Having knowledge of finance and accounting can make a difference in the success of your business. As a small business owner, you should be able to manage business finances.
Hiring a good accountant to do the bookkeeping and accounting business can make a difference because it will make you look organized, accurate and up to date. You can also look for tax accountant in Sydney to know more about business accounting statements and reports.
Below are some of the main accounting statements and reports:
Business Activity Statement (BAS):
BAS stands for business activity statement. This statement is issued by your accountant monthly or quarterly depending on your business transactions. BAS is a form submitted to the Australian Tax Office by all companies to report their tax obligations.
This includes debit and credit entries of your business. Each declaration of activity brings a Unique Document Identification Number (DIN).
Cash Flow Projections or Statements:
This statement could be done annually or quarterly, this includes the money goes into your business and cash going out of business. It is usually measured over a period limited to a specific time.
Cash flow is the generic term used differently depending on the context. It can be defined by the user for their own purposes. It can refer to the past that actually flows, or for the projected future flows.
The above are one of the main statements used to set up a small business accounting records. It is very important to know about each statement as it is important for your business.