Importance of Book Keeping to Small Businesses

Book Keeping and Accounting help small businesses to determine the financial position and accurate assessment of their financial performances. Book keeping must not be handled with levity in business. Whether you are comfortable with numbers or not, you must have the basic understanding of the financial aspects of your business. You have to know accounting. It’s the language of practical business life, said Charlie Munger. You may say that I am biased towards accounting because of my profession as an accountant. Yes, this may contribute to it. But the question I want to ask is that, have you ever seen any Continue ReadingImportance of Book Keeping to Small Businesses

Ways to Grow your Small Business

Tips on how to grow your small business. I know you desire to grow your small business. How do I know? The fact that you keep working on the business is enough indication that you like to grow your small business. The fact that you are reading this article is another reason for me to believe that you want your business to grow. I understand you must have been doing a lot of things in order to ensure that you grow your small business. This article will either lay more credence on what you have been doing or give you Continue ReadingWays to Grow your Small Business

How to Prepare Business Partnership Agreement

Content of Business Partnership Agreement. Business partnership is the relationship that exists between two or more persons (but no more than twenty) who come together to carry on a trade or business. People are attracted to business partnership because of the advantages it has over sole proprietorship. If you want to consider business Partnership, you should ensure that you involve people you can trust. Besides, it is always advisable to draw your business partnership agreement. The specific terms of the agreement will be determined by the partners. This agreement is called business partnership deed. The partnership agreement should contain the following information: Continue ReadingHow to Prepare Business Partnership Agreement

Implications of Hiring a Staff in Small Business

Hiring a staff has some implications on your small business. Hiring a staff is more than just having somebody working for or with you. I have mentioned that most of your business decisions have their own implications. Knowing the implications that are involved will help you to have a rethink of whether you are set to hiring a staff or not. Financial Implication It is assumed that your decision to hire a staff is as a result of growth in your business. But the level of growth should be able to justify the additional hand you are bringing in. By Continue ReadingImplications of Hiring a Staff in Small Business

Personal Income Tax and PAYE Calculation

How To Calculate PAYE Under Personal Income Tax Act. As a business owner, you must understand a bit about Personal Income Tax Act and how it affects your business. When you hire a staff, it is your responsibility to collect a tax form from the State Internal Revenue Service on behalf of the staff. The completed tax form will be returned to the Tax Office. It is your responsibility to withhold tax from your employee’s salary based on Pay As You Earn (PAYE) system under the Personal Income Tax Act and remit the same to the Tax office every month.  Continue ReadingPersonal Income Tax and PAYE Calculation