Why most entrepreneurs fail

 Record keeping is vital in any firm.

Making good judgements when one has complete data,facts and knowledge is not leadership it's bookkeeping.

Book keeping therefore is the recording on day to day basis of the financial transactions and information pertaining to a business.

It concerns with ensuring that records of financial transactions are accurate UpTo date and comprehensive.

   Benefits of record keeping

Prepare your tax returns

Prepare financial statements

Monitoring progress of your business

Identify sources of your income

Keeping track of your basis in property


  Importance of record keeping

Taxation

Legal requirements

Fixing selling price of the product

Net results of the business operations

Accuracy of accounts

Permanent and reliable records

  Books involved in record keeping are

Stock ledger inventory

Creditors who you owe

Sales revenue

Journal

Payments -Expenses

There are some principles which are to be considered when keeping records such as

 Consistency

  Accountability

  Integrity

  Transparency

It's recommended also when doing a record you must have a financial plan which entails details such as planning,doing, reviewing.

Any record keeping system should be accurate reliable easy to follow , consistent as to the basis used and be very simple .

Good record keeping is vital in regards to meeting the financial commitment of the business and providing information on which decision for the future of the business can be based.




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