Your business’s financial management
Whatever sector your business operates in, financial management is essential to run it successfully. As a bare minimum, that means a bank account and accounting.
Financial management is a key part of business. It includes everything related to the business’s financial transactions: accounting, sale and purchase invoices, and payroll.
One of the first tasks when registering a business is opening a business bank account. Without it, financial transactions cannot happen. To open an account, you will need documents such as an extract from the Trade Register. If you are a sole trader, you too should open a separate bank account for your business.
Accounting: the basis of your business’s financial management
All businesses are obliged to keep accounts, even micro and small enterprises, although the size of the business affects the extent of the accounts. The accounts are the basis for things like the business’s taxation. Accounting is the financial “diary” of your business operations. You can use it to review the past and plan the future.
When you start a business, a good accountant or accounting firm is an important partner from the very beginning. You can of course do your own accounts if you have the skills to do so. However, it is recommended and in your business’s interests for an external — and educated, trained — person to perform this important, highly regulated function. You can then focus on the core of your business: developing and selling your own products and services.