Posts by Jessa Varghese
How Long Could Your Business Survive on Cash Reserves?
Most kids have a glass or ceramic piggy bank in which to save up their coins. To a kid, a piggy bank full of coins seems like a lot of money, but in reality, most of them only hold a few dollars. While that might seem like a lot to a kid at the time,…
Read MoreDirect Costs vs Indirect Costs: What’s the Difference?
When determining the price of your products/services, you need to make it low enough that you’re not pricing yourself out of business, but you also want to make sure it’s high enough that you make a profit. The obvious way to do that is to add up all the costs involved in making the product/service,…
Read MoreWhat Is EBITDA and How Can It Measure Your Company’s Financial Performance?
As an employee, finding out how much money you’re making is easy. In fact, your employer’s HR department does it for you. They subtract your taxes and health insurance payments for you, so just one glance at the check will tell you how much will end up in your bank account. Owning your own business…
Read MoreWhat Are KPIs and Why Are They Important to Track?
Ever feel like your accountant is speaking a different language? Every industry comes with its own acronyms and lingo, and the world of accounting is no different. We use different terms to talk about how we’re tracking the financial health of your business, and one of the most important things we look at is your…
Read MoreWhat Is a Fractional CFO?
You probably already know that CFO stands for Chief Financial Officer. It’s a position usually associated with large corporations working in sprawling offices in skyscrapers. But what if you own a small business that can’t afford the high salary of a CFO, but you still need the services and expertise of a CFO? That’s where…
Read MoreDoes My Business Need a Savings Account?
As individuals, we are often told having a savings account and contributing to it regularly is part of being smart about money. But business owners are not always told about the benefits of having a savings account for their business. As with personal savings accounts, there are pros and cons to having a savings account…
Read MoreRevenue vs Profit: What’s the Difference and Why Does It Matter?
Every business needs to know how much money it’s bringing in, but if you’ve ever told someone how much your business makes, you’ve probably heard this question: Is that revenue or profit? Some people will say gross revenue, but the meaning is essentially the same. High revenues are always impressive, but if your expenses are…
Read More5 Tips for Managing Your Small Business Finances
Managing your finances is one of the most important things you can do as a business owner. After all, you’re in business to make money, so why wouldn’t you want to make sure you’re making the most of that money? Unfortunately, a lot of small business owners don’t think beyond paying their bills and making…
Read MoreUnderstand the Accounting Cycle to Understand Your Business
It would be nice if keeping track of your business’ financials was as easy as invoicing a client and collecting the money for that invoice, but the truth is there’s much more to it than that. In reality, each transaction for your business goes through an eight-step cycle. I know that sounds like a lot,…
Read MoreManaging and Tracking Small Business Cashflow
Managing and tracking your cashflow might not be the most exciting part of your business, but it is of the utmost importance if you want to keep your business running smoothly. Cashflow is the lifeblood of any business, and it is especially crucial for small businesses. Without proper management and tracking of cashflow, you risk…
Read More