I will 1st encourage every person to use some accounting computer software to record all cash coming in and going out. This will be how you generate invoices for your buyers. You must always have contact information for your buyers which consists of an e-mail address.
This is the crux of the issue. The crisis, whose indicators had been visible in Could 2008 following the takeover of investment bank Bear Stearns, precipitated into a full blown crisis post September 2008. pundits blamed the M2M guidelines for the exaggerated loses shown by the banks considering that they had to mark-to-industry the assets which had been at an all time low due to the bubble bursting and CDS liability on majority of banks.
telltale, I am not an accountant, but I have a pal who is an accountant. He used to operate for the NZ government. I was shocked when he talked about that accountancy is only about book maintaining. He didn’t remain on the job for long. He left the job and opened up a factory. Now he owns a couple of factories and are happier with what he accomplished.
As an accountant I can recognize why the modest company owner has neither the time or inclination to do the books and therefore delegates the task to a specialist. It’s the high quality of information coming out of this process that can inform a enterprise owner how to make alterations to improve their business and their earnings. For that cause alone it has to be worth an owner investing the time to operate out how to interpret the financials.