Always Have a financial record in whatever business you own

[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

[1714694326]

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[1714694326]

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[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.