In my 17 years of practice as an accountant I have met around 30 or so attorneys. All the interactions were in reference to business issues for my clients. Out of the 30 I have dealt with, I would hire two of them.
Basic business principles are used by almost all business operations from start-up’s to long lived corporations. There are three levels: 1) tenets, universally unbreakable rules; 2) principles, widely used rules but not pure with all industries; 3) standards, sector/industry wide norms used to comply or gauge performance.
Simply stated, accounting is the measurement of economic activity. Its primary principle is to report information to the user so that (s)he can make informed decisions. The primary reporting format is in the form of dollars. There are two important reports used by pretty much 99% of all business operations to determine the status of the business operation. These are the income statement and the balance sheet.
If you read my section on ‘Do I Need a Business Plan’ and followed those steps, you are now ready for the next step in this process. Hopefully two important barriers have been breached in your quest to be the next new business. First, you have answered the most important questions of who am I and is this what I truly want to do.
When an entrepreneur starts a new business operation, one of the first questions (s)he deals with is the form of business existence. There are a multitude of entities that the law allows. This article describes the four main types and the decision making model that an entrepreneur should follow in determining the best for the business.