Legalities: The importance of good record-keeping
With all the legal and tax obligations required of
a small business, it's imperative to keep careful records. A good
record-keeping system will help you achieve several objectives:
- Keep your company organized and growing
- Prepare important financial statements
- Make local, state and federal governments happy
by keeping a clear account of income, expenses and employees for
reporting taxes. Good records help you support any claims you
make on your tax returns.
We'll divide this part in two -- the
records to keep and how
to keep them.