Month: April 2021

Whether it’s learning to invest or doing something else, you may not be doing it the right way. Here are some common mistakes to avoid.

Do not “shop around” to find a counselor

New investors often use the same advisor as their parent, friend, family member, etc. However, the best advisor for someone else may not be the best for you. Before choosing an advisor, consider your needs and observe the types of clients the advisers work with to decide how much you want to participate in the investment decision.

Before choosing a counselor, ask yourself these eight questions.

Understand how investments work

Research investments before making a decision. This is an important step to:

• Understand the risks associated with the investment, including potential losses or returns.
• Examine how the investment fits into your existing portfolio.
• Understand the fees you pay and any penalties for early withdrawal.

Invest in something “trendy”

Some investments become popular in the media because a celebrity supports them, or they might be new to the market. Friends can also recommend placements that they have chosen for themselves. While it may be tempting and reassuring to follow the decisions of a large group of individuals, retail investors should be cautious about participating in this kind of “sheep behavior.”

Do not have a plan

Establishing a plan will help you reach your financial goals. Determine a specific interval to review your investment plan and make sure you change your plan if your financial goals (the reasons you are investing) have changed. A plan will also help you choose the asset allocation that fits your short- and long-term goals.

Your plan should be specific and realistic and provide information on your risk tolerance in your investment strategy. 

Do not pay attention to expenses

It is important to understand the costs when you invest because they reduce your yield. Ask questions before investing and evaluate your options. For example, two investments may involve risks and an expected return. Expected similar, but the expenses of one of them may be higher; other things being equal, the fees would affect your performance. See how fees can affect your return over time using our Portfolio Expense Calculator.

Have an overconfidence

Many investors overestimate their ability to “outperform the market” by trading frequently, thereby yielding less than they would have earned by simply holding a wide range of investments.

Our overconfidence can be compounded by the way we interpret new information – we tend to examine this information in a way that confirms our previous beliefs. As a result, in a bull where the investments generally have a good return, we could decide that operations give us a higher return. However, in a bear where investments have a bad return, we are going to blame the market and keep our belief that we are still good operators.

Seeking performance

Past performance is not an indication of future performance. This is an important lesson for both new and experienced investors. If an investment made a good return last year, it might offer a worse one this year.

Look for investments that fit well with your level of risk. 

Do not capitalize a return

You can grow the money you save by investing it to earn a return. Your money will grow faster if you also invest the money you earn (your return) in addition to the money you started investing with. This is Capitalization. Capitalization works for both guaranteed and unsecured investments.

Not reinvesting the money you have earned can limit your ability to grow savings faster and reach your financial goals. 

Do not read account statements

You should receive account statements monthly or quarterly that show your account activity and provide you with an update on your investments. You can receive the statements by mail or view them online. When you receive your statements:

• Make sure the investments bought and sold are accurate.
• Make sure the fees and commissions are accurate.
• Check how much your investment gains or losses are.

Contact your financial representative if an item in your statements is unclear or seems inaccurate.

Not seeking diversification

Diversification (Holding investments in various asset classes, sectors, and geographies) can help you reduce the overall risk of your portfolio. Here are some reasons to diversify:

1. All types of investments do not perform well at the same time.
2. The different types of investments do not all react in the same way to global events and changes in economic factors, such as interest rates and exchange rates, and inflation rates.
3. Diversification allows you to build a portfolio with lower risk than the combined risks of individual stocks.

If your portfolio is not diversified, it will be unnecessarily exposed to risk. You will not benefit from a higher average return by accepting the unnecessary risk.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

For manufacturing companies, efficient strategies are necessary for Supplier Chain Management. They have many significant aspects, and they unite with sourcing strategies. The key to success with suppliers is their long-term, transparent relationship. One believes that if the owner, suppliers, and operators are successful, success will come directly. Kroc has its system of philosophy, which is comprised of three legs. One leg is employees, another leg is operators and owners, and the third and last leg is suppliers. If one leg faces failure, the whole system suffers.

A global firm will adopt Supplier Relationship Management (SRM), a strategy used for successful supplier management. SRM has a direct effect on the value of a supply contract. The firm has sufficient skill to produce their best, and they have the best tools to evaluate the result. Once the company gains trust with SRM strategy applications with IT suppliers, it decides to transfer to indirect materials suppliers.

Many technologies are used to create supplier relationships. As other expenses decrease, theory forecasts that firms ought to enhance the client business ideally. Due to the decrease in IT cost, there are many technologies used to develop supplier relationship, which are as follows:

• Transaction Processing System (TPS)
• Processing System
• Decision support system (DSS)

An important element of any organization occurs when two people make an exchange called a transaction. The process of collecting, storing, modifying, and extracting an organization’s transaction is known as collecting. The transaction system is the name of daily feedback, business, payrolls, employees’ records, etc.

The decision support system defines the model data, and it makes a quality decision based on that data. A decision support system must make the right decision and is often dependent on the application of a computer with a human component.

Relationships with Suppliers are Essential

For any firm, it is necessary to maintain a relationship with their suppliers who are providing consistent raw material. It is of elemental importance that the same supplier is still in the chain if the material is still being provided.

Timing is Crucial

The timing of deliveries, shipping, and supply has a tremendous effect on supply chain management.

Information technology always plays a significant role in supply chain management. This department is accountable for storing data, protecting information, and processing that information. For speed quality, leading firms and retail outlets use many kinds of technology, and all these systems have worked sufficiently and effectively.

Management Information System (MIS)

Management information system delivers information to the organization. In this system, the company focuses on three elements: strategic plans, ratios, and marketing analysis. It is important that reputable firms practice this system to maintain the information profitable to their managers for future decisions.

Transaction Processing System (TPS)

The transaction processing system serves to store, modify, collect, and retrieve an organization’s transactions. This tool is essential for answering routine questions, basic payroll methods, keeping a record, and paying employees.

Electronic Data Interchange (EDI) works as transportation for small and mid-sized suppliers in supply chain management. EDI plays many roles, such as maintaining addresses, managing multiple warehouses, packing, and shipping. Information technology methods are a path to deliver messages to the audience. It makes sure that they communicate with the right people, and their multi-communication system utilizes online and other kinds of technologies.

Technology is a vital element of an organization. Things like revenue, inventory, and production are aspects of a business that technology needs to access. That is why information technology is the backbone that often supports the entire business. The IT department, where they generate profits from sales, strategizes managing income for their employees. In this way, the IT department also takes care of employees.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

Electronic invoicing is one of the most accurate ways to invoice for your small business. It can save lots of time and money as well as errors to use electronic invoicing and billing. However, some issues can arise that will cause errors when using electronic invoicing and billing. The efficiency of using an electronic billing system is ideal for a small business. However, implementing and being aware of issues during upgrades can save you time, money, and errors. Here are five mistakes that could be made using an electronic invoicing and billing system and how you can avoid them.

Not Including a Payment Due Date

While many things are included in most electronic billing systems, it is still important for the business owner or the person handling the electronic invoicing and billing system to ensure that all information is on the invoice before it is sent out. Sending a bill without the payment due date can lead to so many issues. If your client does not have an idea of a specific due date, the bill could essentially never get paid. When prioritizing their bills, most people are going to pay those bills that have hard due dates. Therefore, it is essential that whatever software you use for your electronic billing system has a built-in generation of the due date.

Lack of Communication

It would be best not to rely solely on your electronic billing system to inform your clients of the billing terms and conditions. Before you even begin the electronic billing process with your clients, you should verbalize the agreement and have it in writing with their signature. Every client must be very clear on your terms and conditions regarding your invoicing and billing system.

Neglecting Future Billing Needs

When choosing a billing system software for your business, you must have the future in mind. Your business may not need a lot of bells and whistles when it comes to the features provided by the software when you first purchase it. However, it would be best if you were thinking towards the future when your business grows and understanding that the software you purchase needs to grow with your business. Not thinking about the future business needs when it comes to invoicing and billing software can cost you down the line if you don’t have the software upgraded as your business grows. Don’t make this costly mistake. Be very thoughtful in the purchase of your invoicing and billing software.

Ignoring Security

As with any billing system, whether it be electronic or non-electronic, you must be acutely aware of your client’s security and your business. Be aware of minimizing the bill’s personal information due to identity thieves’ ability to use that information to steal your client’s identity and that of the business. Because these communications will be sent electronically, you must be aware of and safeguard against you and your client’s protection. Make sure that all personal information that could lead to identity theft is not included on the invoice. Only include the minimal personal information you need for the bill to be generated.

Duplicate Electronic Billing

Duplicate billing is another common billing system error whether the billing or invoicing is being generated electronically or not. You must ensure that the system is properly working and you are not double billing your client. This could lead to confusion and possibly overbilling your client. You must be aware that duplicate electronic billing can occur and ensure that you get software that will safeguard against this or at least have measures in place easily implemented to keep from double billing a client. A mistake like that can be the difference between keeping a client and losing them.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

When starting a small business, you need to do one of the most important things as the business owner besides getting funding is to establish business credit. As we know, establishing credit isn’t something that happens overnight. It takes some time to get it to the level that would allow you to have enough credit to buy and borrow power. Though it is not something you can establish overnight, you can establish some things to establish business credit faster. Here are six ways to establish business credit quickly.

Register Your Business Entity

Business credit history is not the same as personal credit history. Credit history for business is more heavily weighted and not easily dismissed when obtaining capital for your business. Though some small businesses do not need to be incorporated or made into a proprietorship, a business that needs to build business credit registering your business is a must. The bonus is that having your business registered separately from your personal affairs protects your assets and accounts.

Here are the structures you can register your business under:

• C-Corporation: A C-Corporation separates you from your business, financially and legally. A C-Corporation is best for businesses that are planning to issue stock or go public as they grow.
• S-Corporation: An S-Corporation separates you from your business, financially and legally. These are pass-through businesses in which the profits are taxed at the individual level.
• Limited liability company (LLC) – An LLC is an incorporated business with liability protection that separates you financially and legally from your business. An LLC offers more tax protection than a corporation.
• Limited liability partnership (LLP) – An LLP is a registered business that is generally used for businesses that will eventually become a partnership. This type of registration is used a lot among medical and law practices.

When building your business credit, you must choose a structure for your business. If you’re having difficulty figuring out how to structure your business, you can consult an accountant or business attorney.

Get an Employer Identification Number (EIN)

When establishing your business, it is important to obtain an employer identification number (EIN) for tax and business tracking purposes. It is similar to how a Social Security number works for you and your personal life.

Not every business needs an employer identification number, such as sole proprietorship or single-owner LLC. However, it is suggested that you obtain one for your business, regardless. The employer identification number helps you establish business credit and will be useful when doing your business taxes.

Open a Business Bank Account

Registering your business and obtaining an employer identification number are great ways to help you establish business credit and separate yourself from your personal affairs. However, if you need to continue the separation when it comes to your bank account, many small business owners use the same account for personal and business use, but this can be a mistake. It would be best to separate every aspect of the business to protect your assets and establish your business credit.

Opening a business or merchant account can be done at the same bank you hold your personal account or open at a new bank. Some banks that have personal accounts don’t specialize in business accounts, while others do. If you have any questions, you can consult an accountant. The most important thing is to do your research before opening your business or merchant account.

Establish a Dedicated Business Address and Phone Number

Establishing a dedicated business address is simple if your business is a brick-and-mortar. However, if you will be operating your business out of your home, you will need to establish a virtual business address. This address will help your business stay separated from your home and avoid anyone coming to your home, thinking it’s a brick-and-mortar business. Your virtual business address can receive mail and help you keep your personal and business mail separated.

You should also establish a business phone number. You can do this in several ways. If you have a traditional brick-and-mortar business, you can have a phone installed in the business to use as your business phone number. However, suppose you’re going to be working out of your home. In that case, you can either get a separate cell phone number for your business or establish space a phone number online that will forward to your personal about without revealing your personal phone number. This is not only important for security but also to help you further establish business credit.

Get a Business Credit Card or Line of Credit

Obtaining a business credit card or a business line of credit can help you build your business credit quickly. However, it cannot be easy to get a credit card or line of credit for your business because you have not yet established any credit. If this is the case, you can use your personal credit if it is good to help you obtain either of business credit card or business line of credit. You can also obtain secured credit cards or loans and use them and pay them off immediately to establish credit. Once you build enough credit, you can get a larger limit of unsecured credit cards and loans.

Borrow from Lenders That Report to the Business Credit Bureaus

When you begin to get larger loans, make sure you always use lenders to report to a business credit bureau. Some loans and credit lines do not report, which will not help you establish your business credit. Though lenders that report often have higher interest rates, if you can quickly pay the balances, this won’t be as costly as you think. Most traditional lenders and banks who give business loans are associated with one or all credit reporting bureaus.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud platform where their QuickBooks™️ file, critical financial documents, and back-office tools are hosted in an efficient SSO environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

By: Jennifer Brazer

Jennifer is the author of From Cubicle to Cloud and Founder/CEO of Complete Controller, a pioneering financial services firm that helps entrepreneurs break free of traditional constraints and scale their businesses to new heights.

Fact Checked By: Brittany McMillen

Launch Your Dream: 5 Small Businesses Easy to Start Today!

Have you ever dreamed of owning your time, setting your income, and finally calling the shots—all without a business degree or a trust fund? In 2025, that’s not just a dream—it’s a playbook. Small businesses are booming because starting one today doesn’t require much more than Wi-Fi, mindset, and a smart idea. In this guide, I’ll walk you through five of the easiest and most profitable small businesses you can start this week—with real tips, tools, and insider advice I’ve seen work firsthand.

Key Takeaways

• Leverage TikTok organic reach for dropshipping profits of 40–60%
• Turn résumé writing into a $5–8K/month business using Canva and LinkedIn
• Start a mobile car wash with as little as $50 and scale using local student labor
• Use AI tools like ChatGPT to launch a tutoring business with minimal prep work
• Avoid cash flow mistakes—use automated tools and expert checklists from day one

Why 2025 Is the Year of the Micro-Entrepreneur

Let’s be real—starting a business used to be out of reach for most people. But now? Remote work, community support for small businesses, smart tech, and local business marketing have leveled the playing field. The SBA reports over 33 million small businesses in the U.S. according to latest community support for small businesses data, and many of them started for under $500.

Micro-entrepreneurship (doing more with less) is rising fast, especially when paired with effective marketing strategies for small businesses and tools that remove traditional roadblocks—like rent, payroll, and inventory.

What’s concerning, though, is that 38% of startups fail because they run out of cash, often by underestimating their startup costs. I’ve seen this firsthand with clients who didn’t plan enough runway. This is why smart financial planning matters from day one.

This pattern of small business growth isn’t new. In the 1980s, we saw similar expansion when deregulation and new tech created opportunities. The difference today? The barriers are even lower, and the tools are much better.

Business #1: Dropshipping Dominance

How to start a Shopify store in 4 hours

Dropshipping eliminates the biggest challenge of retail—holding inventory. You act as the middleman, the brand face, the creative engine.

Here’s how to get started fast:

1. Set up your Shopify store (website costs typically run $120-$360 per year)
2. Link Oberlo or Spocket for product sourcing (think trending niches like pet gadgets or eco-home goods)
3. Post TikTok demos to build organic traffic and trust

Want a shortcut? Follow Kamil Sattar’s “Ecom King” approach to geo-targeted product pushes—yielding 40–60% profit margins.

Pro Tip: “Most beginners blow up their first store by trusting the wrong supplier. Always order samples and test shipping speed,” advises our team at Complete Controller.

Common startup expenses for dropshipping include business formation fees ($50-$500) and minimal equipment costs since you’re running things online. This makes it one of the most accessible businesses to start in 2025.

Business #2: Résumé Writing Revolution

Tap into the $3B career coaching industry

Laid-off tech workers, career switchers, recent grads—they all need a leg up. That’s where you come in.

Tools to start:

• Canva for sleek templates
• Google Docs for real-time feedback
• LinkedIn Premium to pitch your services directly

Upsell opportunities:

• LinkedIn profile rebuild: $197–$497
• Cover letter customization: $50–$100
• One-on-one coaching sessions: $75/hour

Success Story: One freelancer made $8,000/month by targeting r/resumes on Reddit and converting warm leads using a simple Google Form intake process.

I’ve seen this business model succeed repeatedly because you’re charging based on value, not hourly rates. With the average administrative assistant earning $22/hour, you can easily make 3-4 times that with specialized résumé services.

Business #3: Mobile Car Wash Empire

The $50 startup that outshines brick-and-mortar

Grab a bucket, a waterless cleaning product, and a folding chair—you’re in business.

Startup tips:

• Start with weekly fleet clients at offices and gyms
• Use EcoTouch to cut water costs
• Price at $30–$50 per wash

Growth trick: Hire hustling local students using Instagram Stories. Pay per job to keep your costs low and morale high.

I’ve seen clients flip $200 into steady $4K–$5K monthly income working only weekends. The best part? Unlike a physical car wash that costs hundreds of thousands to build, you can start tomorrow with almost no overhead.

Business #4: Virtual Tutoring 3.0

AI tools that grade while you sleep

Got a knack for math? Grammar? History? Someone out there will pay for your help.

Launch kit:

• Zoom + Google Docs for live and collaborative teaching
• ChatGPT for lesson planning and faster grading
• Canva + YouTube Shorts to market your unique teaching style

Hot niche: AP exam and SAT prep. Demand is strong, and parents will pay.

Case in Point: VIPKid generated over $300 million before AI. Now, a single tutor armed with the right tech can replicate a six-figure setup solo.

I know a Complete Controller client who started tutoring as a side gig and now earns more from it than from her full-time job. She attributes her success to consistency and using technology to handle administrative tasks.

Business #5: Social Media Consulting

Charge $100/hour without a portfolio

Local businesses know they need social media—but many are stuck or totally offline. That’s your opening. According to small business digital marketing trends, while consumers are heavily engaged on platforms, many businesses struggle to keep up. Understanding these small business digital marketing pitfalls gives you an immediate advantage.

Start strong:

• Offer free audits to three business accounts in your community
• Record your feedback using Loom videos
• Use Metricool for real-time, cross-platform insights

Sell impactful results:

• Monthly social media plans
• Content calendars
• Video editing tip sheets

Authority Hack: Earn a free Meta Blueprint certification (you’ll be shocked how much credibility that adds on your pitch deck).

My favorite part about this business is that you can start with zero portfolio and build credibility through results. One of my clients started by helping a local florist who now attributes 40% of their business to social media leads.

Funding Your Venture: Grants vs Bootstrapping

You don’t need a loan to get started. Small business grants are available—but few entrepreneurs even know where to look. Check out the official small business grants page for opportunities you might qualify for.

Two shots worth exploring:

• Verizon Digital Ready Grants: $10K–25K for online startups. Many go unused each cycle.
• GrantWatch.com: Allows customized searches based on industry, size, and zip code

If all else fails? Start by bootstrapping with cash from freelancing, selling unused items, or offering one-off services like résumé writing.

The average cost to start a small business in 2025 is $40,000 in the first year, but these five options can start for far less—often under $500. This makes them ideal for testing entrepreneurship without risking your financial future.

The Complete Controller Edge

This is where most people mess up—the money side. Bookkeeping isn’t exciting, but it’s what separates the hobbyists from the high earners. Follow these small business management tips to avoid common pitfalls.

True story: A client of ours ignored sales tax compliance and had to pay $17K in back taxes. All avoidable.

Here’s what we recommend:

• Use QuickBooks for expense tracking from Day 1
• Automate recurring invoices
• Follow our Complete Controller Reconciliation Checklist monthly for stress-free reporting

I started Complete Controller because I saw too many brilliant business ideas fail due to poor financial management. You can have the best concept in the world, but without proper bookkeeping, you’ll never know if you’re truly profitable.

Conclusion: Your First Step Toward Business Ownership

Starting a business doesn’t require genius, luck, or massive capital. It takes action, accountability, and the right guidance.

Which of these small businesses speaks to you? The beauty is in their simplicity—you can start any of them this week. The cost barriers are low, the learning curves are manageable, and the profit potential is real.

I’ve spent 15+ years helping entrepreneurs launch and scale businesses. The ones who succeed aren’t necessarily the smartest or the richest—they’re the ones who start, learn, and adjust along the way.

👉 Download your free 30-Day Launch Checklist from Complete Controller and let’s build your dream with both feet on the ground.

FAQ

What’s the cheapest business to start in 2025?

Dropshipping (no inventory) and résumé writing (just need Canva and Wi-Fi) are the cheapest to start, often costing less than $200 to launch.

How do I find small business grants?

Check Grants.gov and filter for “micro-enterprise” under $50k annual revenue. GrantWatch is also helpful for customized searches by industry and location.

Can I run these businesses part-time?

Yes—all five options can operate with 5–10 hours per week starting out. Many of my clients began as side-hustles before going full-time.

What’s the biggest mistake new entrepreneurs make?

Mixing personal and business finances. Always open a separate LLC bank account to track expenses properly and protect your personal assets.

How does AI help small businesses?

It speeds up content creation (Jasper.ai), grading (ChatGPT), and admin tasks (Summarize.tech)—saving hours every week while improving quality.

Sources

• Bankrate. (January 31, 2025). Average Cost Of Starting A Small Business. https://www.bankrate.com/loans/small-business/small-business-average-cost/
• Complete Controller. (n.d.). Launch Your Dream: 5 Small Businesses Easy to Start Today! https://www.completecontroller.com/
• Complete Controller. (n.d.). 5 Essential Marketing Strategies to Help Grow Your Business. https://www.completecontroller.com/5-essential-marketing-strategies-to-help-grow-your-business/
• Complete Controller. (n.d.). Small Business Bookkeeping: 9 Tips and Tricks. https://www.completecontroller.com/small-business-bookkeeping-9-tips-and-tricks/
• Complete Controller. (n.d.). 10 Social Marketing Mistakes. https://www.completecontroller.com/10-social-marketing-mistakes/
• GrantWatch. https://www.grantwatch.com/
• Pew Research Center. Social Media Fact Sheet. https://www.pewresearch.org/internet/fact-sheet/social-media/
• SBA. (2023, January 26). 2023 Small Business Facts. https://advocacy.sba.gov/2023/01/26/2023-small-business-facts/
• SBA. Funding Programs: Grants. https://www.sba.gov/funding-programs/grants
• Shopify. (April 3, 2025). Startup Business Costs: How Much They Are and How To Calculate. https://www.shopify.com/blog/cost-to-start-business
• Spocket. https://www.spocket.co/
• Smith, A. (2020). Digital Revolutions: From Internet to Social Media. Digital Journal.
• Upmetrics. (January 14, 2025). How to Calculate Business Startup Costs (2025 Guide). https://upmetrics.co/startup-costs

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud platform where their QuickBooks™️ file, critical financial documents, and back-office tools are hosted in an efficient SSO environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

An economic downturn or a recessed economy can have an adverse impact on the disposable income and employability of the family’s income earners. The baseline standard of living is also vulnerable to the same economic turmoil.

The family’s earners can be caught up in the downsizing of the company that employs them at any time during an economic crisis, leaving them constantly vulnerable. When a company is defenseless against stock market crashes, hyperinflation, hike in interest rates, and other macroeconomic indicators, the company’s first step is to curb cost expenditures. Subsequently, companies often resort to downsizing by furloughing or laying off employees. Imagine being an employee in a company that will go through an economic crisis and how that can impact you as an employee.

That trajectory could leave you unemployed and no longer able to provide for your family. The most important thing you can do if this happens is to maintain your household finances. Often this will mean you need to come up with a supplemental stream of income or find another job. You may also need to downsize your home by selling it and moving into an apartment or a condominium.

This downsizing will save you money during financial difficulties. Still, once you are gainfully employed, and the economy bounces back, you will be able to accumulate some savings by remaining in the less costly living space.

 Another scenario that could cause financial strain is closing on to the age of retirement. In this instance, downsizing also means cutting down on unnecessary costs and household expenses. Suppose you are an employee, having a family of two, and living in a well-maintained six-bedroom house with a yard, pool, patio, and porch. In that case, much of your disposable income will be directed towards the maintenance of your home. Also, suppose you and your family are regular travelers, for example, going on vacation, spending a couple of months in another continent or state. In that case, the cost of maintaining the house will also increase. It would be wise to opt for downsizing your permanent dwelling when retiring. It will help you boost your income and play a significant part in curtailing your daily expenses. You will always be in that comfort zone.

Unlike maintaining a house equipped with security peripherals and maintenance measures, an apartment will meet your living standards with many amenities built into the apartment. Downsizing to an apartment will help build up funds for your retirement and provide you with peace of mind whenever you feel like taking a vacation or spending more time with your family.

You must include a knowledgeable real estate agent with superior market expertise about what will work best for you in both scenarios. A good real estate agent will be able to navigate you through the entire process expertly. Whether it be selling a house or buying a place, a great real estate agent’s significance cannot be overlooked.

Finding a real estate agent with an abundance of market knowledge will help guide you through the process in a systematic way. Each step and every question will be navigated and answered with a concrete and reliable source of information.

Regardless of the circumstances that have changed your financial status, the notion of downsizing is a great option and a good choice. You will be able to accrue savings and reduce the cost of living. This amassment of funds will help you after retirement or when approaching the age of retirement.

In any case, when you need to make financial changes because of a job loss, retirement, or any other financial factor, downsizing where you live can be a great way to save money and accumulate savings for the future.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

When individuals, couples, or businesses become financially devastated, they may have to file for bankruptcy as there may be no other alternative. When people think about bankruptcy, they think it is an adverse option or irreversible solution to their financial issues. Bankruptcy can indeed be a financial set back however it is generally a relief to those struggling with huge financial burdens or losses. Here are seven things you need to know about bankruptcy before filing.

Bankruptcy Is Not a Quick Process

Many are under the false impression that bankruptcy is easy to do once the decision is made to file. However, there is a long process. First, you must hire a lawyer and discuss your options financially. Once you get to court, the process does not move any more quickly. While small court usually claims only last a day, bankruptcy can take anywhere from six months to a year to complete. The length of time it takes depends on the type of bankruptcy you are filing; generally, individuals file Chapter 7 bankruptcy. Other common types of bankruptcy are Chapter 13 and Chapter 11, which can take anywhere from six months to five years depending on the issues’ complications. If you decide to file bankruptcy, be ready for a long and drawn-out process.

Bankruptcy Opens Your Finances to Public Scrutiny

Because bankruptcy is conducted in a public courtroom, this can open your financial situation to the public. This generally does not cause issues as most people are not under a microscope by public members. However, if a future employer or business partner were to launch a background check, they would see a meticulous accounting of your finances. This could cause issues in employment and future business endeavors as well as other financial investments or needs.

Complete Disclosure Is Required

Many people see bankruptcy as an embarrassment. It is also exceedingly difficult for someone to decide to do. However, despite this embarrassment, a person filing bankruptcy needs to give Full disclosure to their lawyer and those handling their case. This means you cannot leave out a single debt, I said, or creditor information. If later it is discovered that you held back important information to your case, you can lose your case, and in some cases, there could be an investigation by the FBI or other agencies. Bankruptcy fraud is a considerable crime that can involve possible jail time and fines.

Bankruptcy Forms Are Complicated

While most forms that the government requires are complicated to navigate, there is no exception for bankruptcy forms. There is a multitude of forms and other papers that are needed when filing bankruptcy. These forms and the required paperwork can be very difficult to navigate if you have no experience.

The Bankruptcy Discharge Protects Only You

Bankruptcy is only for the person filing for it. If you had cosigners on any of your loans, they are still vulnerable and held responsible for the entire T of what is owed by creditors. Though they will have signed for your debt to fall to them if you go into default, they are not covered if you file and are successfully granted bankruptcy. It is suggested that you work out a plan with your cosigner before you file for bankruptcy.

Filing for Bankruptcy Is Expensive

Bankruptcy is not a cheap endeavor. It can cost you hundreds or even thousands of dollars, depending on the lawyer and the length of time it takes to settle your case. In some cases, lawyers will make contingency contracts in which they will not charge you if you were unsuccessful in obtaining bankruptcy. It can also be expensive in your financial situation as it will continue to grow into more debt as you are working your way through the system.

Declaring Bankruptcy Affects Your Credit for Years

It is a no-brainer that bankruptcy will cause you to have a poor credit score for years to come. This alone makes the decision very difficult because it takes longer for bankruptcy to fall off your credit score, unlike other creditor information. This will cause you difficulty in making purchases such as a car or a home.

You can work to build your credit just like you can when you don’t have bankruptcy. However, keep in mind this would require you to get more credit lines, which would lead to more debt to creditors. The point of filing bankruptcy is to get yourself on a clean slate and to stay there. So getting lines of credit to counteract the poor credit rating is not ideal.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

Activity-based costing (ABC) can be best explained as a method used to assign costs to various products, tasks, or service projects mainly based on the activities involved in carrying them out properly.

ABC was first characterized by Kaplan and Bruns in the late 1980s. It tends to be considered the cutting-edge option compared to absorption costing, enabling managers to more readily comprehend item and client net productivity. This furnishes the business with better data and, subsequently, increasingly compelling choices. It includes asset utilization and costing last yields. Assets are appointed to activities and activities to cost objects.

The Process Flow of Activity-Based Costing:

Activity-based costing is used for various purposes and, if we take a closer look into its different aspects, we can have a better understanding. For example, the entire ABC distribution of overhead expenses to those cost objects that have the right to be accused of overhead expenses. So that chiefs can see which activity drivers should be decreased so as to contract a comparing measure of overhead expense. For instance, if the expense of a solitary buy is $100, supervisors can concentrate on letting the creation framework naturally put in purchase requests or utilize obtainment cards as an approach to avoid purchase orders. Either arrangement results in fewer purchase orders and subsequently brings down obtaining division costs.

Identification of Primary and Secondary Costs:

The initial phase in ABC is to distinguish those costs that we need to designate. This is the most basic step in the process since we would prefer not to linger on an exceedingly expansive business scale. For instance, if we need to decide the full expense of a circulation channel, we will distinguish publicizing and warehousing costs identified with that channel, yet will overlook examining costs since they are identified with items, not channels.

Make cost pools for those expenses brought about to give administration to different parts of the organization instead of straightforwardly supporting an organization’s items or operations. The substance of optional cost pools normally incorporates PC administrations, authoritative compensations, and comparative expenses. These expenses are later dispersed to other cost pools that straightforwardly identify items and administrations. There might be a few of these auxiliary cost pools contingent on the idea of the expenses and how they will be designated.

Make a lot of cost pools for those costs all the more firmly lined up with the generation of merchandise or administrations. It is basic to have separate cost pools for every product since costs will, in general, occur together. Such expenses can incorporate innovative work, publicizing, acquirement, and dissemination. Also, you should consider making cost pools for every dissemination channel or for every office. If the chances are that generation clumps are of significantly shifting lengths, consider making cost pools at the bulk level, with the goal that you have enough costs dependent on group estimates.

Allocate Activity Drivers:

Utilize an information gathering framework to collect data about movement drivers that assign expenses in auxiliary cost pools to essential cost pools and designate the expenses in essential cost pools to cost objects. It tends to be costly to aggregate action driver data, so use action drivers for data that is being gathered.

Evaluate Items:

Utilize an action driver to assign the substance of every essential cost pool to cost objects. There will be a different action driver for each cost pool. To dispense the costs, partition the aggregate expense in each cost pool by the aggregate sum of action in the action driver to set up the expense per unit of action. At that point, dispense the expense per unit to the cost objects in light of their utilization of the movement driver.

Prepare a Report Based on the Information:

Convert the aftereffects of the ABC framework into reports for executive review. For instance, if the framework was initially intended to amass overhead data by geological deals areas, at that point, give an account of income earned in every locale, every single direct expense, and the overhead from the ABC framework. This gives management a full cost perspective of the production of every district. The most well-known administration response to an ABC report is to decrease the number of movement drivers utilized by each cost question. Doing so ought to lessen the measure of overhead expense being utilized.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

Before an investor expands their portfolio by investing in a business, glancing at that business’s financial statements will not always help make an educated decision on whether to invest. To gauge the actual financial representation of a business, the investor needs to filter the financial information to get more solid and conclusive answers.

Analysis of financial statements or calculating financial ratios can provide a deep and clear picture of a business’s financial health. Determining financial ratios can be a difficult task. Moreover, dozens of financial ratios might be available to the investor, making it confusing. However, the investor must investigate the financial health of a business before deciding to invest in it.

While assessing the business’s financial information and gathering the industry average, various websites are used, including Bloomberg, Morning Star, and Yahoo Finance. Some other non-financial factors should also be considered while assessing the business’s performance, as it is important to provide information relevant to the business’s stakeholders.

Sometimes, the business management uses data manipulations to keep their position in the market attractive to a potential investor. Thus, along with financial indicators, the non-financial statement should also be determined to conclude its financial performance. The non-financial statement is an auditor’s report that qualifies or disqualifies the business’s financial statements.

The analysis will determine the business’s competitive strength by accompanying a horizontal analysis. Furthermore, based on these analyses, certain decisions associated with the business’s external and internal stakeholders can be made.

The business aims to seek an upward trend in its profits and maintain a competitive market position. Moreover, the business should maintain a consistent focus on certain growth strategies, which fosters good business practices and financial growth.

Financial ratios can help assess the potential of a business to be a good and profitable investment. Here are five financial ratios that can be effectively used to assess the investment value of a business.

Operating Profit Margin

Operating Profit Margin determines the business’s profitability level, which illustrates the business’s capabilities to generate profit through its sales revenues. The business can attain a higher ratio in its operating profit margin by managing the cost-effectively, reducing the cost of unproductive activities among different business operations. However, certain uncontrollable factors or unfavorable economic consequences can negatively affect the business’s profit generation.

Interest Coverage Ratio

Interest Coverage Ratio determines the business’s efficiency by analyzing its capacity to pay off its interest expenses with the generation of operating profits. A business’s financial situation is considered more favorable when it has a higher level of coverage ratio. This situation determines that the business can utilize debt to acquire funds from the market.

Return on Captial Employed

Return on Capital Employed determines the business’s efficiency level to generate profits on the business’s funds from the market. Moreover, it is the most important ratio from the perspective of an investor. If the individual is making an investment decision to become a shareholder in a business, the investor must know its existing ROE.

Asset Turnover

Asset turnover ratio is an efficiency ratio used to govern the business’s capabilities to generate sales revenues on the business’s total assets, which can include fixed and current assets.

PE Ratio

Price to Earnings ratio depicts how much shareholder is willing to acquire shares from the market, regarding its market value and the associated earnings per share. It determines the attraction of shares in the eyes of the business’s shareholders.

To put it in a nutshell, the ratio which has been mentioned above is a key ratio. A shareholder must comprehend these financial ratios because they can provide valuable discernment into the business’s financial picture and help make an informed and prudent decision.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

To understand the basics of financial management, including managing a budget or handling credit debt, is necessary for every student. To have little or no knowledge related to financial management can create complex situations that may be difficult for the person to handle in the future. As a young adult, it is important to be aware of the term “Financial Management.” 

Financial Management is a combination of three major concepts: financial, debt, and credit management. In simpler terms, it is the basic knowledge of how to handle finances through decision management. Financial management involves understanding the mechanism of checking accounts, the right use of credit cards, and most importantly, how to avoid debt and default.

The family’s impact can be seen when household members are trying to balance the budget, utility bills, rent payments, installments, children’s education fees, etc. Lack of financial management is not only seen in developing or emerging countries, but consumers in developed nations have also failed in defining basic financial principles. It is important for everyone to learn the basics of financial management as they will help individuals accomplish financial goals. Being financially literate will work best for a person since it allows one to make their own investment choices, such as investing in the stock market or real estate, resulting in an increased account balance.

The following describes the importance of financial management and literacy:

Financial management can be a complex concept to grasp. Presented with various options of products and services to choose between, it can become difficult to know which one suits your needs. Financial management works because you must take the time to learn about various services and products that are available. By researching and reviewing options, you will automatically get a better idea of which option is best according to your budget.

When a person has enough financial resources, it becomes easy to set realistic goals for their family. Financial management will help them create and manage a detailed budget plan and accomplish financial goals.

Financially educated individuals can save and pay off the debt in the easiest way. This allows them to gain knowledge and to make financial decisions with ample confidence. Financial management will help make the financial decisions that meet the needs and goals of their family.

Financial management helps one to manage finances efficiently by allowing them to save funds. Saving money will pay off all financial debts and will get any off-kilter finances back on track. It also helps a person to choose from an array of credit products. Financial management also helps a person know why to apply for a credit product and when to apply.

Investments and savings are particular terms reserved for the future since today’s investment will help determine the future. It is important to understand the value of money and the stock market to get a holistic view of investment. This outlook will help a person comprehend the stock market, including trending products and where to invest the money to double it. This safe method of investment will allow one to live the retirement life comfortably.

Lack of financial management will create critical situations in the future. To earn money and place it in a bank account is not a wise choice. Instead, one should try to make their money work for them. Improving financial management will have a tremendous influence on individuals and their futures. Being financially literate will help an individual make a budget plan, manage debt, make wise investment decisions, or set up a retirement account. Financial management enables a person to implement a healthy financial lifestyle and manage it in a better way.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.