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What Type of Bookkeeping is Best for Business?

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Regardless of industry or number of employees, every business requires bookkeeping in some capacity. Larger businesses might employ one, two or even more full time bookkeepers, while smaller businesses may hire a part-timer to review the books once a month. No matter the business, it’s important that owners and managers understand that there is no “one-size-fits-all” approach to bookkeeping.

While cost is always a dominant factor when choosing the bookkeeping process for a business, it is not the only one to consider – after all, businesses should not bank on a bargain when it comes to the person in charge of overseeing their finances. To better understand the different “types” of bookkeeping, here are three categories to consider:

1. Traditional bookkeeper

Whether your business is small or large, you’ll need to hire an experienced bookkeeper with a formal education and accreditations. Specifically, the bookkeeper should have substantial experience in business accounting, preferably in your particular industry. This way, you can rely on their previous learnings, which will allow for a shorter onboarding period.

It’s important to consider the role a bookkeeper will play in relation to your business’s Certified Public Accountant (CPA). Typically, bookkeepers are in charge of processing an organization’s financial transactions and documents, including purchases, receipts, sales and payments. Those transactions are recorded in a ledger or journal. In addition to the daily ledger, most businesses use software, (think QuickBooks or Sage), to keep track of entries, debits and credits. Keeping two separate recordings, one manual and one virtual, results in a trial balance with a final total of debits and credits that match. The ideal bookkeeper, particularly those who are certified, will classify and summarize financial information into financial reports, balance sheets, income statements and cash flow statements.

A CPA’s priority should be analyzing business processes and reporting, and providing advice to the business owner, especially for complex tax filing concerns. While a bookkeeper handles the businesses’ day-to-day transactions, the CPA will review and analyze the financials at specified times throughout the year. To ensure cohesion and integrity of the business’s finances, it is critical that the bookkeeper and CPA work as parts of a system.

2. Advanced bookkeeping technology

All businesses should implement some level of technology into the accounting workflow to lessen their financial and administrative burden. When considering advanced bookkeeping technologies, businesses must ensure that the technology works harmoniously across the board, while solving for particularly tedious tasks within the workflow.

For example, one of the more time-consuming, monotonous tasks in the average accounting workflow is data entry. From invoices to expense receipts, businesses are flooded with excessive yet necessary documents on a daily basis. For more streamlined and efficient data entry, businesses should employ expense tracking and management technology. Proper expense tracking ensures that employees are getting reimbursed for their expenses on the job while maximizing tax deductions and protecting the business in case of an audit.

To ensure the business’s expense management technology seamlessly plugs into their existing accounting workflow, owners and managers should be on the lookout for three features:

1. Mobile capture: Bulky scanners are office gadgets of the past. In today’s business world, mobile apps and software can turn your smartphone camera into a mobile scanner, allowing business owners and employees to simply snap a photo to extract data points, like totals, dates and vendor names, and import them into the proper location.

2. Integrate with advanced accounting software: Proper “locations” are often powerful accounting software, like QuickBooks or Sage. Through integration with the accounting software, the data entry process is not only streamlined, but ensures the correct information is being put into the correct data field.

3. Cloud Capabilities: In today’s increasingly-connected world, business owners and employees need access to their most important business documents at all times, so it’s important that their expense management systems are connected to the cloud. In addition to ease of access, the cloud promotes a collaborative work environment and allows coworkers to always be on the same page.

While most businesses use some combination of advanced technology and a traditional bookkeeper, those that are looking for a completely hands-off (and expensive) approach should consider a virtual bookkeeper.

3. Virtual bookkeeper

With the ubiquity of cloud technology and the popular practice of remote collaboration, some businesses are employing new virtual bookkeeping services. Virtual bookkeepers stand in as an entire outsourced accounting department for a business. With a team of bookkeepers, businesses have a unique system of checks and balances giving the owner peace of mind.  While they may lose the personal approach of a single bookkeeper, they can rely on availability and speed with multiple bookkeepers available at a moment’s notice.

When deciding what kind of bookkeeper will work best, it’s important for businesses to realize that advanced technology can supplement (or even replace) certain aspects of the bookkeeping workflow. While a full-time bookkeeper can certainly manage the entire process, businesses that implement certain software can eliminate tedious steps of the process, saving time and money. By allowing technology to solve for menial tasks, business owners may be able to move to a part-time bookkeeper or even take over the role themselves.

Each option comes with pros and cons, and it is determining the best fit for each individual business that is paramount.   Business owners and managers should keep their bookkeeping process current; both to the market and their businesses’ ever-changing requirements. There is always room for improvement, so constant evaluation and tweaking of workflows to ensure an efficient bookkeeping process, and ultimately, a better return on investment, should always be employed.

Jen Cohen Crompton

Jen Cohen Crompton, entrepreneur-in-residence at The Neat Company, has extensive experience with small businesses, including founding her own business, Something Creative, in 2008. Since joining The Neat Company, Crompton has worked as an ambassador to small-business owners and managers by offering thought-provoking insights into how they can work smarter. Follow The Neat Company on Twitter to learn more.

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How To Attract Millennials To Your City

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Location matters in the means of professional success. Millennials are reported to be getting married and starting families later than their parents. This means that their main focus is strictly on their professional career, so these matters are taken seriously, as they involve these factors into determining where to live. Millennials select cities that will help them thrive. This goes vice versa, cities need to attract people in order to be sustainable. The city of Camden has been successful with this process. With the increase of millennial entrepreneurs entering the city, the better the economy gets, as it is shown around the waterfront.

To create more jobs and attraction, cities must attract the job-seeking millennials. There are 3 determinants for millennials to move into your city:

Affordability

Someone who is financially responsible will always consider the cost of living foremost. Cities that contain a high population of millennials often have low employment rates and affordability. If the city is popular but does not meet within millennial’s budget, then it wouldn’t be worth the cost. Money is the only physical asset that holds us restricted. The city of Camden holds that title of affordability. Tax cuts are what attracts entrepreneurs mainly, however the overall value of the stay is well worth it. Camden is located outside of Philadelphia, just close enough to go into their city to network without paying Philadelphia’s cost of living.

Entrepreneurship

Millennials are an ambitious generation. A reporting claimed that 54% have either wanted to start a business or have started one already. This characterized millennials as hard-working and motivated individuals. A location that showcases trails of entrepreneurship deliver a desirable reality to people. Silicon Valley embodies this example, as it is the most known startup hub for technology companies in America. Famous companies like Apple, Facebook, and Google are in that area, so the status of Silicon Valley is held at a high standard.

Another location that is maintaining that status is Camden. Due to Camden’s location outside of Philadelphia and surrounding fortune 500 companies, millennial entrepreneurs are inspired to bring their startup here. There are multiple different types of organizations located here with 76ers as one.

Accessibility

Millennials are attracted to cities that cater to their needs. About 66% of Millennials identified  decent quality transportation as a main influence to choosing a location to live. People typically pick the option that meets their social needs. To obtain that, a low cost transit is ideally looked for in a city. Cities with an ineffective quality transit fail to attract Millennials. 

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How Millennials Are Changing The Workplace

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Millennials are reshaping the traditional corporate structure. With new CEOs entering the workforce, more companies have been adapting new tactics for managing, motivating, and improving. Millennial entrepreneurs have set the new standards to doing business, focusing on collaboration and efficiency. Soon by 2025, millennials will accommodate 75% of the workforce. This will replace the baby boomers, who have been recorded as the largest generation in the workforce. This instant switch leaves other generations questioning their management. These are 4 ways millennials are changing the workplace:

Emphasizing Technology

Millennials are the generation born after year 1982 and before 2004. This was essentially the era of technology beginnings. To be raised in the ever changing state of development, this generation foresees big things for the digital future. This need for rapid growth has created various platforms for creators, entrepreneurs, and more. Millennials have a profound belief that technology is the future, and so we should precisely use it to our advantage. Networking has been perfected with Linkedin, while Youtube is colonized by content creators, and Slack has better connected employees.

Open To Change

Millennials were born to alternate between innovation and tradition. To be raised in the era of constant development, generation Y has cultivated the skill to be open to change. Arguably, change is intended for growth, so that is how Millennials greet it. The digital age has disrupted traditional systems for the better, a concept that was impossible in the past. Due to the inconsistency they’ve experienced growing up, millennials have subdue their harsh conditions by advocating innovation. Although innovation is a new idea, generation Y strictly believes this is an optimal lifestyle.

This generation does not believe in a constant, that everything has potential. Camden embodies that figure of high potential. Organizations are racing into the city of Camden, for it is the next startup hub for Millennial entrepreneurs. With the economy’s rapid growth and welcoming nature, businesses are rushing in to secure their space. Just outside of Philadelphia, the city of Camden possess hope, just what entrepreneurs need.

Work With Purpose

Millennials differ from baby boomers in one drastic motive. The new generation seek a sense of control and innovation that past generations seem to lack. Millennials deeply value purpose, to even go the extra mile in changing jobs for content. Perhaps it’s due to their entitlement, but Millennials are stubborn to the belief of following your inclination. 60% of employees confess that it is critical to allow them the capacity to do what they do best. Many Millennials will settle in the lower paying job, as long as it allows them the ability to express their talents.

As observed in the city of Camden, non-profit organizations scatter throughout in order to rebuild the city of hope. Devoted organizations and passionate millennial entrepreneurs in the city are growing and giving back to the community.

Work Flexibility

The typical 9-5 business hour job is declining as Millennials continue to enter the workforce. The Census Bureau estimated that 13.4 million Americans work from home. The data will only increase when more Millennials start to work. This new career outlook stems from the disfavored opinion against office confinement. In the strong devotion for both work and freedom, Millennials compromised with the issue by creating careers from the comfort of their own home. Freelance work has been the popular option for Millennials, since it allows independency.  

 

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Holiday 2017 Gift Guide for Stocking Stuffers

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2017 gift guide

Stockings are a traditional ornament to Christmas, but the stuffings inside are what makes it jolly. Stocking stuffers redefine gift giving, that neither size or price matters in the premise of giving a present. These miniature gifts give entrepreneurs the advantage to pick up gifts last minute. The standards for stocking stuffers are to simply be small and compact, but that shouldn’t reflect on the quality of the gift. When entrepreneurs want to impress their receivers, these are the gifts to provide for them in the 2017 Gift Guide:

Vanacci

2017 gift guide

 

The Vanacci lockstone bracelet is the bracelet that I have been waiting for. I have been using the Vanacci bracelet for about a month now and I haven’t taken it off since. Not only is there quality fantastic, there is the added benefit of the my unique scent/cologne will follow me around throughout the day.

Like most men, I did not follow the original directions of spraying the bracelet and letting it sit. I sprayed directly on the arm, and rarely have to reapply. My personal band is black and goes with just about anything. This is a great gift for the fashionable male.

Moment Lenses

2017 gift guide

The size and quality of Moment Lenses are impressive. The detail on each glasses are built professionally, while the weight of the lens are kept at a decent size. These attractive lenses are perfect for either starters or professionals in photography, since the product is easy to navigate through. The lenses offered are in the shape of a Wide 18mm lens, or a Macro 25mm lens, and also includes a 170 degree Superfish field of vision lens. Moment Lenses now have a battery case as well, that is also equipped with its new mounting system. They now offer external shutter buttons, travel cases, and other accessories all on their website. With finally an attached via a mounting clip(these new lenses twist 180 degrees). The perfect gift for self-proclaimed photographers from the 2017 Gift Guide.

Nomad’s Leather Charging Wallet

2017 holiday gift guide

Nomad brings the perfect combo to solving iPhone’s battery problem and wallet situation. The wallet contains a thin lithium-ion battery that holds a 2400 mAh charge in their built in cable. Mobile users are saved from a sudden battery shortage with this unique product. The idea of applying a charger within a wallet stems from the belief that we will always have our wallets with us. Now, with a charger embedded into our wallets, you can charge your phone whenever or wherever. Displayed in brown, the advanced SoC (system on chip) microprocessor additionally enable the battery to fully charge your mobile device. A first choice gift to a loved one from the 2017 Gift Guide. 

Upright Go

2017 gift guide

The device that is about 4.25’ long, 1.5’ wide, and 1’ thick, Upright Go is the perfect gift for people who slouch. The product is made of silicone rubber material and can be used up to 10 days on a single charge. Upright is also connected to your iOS or Android smartphone app, with individual training plan for gradual change. The strict reinforcements in Upright’s gentle vibration delivers a cue to help you remember to sit up. The method is taken from B.F. Skinner’s operant conditioning theory, that is effectively used in Upright technology today. The obvious gift to offer in the 2017 Gift Guide. 

Anker SoundBuds Curve Bluetooth Headphones

2017 gift guide

Anker headphones are the perfect fit for athletes. The headphones have an earhook with a waterproof nano coating for complete comfort, this also includes a gym and running workout headset with pouch. Athletes can continue their rigorous workouts with Anker headphones on due to their lightweight condition. The product itself is durable with a strong connection to devices up to 30 feet. Their most special quality is within their CVC noise cancellation feature that runs on 12.5 hours of battery. Although Anker’s bluetooth headphones have amazing qualities, a headphone can’t be rated without mentioning their sound. With that, Anker provides a quality sound with it’s ample bass, that will allow users to really capture a feel for their music. 

Anker PowerLine + Lightning Cable with Pouch

2017 gift guide

The charging cable for many apple products, including the new iPhone X to the iPod touch. The product is named the lightning cable simply due to their fast speed charge, due to their wide diameter wires and minimized cord resistance. Like many of Anker’s products, the lightning cable is durable. The cable is 5x more durable than other original products also. The product’s performance remained constant, no matter how many times the cable has been bent. The 3ft toughest and fastest cable product comes in black, grey, white, red, and blue. 

Anker PowerCore Portable Charger

2017 gift guide

The Anker powercore ultra-compact 10000mAh portable charger is designed to be smaller than a candy bar. Their unique cut ridged-surface brings a new experience to users, allowing a precise grip to the charger. The surface is also intended to avoid smudges so the product is looking presentable always. This includes an output temperature control, high voltage protection, current regulation, and more. Their most distinctive feature is within their 8-light led sensor to detect the power percentage on the charger. One of Anker’s most unique product and a good choice for the 2017 Gift Guide.

Mikol Marble Notebook

2017 gift guide

For writers, sketch artists, or simply anyone, Mikol provides an attractive notebook for a gift. The Mikol notebooks offer a Carrara white and the Nero Marquina style, made of 100% real natural stone from Spain. With this, their brand name is engraved in gold on the front. This can be altered by an additional $25 for a word of your choice engraved below. The notebook contains 180 pages of cream colored paper, while each section is divided up by a variety of different types of styles. One section of the notebook provided lined pages, the next a grid, and the last section, blank pages. A quality notebook for all types of talents.

Sudio AB

2017 gift guide

Headphones are an essential asset due to the digital age, Sudio AB are as aesthetically pleasing as it is practical. The wireless headphones are lightweight, easy to use, and are perfect for entrepreneurs who desire functionally and beautifully designed products. Tres headphones are ideally for office use, with the 9-hour battery life and quick charge capability. The packaging is simplistic and mirrors Apple’s minimal designs. The headphones themselves come in neutral colors with an accent of black, gold, or rose gold that appears more like pink in person. Different size ear comforters allow fit for a variety of users, although long term wear can leave the ear a bit sore.

 

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