Improving segregation of duties in a small organization

Internal controls should be designed to safeguard assets and help prevent or detect losses from employee dishonesty or error; the owner’s involvement in a small organization is important in maintaining good internal controls. One area of focus should be segregation of duties, which largely means having different people responsible for authorizing transactions or contracts, recording …

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It’s not all about the paycheck. Equity Compensation

Many companies look to other forms of compensation to reward employees outside of standard cash paid wages and salaries. One common form is equity compensation. Equity compensation is the practice of granting non-cash pay that represents partial ownership in a company in exchange for services. The purpose of equity compensation is to allow the company’s …

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Doubtful of your allowance accounts?

In the accrual world of accounting, GAAP says that expenses should be recorded in the period in which the related revenues are earned. When it comes to your customers or clients paying their bills, it might not always happen and depending on the terms of the arrangement, it could be months before you are sure …

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Is it time to update your processes and controls?

Your organization has changed. From employees to the services you offer to the technology you use, everything is in a constant state of change. However, one area that typically remains unchanged are the processes and controls that were originally set in place. But is that ok? If things are continually changing, shouldn’t you also be …

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Outgrowing your accounts payable? Here is how to know

With many companies having manual accounts payable, there is bound to be inefficiencies and mistakes. It can be time-consuming and may hold companies back from reaching goals or growing in their industry. With the growth of a business, you might be outgrowing your accounts payable. Here is how to know: Don’t miss: Accounting for estimates …

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Accounting for estimates

Not every financial statement item is able to be precisely measured. Often, your company will have to make a best-educated guess to account for items that are not able to be specifically determined. This is where accounting for estimates comes into play. Don’t miss: The future of auditing with artificial intelligence  Auditing standards define an …

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Are your earnings high-quality? 

Whether you are a corporate manager or an investor in the stock market, basic financial analysis is an imperative skill. When glancing at a statement of operations, revenue and earnings are typically the first items looked at. When public companies release quarterly earnings which slightly beat or miss expectations, stock prices can fluctuate greatly. Even …

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Should I be outsourcing my restaurant accounting services?

Restaurant owners wear a lot of different hats in the course of running a business. Unfortunately, accounting-related duties can easily fall by the wayside when you are being pulled in so many different directions. It often comes up at inopportune times, like when you need to better understand cash flows or get ready for tax …

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Are robots taking over the accounting world?

With the ever-growing advancements in technology, the workplace undergoes constant change. With technology being able to do things we once did manually, computers are able to do things automatically and in an efficient manner. Many people believe that with the introduction of robots in the accounting world, the profession could be forgotten. However, it will …

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A sigh of relief: accounting changes for leases

On July 17th, 2019, the FASB voted to give privately held companies until 2021 to follow the new lease standard, rather than having to implement it next year. Private companies can all let out a sigh of relief. The reasoning behind this decision comes down to the fact that changing from the old standard to …

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