Business Start Up Considerations Starting a new business is exciting, but in that excitement there are a lot of decisions to be made. Out of all of them, the financial backbone of your business needs to be seriously taken into consideration. A large part of that are the accounting decisions you will need to make. […]
Leverage is defined as theuse of borrowed capital for an investment, expecting the profits made to be greater than the interest payable. Interestingly, its second definition is “ using something to maximum advantage.” Let me give you an example, if I have $100,000 for investment and I buy a house and pay for it outright and […]
GET PROFESSIONAL HELP: You are probably fairly expert at doing whatever it is that you are in business to do whether that is selling, working with your hands, helping others, writing, solving problems, baking pies, recruiting or whatever. There is no way that a business person can know everything they must to conduct their business […]
The rule of 72 is just a mathematical truism. It works like this: divide the interest rate into 72 to determine how long it will take for the principle to double. It works for investments and debts. It also works in reverse. For example, I purchased a house in 1977 and paid $40,000 for it. […]
It is important to keep accurate and complete records of income and expenses for several reasons. When verifying transactions to tax agencies, without accurate records, you will have nothing to substantiate your case. Good record keeping is also important in managing your money and verifying that bills have been paid and accounts properly credited.
Some people say pay yourself first but I say pay your debts, especially your taxes, first. Remember that tax liabilities may follow you into your personal life even if your business is no longer in operation. Keep in mind also that in regards to some taxes you are merely the collection agent. You are entrusted […]
Excelsior Institute’s new blog is here to help entrepreneurs answer the many questions they may have been having during the journey of owning a business! We are so happy to be able to start sharing our knowledge and resources with you! Stay tuned!