Startup Capital: How Much Do I Need?

The necessary amount of capital required to start a business varies from one venture to the next as far as clean, net dollars are concerned. Each venture is unique unto itself and only you, the business owner and author of the business plan, may have the most accurate grasp of what you’ll need to get off and running. The amount you’ll need will hinge largely upon the scope of your business as you project it within its first year of life. Read More »

Tags: Accountants, Accounting Fees, Budget, Business Owner, Business Person, Business Plan, Coffers, Daily Basis, Expense Plan, First Years, Grasp, Investors, Monies, Obligation, Office Supplies, Receivables, Salaries, Scope, Six Months, Startup Capital

Itemizing Revenue is a Requirement – Fact or Fiction?

As an Accountant, I have more than a few pet peeves, some of which I will talk about from time to time here on our blog.

Today’s pet peeve is the “you must itemize your revenue/income accounts for Uncle Sam”. FICTION!

Let me explain, I am not saying it is a bad idea. As a matter of fact, it is a good idea for managerial purposes (I will tell you why a bit later) but for IRS or Tax Reporting Requirements it is not required.

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Tags: Advertising Revenue, Bad Idea, Business Coach, Business Coaching, Category Type, Gross Revenue, How To Braid Your Hair, Income Accounts, Income Categories, Income Ratio, Irs Tax, Managerial Purposes, Matter Of Fact, Monies, Pet Peeve, Pet Peeves, Subscription Revenue, Tax Returns, Three Books, Uncle Sam

Handling Credit Card Processing Fees (or PayPal Fees) in QuickBooks

There is always that never ending problem, where you just don’t get all of your income

Many merchant accounts (these are the people that permit you to accept credit cards) just take a monthly debit out of your bank account at the end of the month, these are easy to account for, you simply enter a withdrawal in your account register for the amount debited and categorize it as Merchant Processing Fees, which should be a COGS or an Expense (this varies by where you are located and your industry, check with your accountant if you are unsure).

However, what about those merchant accounts that take the percentage before you even get the money, similar to Paypal? This makes it more difficult to track, however, I do have an answer.

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Tags: Accountant, Accounting, Cash Receipts, Chase Paymentech, Checking Account, Checkout, Cogs, Credit Card Processing, Credit Cards, Google, Invoices, Lump Sum Fees, Matter Of Fact, Merchant Account, Merchant Accounts, Monies, Paypal Account, QuickBooks, Three Ways, Worry