Small business money management tips and tools

Payment processing

One of the best (and most important!) parts of running a business is getting paid. But technically speaking, how will you accept payments from your customers?

This is where a reliable and secure payment processing system comes into play.

With the right payment processing system, you’ll be equipped to accept multiple payment methods quickly and securely, like credit and debit cards, online payments, and digital wallets.

Not only can a payment processor provide a convenient and seamless experience for your customers, but it can also help increase sales for your business. Learn more about how payment processing works.

Invoicing and billing

Another essential step to getting paid? Developing an efficient invoicing and billing system with features like:

• Professionally designed invoice templates that are easy to read and customizable
• Clear itemization of the products or services provided and the associated costs
• Transparent invoicing terms that outline late payment fees and penalties
• Payment due date tracking
• Automatic unpaid invoice reminders
• Real-time cash flow management

By sending out invoices promptly and keeping track of payments, you can streamline your financial processes, minimize errors, and ensure timely payments.

You may also be able to avoid cash flow problems and ensure you have enough funds to cover expenses and invest in growth. Simplify your invoicing system with our invoicing solutions.

Expense tracking

Having the tools to help track and manage your expenses is crucial, too.

By categorizing expenses and recording receipts, you can gain a clear understanding of your operation’s financial health. It can also help you make informed decisions about budgeting and growth planning.

Investing in business expense tracking software can help make this process more manageable by automatically categorizing expenses, tracking receipts, and generating expense reports with just a few clicks. Get more tips on how to track business expenses.

Budgeting and financial planning

No matter what kind of business you’re in charge of, entrepreneurs can benefit from creating and managing a budget. Here, you’ll want to outline factors like:

• Projected revenue and expenses
• Financial goals
• Performance tracking against your projections

One of the best parts of budgeting is it can help small businesses anticipate and plan — both the good and the bad. For instance, budgeting for small businesses can help pinpoint potential cash flow crunches, giving you time to act before it’s too late.

It can also provide a framework for monitoring your performance against targets and identifying areas for improvement and growth. Explore more actionable tips on future-proofing your business.

Cash flow management

Maintaining a healthy cash flow is important for small businesses to keep the lights on and thrive. In basic terms, it involves keeping an eye on both the money coming in and going out, so you can ensure you have enough funds to cover your day-to-day operations and grow your business.

With cash flow management, you'll also be able to spot any potential cash flow issues early on and take the right steps to address them. That could mean finding ways to reduce expenses, getting better payment terms from suppliers, or boosting your sales efforts.

Another key to addressing a cash flow crunch? Planning ahead. Try to forecast your upcoming expenses like taxes, rent, and equipment purchases to avoid any unexpected financial surprises.

Financial reporting

There are many benefits to accurate financial reporting — from gaining a better understanding of the current state of your operation to attracting investors and securing funding for growth.

To create these reports, start by generating documents like balance sheets, profit and loss statements, and cash flow statements. These reports paint a detailed picture of your company’s financial performance and can help track progress toward goals.

Regularly reviewing these reports can also help you make informed decisions about where to invest and where to cut back.

With these reporting tools, you can get the data and analytics you need to run and better understand your business.

Payroll management

If your small business has a team, managing payroll can become a real headache. The good news is there are tools that can make the process as quick and painless as possible.

Using a payroll management system can help handle all the nitty-gritty details, like calculating wages, deducting taxes and benefits, and generating pay stubs. With the right system in place, you can save time and reduce the risk of errors, so you can focus on growing your business.

Plus, having an accurate payroll system helps you stay compliant with employment regulations and build trust with your employees, so they know they're being paid correctly and fairly.

Check out more employee management tips.

Financial security and fraud prevention

As the risks for fraud continue to rise, taking proactive steps to keep your business safe is getting more important than ever.

Not sure how to get started with fraud prevention? Here are some helpful tips:

• Use secure payment systems with encryption and other security measures to protect sensitive data.
• Keep an eye on your accounts regularly for any suspicious activity — catching problems early can help minimize the damage.
• Educate your team about cybersecurity best practices, such as sharing tips on how to create strong passwords or spot phishing emails.

Get more risk management solutions now, plus learn about ecommerce scams to avoid.

Access to small business funding

Now that you’re running your business like a well-oiled machine, it’s time to think about the future.

Whether you're looking to expand your business, manage your inventory, or buy new equipment, gaining access to small business funding can be a game-changer here.

From small business loans to lines of credit to alternative funding solutions like crowdfunding, choose the option that best meets your needs and aligns with your long-term goals.

Learn how to apply for a business loan and explore business loans for women.