" He replied to me that the account was not worth sustaining my shop. Maybe the shop is mine but if I don't keep the product accounts properly I won't know the profit and loss amount which makes it impossible for me to sustain this shop. Then I realized how important accounting is in business.