Vigilance with Monitoring Cash

Vigilance with monitoring cash is the process of taking ownership of the cash situation in your small business. This entails a good internal control system with accounting, communicating with customers and vendors, and matching cash resources to the appropriate expenditures.

What is Accrual Accounting?

Accrual Accounting

Accrual accounting is the preferred method of accounting for all business operations. Any publicly traded company must comply with the principles of accrual accounting. Small business operations can choose between cash and accrual accounting for their records. Although cash accounting is the easiest to work with as a small business operation, accrual accounting will provide a more accurate picture of the financial status and affairs of any business operation.

Cash Counts

Cash Counts

Just like employees, cash has its problems too. Sometimes it calls in sick. Other times, it shows up late (actually quite often), and for some reason cash isn’t as productive, it doesn’t do as much work as you would like it to do.

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