For many small businesses, the most common bookkeeping errors are also the easiest to fix. Use these 6 tips to help keep your business on sound financial footing.
1. Use the right accounting system. Most businesses use either cash-based or accrual-based accounting. If you use the cash method, you count income when you receive it and expenses when you pay them. Under the accrual method, you count income and expenses when they happen, not when you actually receive or pay them.
