Author: Jennifer Brazer

The fundamental things you heft around in your tote frequently incorporate things that set you up for crises, similar to tampons, tissues, and over-the-counter prescriptions. Even though it’s critical to be readied, keeping certain things in your tote can set you up for destruction for the situation that your suitcase is lost or taken. On the off chance that the things in your suitcase have any nostalgic worth joined, similar to family photographs or adornments, or could have costly results whenever lost, at that point, you ought to abstain from conveying them in your tote. 

As an ever-increasing number of sites and applications require passwords for security purposes, it very well maybe not be easy to monitor that data yet, it would help if you abstained from keeping this touchy data recorded on a sheet in your tote.

Regardless of gender, we always carry a compartment (bag or purse) to carry the important. We will talk about objects that have to do with finances or useful life. Each person is a world and is organized differently so that the things they carry are also. However, they usually coincide in some, such as credit cards, money, etc.

You ought to routinely convey the main distinguishing record with you is a driver’s permit or state ID card. You ought not to make a propensity out of conveying your government-backed retirement card, visa, or birth declaration with you except if you need it for voyaging. Besides the issue of supplanting these things, they’re a significant wellspring of data fraud.

The important thing is not to carry things that may represent a danger or a big problem in the future due to loss or loss. All of it is related to the importance of these goods.

What you should avoid loading in your wallet or purse

To guide you on the important things you should avoid having all the time with you, we share a list.

Credit and debit cards

Unless you plan to use any of the two cards, it is recommended that you do not load them. You can always run the risk of losing them or having them stolen. Although it is easy to protect them in banking institutions, it is not necessary to go through that. On the other hand, thinking more positively, bringing credit cards with you is a synonym for spending more if you don’t have self-control.

Storage devices

It depends on the type of information your device has. If you have sensitive information, the ideal is not to bring it with you all the time. Imagine that anyone could have access to documents with very personal information? It could be a victim of identity theft or extortion.

Unnecessary cash

The same thing happens with credit cards; you will be more likely to spend out of your budget. If you do not use that money, leave it at home or the cashier.

Important access passwords

It may seem dated, but many people still keep their passwords in small notebooks or papers. Either because they don’t have a good memory or because they are used to using a pencil and paper.

You should have passwords with easy-to-remember numbers, in theory, so you don’t need to write them down on paper or on your phone. However, it would help if you also tried not to be very predictable and not use numbers to do with birthdays.

Invoices or receipts

Most of us forget to tidy up that part, so we just put the bag or purse without paying attention. Many people have these receipts or bills so old that the information is no longer perceived.

Although it may seem somewhat helpless and common, it is possible to share sensitive information without realizing it with this type of activity. It is easy to notice your shopping habits or personal data with only these receipts or invoices. Be more cautious and set aside a place for these types of documents; if you are not going to use them, destroy 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.

Generally, there is a lot of difference between personal traveling and the difficult logistics of getting from one point to another. Travelling cannot be defined as getting on a plane and getting off from it. Commonly, people miss out on a lot of things when it comes to traveling. People don’t include the basic transport levels and means of getting to the airport like a personal car.

After getting done with all the traveling costs and expenses, it is time to know the reason behind traveling. Why was it necessary to get the ticket? What will be the work done at the end of the ticketing office? Are Logistics and Transportation Management the same stuff?

Transportation can be defined as moving animals, people, and goods from one point to another. The means of transport can be air, water, road, cable, rail, and space. Transportation can be divided into two parts; operations and vehicles. Transport is a necessity for building trading relations amongst people, which will, in return, establish a civilization.  

The APICS Dictionary defines logistics as:

In an industry, logistics means producing, obtaining, and distributing material and products at the right time, at the right place, and in the right amount. In a military context, where it is used on a wider scale, it is also linked to army personnel’s movement.

The CSCMP takes logistics to plan, control, and use the transportation for effective and efficient use. It also includes the warehousing of goods and services and data from the starting point of origin to the ending point of customer demands.  The definition can further include outbound, inbound, external, and internal movements.

The definitions stated above would have been clear to an individual that both have a different meaning on the academic level. Transportation is what drives the logistics, but logistics is the driver taking care of logistics. It is quite easy to look at things differently from the last sentence, which defines both terms.

Logistics need planning, and transportation is meant to execute the planning from one point to another. On a clear note, logistics and transportations are two different things, but it is right to state transportation as a subdivision of logistics. When talking about logistics, the professionals are required to take in the additional step to include in transportation, which are:

• Storage
• Packaging
• Insurance
• Containerization
• Cargo damage claims
• The responsibility of justifying expenses and explaining the risk
• Working with professionals in the supply chain
• Management of clients and vendors
• Import/ Export Regulations
• Documentation

Many professionals ignore the most crucial part of management, which is using the right software and it is a mistake often done by big and small businesses. The doom of the whole logistic management could be this simple mistake if it were not a part of the business plan.

Transportation management system software is necessary for every logistics department because it can see beyond an executive’s reach. A lot of outcomes and management can be handled through software out of an executive’s reach.

At times outsourcing logistics to professionals can result in greater benefits for a business. This helps manage the transportation system and helps build integrated services to handle accounting claims and develop custom cargo programs. Having a custom inbound cargo program will allow the logistics executive to have meaningful relations with other companies and supply chain professionals.

Instead of focusing on logistics and transportation details, a business should be focused on delivering results. As a business is focused on results, it can generate cost-effective ways of running operations at a much quicker pace.

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.

Insurance is a method of risk management and is utilized to protect an individual or a company from financial losses. The policyholder or insured individual buys an insurance plan or policy from a company for a price known as the premium. An insurance policy is based on the idea of sharing risks between the insured and the insurer. If the insured experiences a loss that is covered by the policy, he files a claim to the insurer. This article lists various types of insurances and helps you choose one for yourself!

1. Life Insurance

The idea behind life insurance is to leave some money for your family when you die. Often, a family is dependent on one or two bread earners who provide for the family. Therefore, if the bread earner dies, the family must have something to meet their needs. According to insurance experts, a life insurance policy premium should be 10% of your yearly income. When provided to the family, this amount should cover the funeral expenses of the deceased, other ongoing expenses like mortgage payments and allow for some money to be allocated for the future. Life insurance is of two types: Term Life, where the insured pays for a set time, and Traditional Whole Life, where the insured pays until he dies.

2. Health Insurance

They say that one is only an illness away from bankruptcy. Health insurance allows one to cover his medical expenses in case of any illness or medical procedure. It also provides for other needs while one is unable to earn due to bad health. There are various types of medical insurances. Some cover private hospitals and medical bills, while others cover traumas and major diseases like heart disease, paralysis, cancer, and other such diseases. Some plans pay a certain percentage regularly to cover ongoing medical conditions such as diabetes. Certain plans cover permanent disabilities and sickness, while others cover the mortgage if one can’t work.

3. Auto Insurance

Automobile insurance is one of the most common insurances that people buy. Every year, millions of car accidents happen on the road, killing thousands and leaving several disabled for life. Therefore, one must get the vehicle insured to prevent suffering a financial loss. Auto insurance covers the repair expenses or replaces the car if it cannot be recovered. Some auto insurances also cover the property destroyed due to the accident. Auto insurances also pay for the damage caused to the other persons as a result of the accident. Additionally, if an insured vehicle is stolen, the insurance policy replaces it with another car.

4. General Insurance

A general insurance policy covers everything besides one’s life. However, it is especially important to study general insurance terms properly, as they can be misled by the company or misunderstood by the individual. General insurance policies usually span one year, and the premium is usually paid at one time. Some risks covered by a general insurance policy include property loss, such as a stolen car or a burnt building, accidental death, travel insurance, and more.

5. Travel Insurance

Travel insurance covers a wide range of aspects. The policy covers emergency medical expenses while one is traveling, any personal liability if one is sued for causing an injury or damaging property, and lost belongings like bags and devices. The travel insurance policy also covers the costs of canceling, cutting, or delaying flights and trips. However, the insurance does not cover any medical condition that was pre-existing before traveling. It is also important to know that the policy does not cover any injury incurred in an adventurous sport or any other dangerous activities.

Before choosing an insurance policy, look carefully at the issues covered. Make sure that the right premium is charged and discuss this in detail with the insurance company. Also, be aware of how to end the policy if needed!

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.

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

Small Business Bookkeeping:
Hiring a Freelance Bookkeeper vs Firm – Which Is Right for Your Business?

Small business bookkeeping hiring a freelance bookkeeper vs firm requires careful consideration of your growth trajectory, budget constraints, and compliance needs—with firms typically offering better scalability and error prevention despite higher upfront costs. The decision impacts everything from daily cash flow management to year-end tax preparation, making it crucial to understand the tradeoffs between freelance flexibility and firm-level expertise.

I’ve spent over two decades as CEO of Complete Controller working with businesses across every industry imaginable, and I’ve witnessed firsthand how the right bookkeeping choice can accelerate growth while the wrong one creates expensive headaches down the road. This article breaks down the real differences between freelance bookkeepers and firms, including cost structures that aren’t always obvious, compliance risks that could sink your business, and the scalability factors that determine whether you’ll outgrow your solution in six months or six years. You’ll gain practical frameworks for evaluating providers, understand when switching makes financial sense, and learn specific red flags that signal it’s time to upgrade your bookkeeping support.

What exactly is the difference between hiring a freelance bookkeeper versus a bookkeeping firm for small businesses?

• Core difference: Freelancers are independent contractors handling your books solo, while firms provide teams with built-in backup and specialized expertise
• Freelancers typically charge $20-50 per hour and work flexible schedules suited for project-based or irregular bookkeeping needs
• Firms offer flat monthly rates starting around $190, providing consistent service levels with CPA oversight and standardized processes
• Risk factors differ significantly: freelancers may leave suddenly without backup, while firms maintain continuity through staff redundancy
• Service scope varies: freelancers handle basic transaction recording, while firms include strategic planning, compliance monitoring, and growth-ready systems

The True Cost Comparison:
Beyond Hourly Rates

Understanding bookkeeping costs requires looking past surface-level pricing to total value delivered. Freelance bookkeepers with 10+ years experience charge up to $34.50/hour, while firms offer flat monthly rates starting at $190/month for basic services. This pricing gap narrows quickly when you factor in hidden costs and long-term implications.

Freelance Cost Structure:

• Hourly billing creates unpredictable monthly expenses
• No coverage during vacation or sick days
• Additional charges for rush work or corrections
• Client bears full cost of training on your specific systems
• Zero redundancy means potential business disruption

Firm Pricing Advantages:

• Predictable flat-rate monthly billing aids budget planning
• Built-in coverage ensures continuous service
• Error corrections included in service agreements
• Standardized onboarding processes reduce setup time
• Team approach provides knowledge redundancy

Many business owners discover that paying $500 monthly for comprehensive firm services beats spending $400 on freelance hours plus another $200 fixing errors. The real savings emerge when firms prevent costly mistakes before they compound into major issues requiring expensive CPA interventions.

Service Depth Analysis:
What You Actually Get

The service gap between freelancers and firms becomes apparent when examining daily deliverables and strategic support levels. Freelancers excel at transaction recording and basic categorization, while firms deliver comprehensive financial management systems designed for growth.

Basic Freelance Services Include:

• Data entry and transaction categorization
• Monthly bank reconciliation
• Simple financial statement preparation
• Year-end document compilation
• Invoice and receipt filing

Comprehensive Firm Capabilities:

• Real-time financial dashboards with KPI tracking
• Monthly CPA-reviewed statements with variance analysis
• Proactive cash flow forecasting and alerts
• Integration with payroll, inventory, and CRM systems
• Strategic tax planning throughout the year
• Industry-specific reporting and benchmarking

Small business accounting services from established firms include dedicated account managers who understand your business model, spot trends before they become problems, and provide actionable insights beyond basic number-crunching. This strategic partnership approach transforms bookkeeping from a necessary evil into a competitive advantage.

Compliance and Risk Management:
Protecting Your Business

In 2024, 33% of accountants made financial errors weekly due to workload pressures, up from 27% in 2022. This alarming trend highlights why team-based review processes matter more than individual expertise when protecting your business from compliance failures.

Freelancers operating solo face inherent limitations in maintaining compliance and audit requirements for small businesses. Without peer review or standardized quality controls, errors slip through undetected until audits or tax deadlines reveal expensive problems.

Firm-Based Risk Mitigation:

1. Multi-level review processes catch errors before filing
2. Segregation of duties prevents fraud and embezzlement
3. Automated compliance tracking for changing regulations
4. Secure document management with audit trails
5. Professional liability insurance coverage
6. Regular training on tax law updates

Common Freelancer Vulnerabilities:

• No backup during personal emergencies
• Limited knowledge of industry-specific regulations
• Informal documentation practices
• Minimal technology security measures
• Personal financial problems affecting work quality

The cost of non-compliance extends beyond fines to include legal fees, lost business opportunities, and reputational damage. Firms invest in systems and training that individual freelancers simply cannot match, providing peace of mind worth far more than monthly fee differences.

Scalability Factors:
Planning for Growth

Research shows 68% of businesses using freelancers outgrow them within 18 months, needing advanced reporting or payroll integration. This predictable bottleneck occurs because freelancers optimized for simplicity cannot evolve alongside expanding businesses.

Growth Triggers Requiring Firm Support:

Business Milestone	Freelancer Limitation	Firm Solution
Adding employees	No payroll expertise	Integrated HCM systems
$1M revenue	Basic reporting only	Dashboard analytics
Multiple locations	Single-state knowledge	Multi-jurisdiction compliance
Seeking investment	Informal documentation	Audit-ready financials
International sales	US-only experience	Global accounting standards

Boxelder Consulting solved tax resolution bottlenecks by partnering with Bench Accounting, which provided scalable bookkeeping for clients in 50 states. This partnership enabled geographic expansion without the typical growing pains of upgrading financial systems mid-growth.

Cost-effective bookkeeping solutions must balance current needs with future requirements. Starting with a firm positions your business for seamless scaling rather than disruptive transitions during critical growth phases.

Making the Switch: Timing and Transition Strategies

Recognizing when to transition from freelancer to firm prevents crisis-mode decisions that disrupt operations. Warning signs include missed deadlines, increasing errors, unavailable support during crucial periods, and inability to provide strategic insights beyond basic reports.

Optimal Transition Timeline:

1. Month 1: Evaluate current bookkeeping gaps and future needs
2. Month 2: Interview 3-5 firms matching your industry and size
3. Month 3: Run parallel systems during knowledge transfer
4. Month 4: Full transition with historical cleanup completed
5. Month 5: Establish rhythms with new strategic reporting

Red Flags Demanding Immediate Action:

• Tax penalties from filing errors
• Inability to secure loans due to poor documentation
• Cash flow surprises from delayed reporting
• Bookkeeper expressing overwhelm or burnout
• Business decisions delayed by missing financial data

Freelancer Danielle transitioned to a limited company structure after realizing sole proprietorship couldn’t support client growth or tax complexity. This structural evolution mirrors the journey many businesses face when informal bookkeeping arrangements constrain expansion opportunities.

Strategic Decision Framework

Affordable bookkeeping for small businesses requires matching service levels to business complexity while maintaining room for growth. The decision matrix below clarifies when each option makes sense:

Choose Freelancers When:

• Monthly transactions stay below 100
• Business model remains simple and stable
• Budget absolutely prohibits firm fees
• Temporary coverage needed during transitions
• Owner maintains strong financial acumen

Select Firms When:

• Growth trajectory points toward complexity
• Compliance requirements span multiple jurisdictions
• Strategic financial guidance drives decisions
• Business continuity requires redundancy
• Time savings outweigh cost differences

Best practices for hiring a bookkeeper include verifying credentials, checking references from similar businesses, and ensuring cultural fit with your communication style. Whether choosing freelance or firm options, prioritize providers who demonstrate industry knowledge and proactive communication habits.

Conclusion

The choice between freelance bookkeepers and firms ultimately depends on your business trajectory and risk tolerance. While freelancers offer flexibility and lower entry costs, firms provide the scalability, compliance expertise, and strategic support that growing businesses inevitably require. Smart entrepreneurs recognize that small business financial management strategies evolve with company growth, and choosing providers with expansion capacity prevents painful transitions later.

I’ve guided thousands of businesses through this decision at Complete Controller, and the pattern remains consistent: companies that invest in scalable bookkeeping infrastructure early avoid expensive corrections and missed opportunities down the road. Your bookkeeping choice shapes more than just monthly reports—it determines whether financial management accelerates or constrains your business potential.

Take action today by auditing your current bookkeeping effectiveness against future growth plans. If gaps exist between current capabilities and upcoming needs, explore how Complete Controller’s team of CPAs and certified bookkeepers can transform your financial management from basic compliance to strategic advantage. Visit Complete Controller to discover how expert bookkeeping support fuels sustainable business growth.

FAQ

How much more expensive are bookkeeping firms compared to freelancers?

While freelancers charge $20-50 hourly, firms typically start at $190 monthly for basic services. However, firms often prove cheaper long-term by preventing errors—research shows businesses save 40% or more when factoring in mistake corrections, compliance penalties, and strategic planning benefits that firms include standard.

What certifications should I verify when hiring bookkeeping help?

Look for QuickBooks ProAdvisor certification, Certified Public Bookkeeper (CPB) credentials, or CPA licensure. Firms typically employ multiple certified professionals, while freelancers may hold single certifications. Verify current status through official certification databases rather than trusting claims alone.

Can a freelance bookkeeper handle my growing business needs?

Freelancers work well for businesses with under 100 monthly transactions and simple structures. However, 68% of companies outgrow freelance capacity within 18 months due to multi-state operations, employee additions, or investment preparation requiring sophisticated reporting that exceeds individual capabilities.

What risks come with using freelancers for bookkeeping compliance?

Solo freelancers lack peer review processes, increasing error rates significantly—33% of accountants make weekly mistakes under pressure. Without backup coverage, standardized procedures, or regulatory update systems, freelancers expose businesses to audit failures, tax penalties, and documentation gaps that firms systematically prevent.

When should I switch from a freelancer to a bookkeeping firm?

Switch when experiencing missed deadlines, increasing errors, unavailable support during critical periods, or approaching $500K revenue. Other triggers include adding employees, expanding geographically, seeking investment, or needing strategic financial guidance beyond basic transaction recording.

Sources

• Bean Ninjas. “Accounting Firm vs Freelancer for eCommerce.” Bean Ninjas Blog, 13 May 2021.
• Bench.co. “Boxelder and Bench: How a Client-First Tax Resolution Firm Scaled Nationwide.” Bench Blog, 20 Sep 2023. https://www.bench.co/blog/small-business-stories/tax-resolution-bookkeeping
• Caroola. “Sole Trader to Limited – Freelancer Case Study.” Caroola Resources, 2025. https://caroola.com/resources/business-structures/sole-trader-limited-case-study
• Complete Controller. Internal Case Study. 2023.
• Gartner. “Gartner Survey Shows That a Third of Accountants Make Several Errors Per Week Due to Capacity Constraints.” Gartner Newsroom, 21 Feb 2024. https://www.gartner.com/en/newsroom/press-releases/2024-02-21-gartner-survey-shows-that-a-third-of-accountants-make-several-error-per-weeo-due-to-capacity-constraints
• Insight Chicago. “Freelance Bookkeeper vs Firm: Choose Wisely.” Insight Chicago Blog, 16 Jun 2021.
• Investopedia. “Bookkeeping Guide.” https://www.investopedia.com/bookkeeping-4689743
• IRS.gov. “Small Business and Self-Employed Tax Center.” https://www.irs.gov/businesses/small-businesses-self-employed
• Kristy Ting. “Freelance Bookkeeper Salary Guide 2025.” KristyTing.com, 2025. https://kristyting.com/make-money-freelancing/freelance-bookkeeper-salary-the-ultimate-guide
• Mainstay Accounting. “Freelance Bookkeeping Services vs. Agency.” Mainstay Blog, 2025. https://mainstayaccounting.com/freelance-bookkeeping-services-vs-agency-which-is-better
• NerdWallet. “8 Best Online Bookkeeping Services 2024.” NerdWallet, 16 Jul 2024.
• RemoteBooksOnline. “Freelancers vs Bookkeeping Firms: Which Is Better?” RemoteBooksOnline Blog, 29 May 2025.
• SBA.gov. “Manage Your Business Finances.” U.S. Small Business Administration. https://www.sba.gov/business-guide/manage-your-business/finances
• Whistler Valley Business. “Freelance vs Firm: Cost and Quality Tradeoffs.” Whistler Valley Blog, 16 May 2021.

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.

There are several types of financial ratios that are used to evaluate the financial health of a business. Here are the financial ratios you need to understand to evaluate your business’s financial health.

Profitability ratios

Profitability reflects a company’s competitive position in the market and, by extension, the quality of its management. Profitability ratios measure the return earned by the company during a period. Return–on–sales profitability ratios express various subtotals on the income statement as a percentage of revenue. Return on investment profitability ratios measures income relative to assets, equity, or total capital employed. Different types of profitability ratios include:

Gross profit margin ratio

The gross profit margin ratio indicates the percentage of revenue available to cover operating and other expenses and generate profit. A higher gross profit margin indicates some combination of higher product pricing and lower product costs. If a product has a competitive advantage, the company is better able to charge more for it. On the cost side, a higher gross profit margin can also indicate that a company has a competitive advantage in product costs.

Net profit margin ratio

Net profit is calculated as revenue minus all expenses. Net income includes recurring and non – recurring components. Generally, the net profit used in calculating the net profit margin ratio is adjusted for non – recurring items to offer a better view of a company’s potential future profitability.

Return on total asset ratio

Return on total assets measure reflects the return on all assets invested in the company, whether financed with liabilities, debt, or equity. The higher the return on total assets ratio, the more income is generated by a given level of assets. The lower ratio reflects the lower income generated from the given level of assets.

Return on common equity ratio

Return on common equity ratio measures the return earned by a company only on its common equity. The higher the ratio, the company utilizes its common equity very well and vice – versa.

Operating profit margin ratio

Operating profit margin increasing faster than the gross profit margin can indicate improvements in controlling operating costs such as administrative overheads. In contrast, a declining operating profit margin could be an indicator of deteriorating control over operating costs.

Debt coverage ratios

Debt coverage ratios are also known as solvency ratios. Debt coverage ratios are primarily of two types. Debt ratios, the first type, focus on the balance sheet and measure debt capital relative to equity capital. Coverage ratios, the second type, focus on the income statement and measure the ability of a company to cover its debt payments. These ratios are useful in assessing a company’s solvency and, therefore, evaluating the quality of a company’s bonds and other debt obligations. The main types of debt ratios are:

Debt–to–assets ratio

This ratio measures the percentage of total assets financed with debt. Generally, higher debt means higher financial risk and thus weaker solvency. Lower debt indicates higher solvency.

Financial leverage ratio

This ratio is also known as the leverage ratio. It measures the number of total assets supported for each one money unit of equity. The higher the financial leverage ratio, the more leveraged the company can use debt and other liabilities to finance assets.

Interest coverage ratio

This ratio is sometimes referred to as ‘times interest earned.’ It measures the number of times a company’s EBIT could cover its interest payments. A higher interest coverage ratio indicates stronger solvency, offering greater assurance that the company can service its debt from operating earnings.

Market value ratios

Market value ratios relate an observable market value, the stock price, to book values obtained from the company’s financial statements. The two most commonly used market value ratios are:

Earnings per share ratio

Earnings per share determine the portion of a company’s profit allocated to each outstanding share of common stock. It serves as an indicator of a company’s profitability. When calculating, it is more accurate to show the weighted average number of shares outstanding over the reporting term because the number of shares outstanding can change over time.

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.

Business intelligence (BI) refers to the system, software, processes, and other technologies that report and collect business-critical data. Business intelligence aims to permit organizations to tap into their information to make better business decisions. While we used to think of business intelligence as useful in the technology, retail, and finance industries, it is also significant to identify its role in the agriculture industry.

Agricultural businesses share several of the same goals as businesses in other industries.

• They want to pursue to search for new approaches to lower cost with little to no sacrifices
• They want to maximize revenue in the face of increasing operating costs or changes in demand
• They continue to cater to their customer’s requirements by making high-quality, trustworthy products
• They want to enhance their supplier and vendor relationships for ongoing success

An industry or company that uses business intelligence might find these goals more efficient and feasible to implement a business intelligence system.

When applicable to agriculture, BI can cover a broad array of technologies, including but not restricted to:

• Mobile device with agriculture-specific applications.
• Sensors in fields
• Precision agriculture systems
• Cloud-based software and computing for real-time updates
• Internet of Things-enabled equipment and devices.

Once BI systems are carefully developed, they could monitor each aspect of a crunch and collect data and framing operations that farmers could use to make enhancements.

What are the advantages of business intelligence?

Appropriate analysis of the amount of information that farming companies can gather is virtually impossible by utilizing conventional techniques. Implementing a business intelligence system allow farms to make good use of their data and take benefit of its intended advantages, including:

Making data-driven decisions

Foremost and initial, business intelligence drives smarter decisions. Farming’s purpose of giving a service essential to life leaves little room for the problem, and farms required data they could trust. BI systems provide real-time data in the whole business operation so that farmers could better impact their decisions on particular areas and the organizations as a whole.

Increasing competitive benefits

Farming businesses are no strangers to challenging the same product’s sales, specifically as numerous religions or zones grow similar crops quickly because of natural conditions. Better decisions and greater intelligence come with changes to enhance, which can help you gain a benefit over competing farms.

Improving forecasting

Forecasting is a vital part of running an effective agriculture business. All of your productions should be planned, which means you should consider your expected industry demand, weather circumstances, potential obstacles, and labor availability that can affect your goals. Business intelligence could help you with forecasting because it collects information or data over time and notices trends and anomalies on large sets of your data.

Integrating a network of Agri tech

Smart tech agriculture is developing, and business intelligence is an anchor point to collect different technologies into farming operations.

Use cases for BI in agriculture

The agriculture market thoroughly validates the requirement to apply business intelligence to a change of use cases. In doing so, farming operations are in an excellent position to accomplish the above advantages. Some of such instances include

Sales goals

As a farming expenditure change, so might your sales goals in a manner to keep profitability. Business intelligence systems could visualize your operations’ financial end and assist you to enhance your production to make sure you are hitting at the correct point.

Production planning

There are numerous parts to maintain a crop: preparation and availability of the land, irrigation, planting, shipping, and harvesting, to name some. Business intelligence can rely on data from preceding years to enhance your planning and permit you to avoid reinventing the wheel with every new production cycle.

Managing Recalls

No farms need to search themselves at the center of a recall. For recalls, staters could be very costly regarding supplier trust, damaged vendors, and lost revenue. Additionally, it is not always easy to trace recalled products by the supply chain.

Business intelligence simplifies the procedure to keep up with batch numbers, storage conditions, essential data, sell dates, and harvest dates that could help you reduce the impact of a recall.

 

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.

The supply chain is a parallel process of the flow of information and physical flows. The supply chain network is described below.

Marketing

Marketing is an essential part of every company. Showing customers the process of making and delivering the products is one way to market the product.

Operations

Operational objectives are the key to a company’s strategic policy. If these objectives are not completed on time, that the company cannot achieve its strategic goals. Operational objectives can be achieved easily by efficiently utilizing the supply chain network.

Manufacturing

Manufacturing depends upon the demand for their products in the market. Every year there is a specific time around the calendar when demand is higher than the rest of the year. Having a role in marketing, operations and manufacturing makes the supply chain an integral part of the success of every company.

Drivers for Supply Chain Strategy

Supply chain management has been focused on companies to increase their market share and growth. Progressive and automated organizations have developed their system to integrate the needs of their customers and their supply chain management. The basic source of information for a customer is the customer services department, and their expectations are linked with the company’s prestige. Like every company, the most important thing is the expectations of their customers. For a company whose operations are present in different countries, its resources must be aligned with international standards. That is why the management will make sure their strategies are aligned with their suppliers to maintain the development of new products. This alignment allows them to get benefits in different countries.

Supplier Relations

The exchange of information is important between the suppliers and the corporation. The firm will develop strategies to maintain the relations between them and their suppliers. They need to work closely with a long list of companies to enhance their relationships with their competitors. This shows that the firm works on a multi-sourcing policy to enhance its products. This strategy allows them to provide their customers with the best of the best experience.

Use of IT to Manage Suppliers

Regularly having a physical meeting with suppliers not only costs a lot, but they also waste a lot of time for every company. The firm should come up with a two-way suppliers’ concept. One of the companies gets components and commodities, while the other suppliers place the products in the market. To reduce costs, companies will use information technology. This means that their meeting can be virtual, which will reduce the cost of the meeting and save a lot of time.

Leading corporations should go for an e-collaboration with the suppliers by communicating through emails, Excel sheets, and other methods. By using this approach, the firm can have access to new systems such as:

1. Online analytical processing system- the Analytical system is designed in a way to gather new information and process it with the previous data to get an estimated prediction.
2. Forecasting system and inventory planning- forecasting and inventory planning systems are designed to predict the customers’ demands and then plan inventory accordingly.
3. Implementation of these technologies has made the business process of HP strong to manage the relationship of HP along with their suppliers.

Creating and maintaining long and stable relationships with suppliers is the key to success. Progressive firms work with suppliers who have a high market value and keep that relationship strong. A real-time information system is used to process the information and orders of their suppliers. This system updates the deadline for the supply and payment, which must be expedited. This process helps all three tiers by using this system. When do they have to deliver their supplies while the receiver knows? When will they receive their order, and when and how much do they have to pay? This scheduling of information helps the organization in scheduling their production on a real-time basis.

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.

“The banks are your friends,” of course, note the sarcasm in the phrase; it is time to wake up. This is one of the biggest lies that you have been introducing since you started being a newbie in the world of finance. The reality is different, and although it sounds harsh, these banking institutions use many great tricks with only one purpose: to take away our money.

The big banking groups live on money, like blood-sucking vampires, but in an economical version. Is there a way to evade their tricks? Yes, you will have to pay attention here and apply each piece of advice. In this article, we are going to present to you the 5 most used lies by banks and how to avoid them.

1. You are obligated to pay commissions

The first lie on the list is one of the most common, and surely you have already encountered it. It is about the blessed commissions, which, to anyone, would give a good headache. These are applied for ” account maintenance” and a myriad of reasons that do not have much foundation.

This point is that the banks claim they cannot eliminate them from any account of a natural person or even small businesses. It is a fact, however, that these can magically be eliminated from large accounts. Is not it suspicious?

But for your information and your benefit, you can evade these commissions calmly, all in a legal way. For this, you only need negotiation skills and follow certain tricks. First, record this. The client is not obliged to pay commissions.

Surely, they will send you right to the office of some promoter, where they will entangle you with many words and credit promotions. Evade all this and state your situation. As a last option, if they refuse to help you with the negotiations, announce your definitive withdrawal from said bank. Believe it or not, this works since you will not want to lose a client.

2. To close your account, you must go to where you have opened it

Any bank wants to keep its clientele “dependent” on its financial management and the whole thing. The point is that when some of them finally want to close their account to stop dispensing with their services, they go to the second lie of this article: ” you must close your account at the branch where you have opened. “ Total lie!

It should be noted that any bank has the power to close an account from any branch, whether the customer is physically present. You can use media such as telephone, written requests, either paper or digital (email).

As you probably have already noticed, losing a client to the bank is an intolerable fact. They will not let you go that easy. Insistence is the key to achieving your goal.

3. Advice on investments

The misnamed ” investment advisors “strategy is used to attract large and small victims to a trap that will end up just getting your money. These come to you seeking to make investments in products that they consider effective for capital gain, which is nothing more than a hoax.

In this situation, you should know that every action taken by the bank is linked to orders from government institutions, which have other purposes than helping you with your money.

For example, in Spain, there is the case of the Territorial Directorate, which is, in most cases, the one that dictates to the banks “what products they must sell to their customers.”

Once these meetings have been carried out, which are not so different in other countries (even in Latin America), the banking groups must sell a specific product right and left. This includes youth or elderly clients.

Remember, the bank is not your friend; much less can advise you on managing your finances. Such staff may not even have any training at the economics level, so you know ​​how serious the issue is.

To avoid falling into this vile trap, he resorts to other media to obtain information regarding elements involved in the current market. This way, you will have a much more realistic idea of ​​where you should invest your money.

4. Promote ” instant credits and low interest“

Put yourself in this situation: you are looking for a quick way to get money to invest in your new project or business. You go to the bank for a loan and perfect, they have approved you! Everything seems magically good, and they have mentioned an interest rate of 2% in a period of 2 or 3 years. What more could you ask for?

Be incredibly careful to fall into this specific lie since the repercussions that could have on your financial life could be quite damaging. Credits rarely remain with a fixed interest rate and less at such long terms.

Inflation is a factor that you should consider before going to any of those false-friendly loans proposed by the bank. In extreme cases, people have ended up paying more than twice what they originally purchased for simple increases of up to 15% interest abruptly.

5. Offer “free” products

In many cases, banks go to the lie to offer credit cards, specific products, or ” give away ” discounts. They boast of offering their customers all this for free, do not let them persuade! Without exaggerating, in at least 95% of cases, it is like signing a contract with very small letters hidden in between.

The bank will never tell you about the hidden costs that are included in the gifts it offers. Among them are tax costs, annual maintenance, or transportation, if it should be sent to your home.

These costs are sometimes really exaggerated, reaching, for example, three times the cost of a shipment of any of these gifts to your home than what you would pay for high-quality entrustment services. How about?

But more than that, the products that the banks offer for free will force you to stay in the bank. You may be accepted to keep your card, account, and other tools linked or affiliated to a specific bank without the right to cancel any. Be careful with this!

Finally, the best you can do is limit the use of the bank to save your money without many commitments, or if you prefer, go to other institutions such as Credit Unions or cooperatives, which do not go (not as often) to such lies.

It should be noted that not all banks fall within the same lot described here. However, since paper money stopped having the backing in gold that it previously had (more than 100 years ago), we are before an economic society that cannibalizes itself. It is better to keep at bay the operations you do with these institutions since no other.

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.

The index funds are my favorite investment funds, and so have most of my money invested in such funds. This article will tell you everything you need to know about indexed funds, even if you don’t know anything right now.

You will discover what exactly they are and how to invest your money in indexed funds without spending time or complicating your life and aspiring to excellent returns. Also, I will tell you how I invest my own money and what my preferred index fund is.

What are index funds?

 Indexed funds, index funds, or passive management are investment funds that directly replicate a stock index. An investment fund allows you to invest your money in thousands of companies at once, and fundamentally there are two types, assets and indexes. The active fund includes, such as Bestinver, Cobas AM, True Value, etc. They are led by a manager who intends to exceed the profitability of the market.

On the other hand, indexed funds replicate the most crucial stock indexes, such as the IBEX 35, the S&P 500, the Euro Stoxx 50, or the MSCI World. In this way, you make sure to obtain the historical profitability of the markets in your investment portfolio. This return is approximately 7% per year.

Advantages of index funds

1. Meager commissions

Commissions are essential when you invest your money since an extra 1% annual commission will make your profitability much lower in the long term.

The indexed funds have the lowest commissions in the market, being able to invest in some funds of the best managers such as Vanguard or Amundi, from only 0.30% per year. An annual management fee of less than 1% is perfect and will make your long-term results excellent.

2. You aim for an outstanding average return

As I told you before, the historical profitability of the stock market has been more than 7% per year. If you invest your money in an index fund that replicates a vital index, you will likely achieve that profitability in the long term.

You already know that the stock market is unpredictable and that past returns do not ensure future returns. Still, if you invest in the long term, the risk is minimal.

3. Low risk and high diversification

The fact of being able to invest in thousands of stocks and bonds in a single fund makes your diversification maximum, and therefore your long-term risk is minimal.

Also, you can combine several funds to not invest all your money in equities or exchanges and give more weight to the fixed income depending on your investor profile.

The minimum investment is meager so that you can make periodic contributions. If you want to invest directly in stocks or do it in active funds, your investment amount must be minimum. But, it is not suitable for indexed funds. You can invest in indexed funds in the US with minimum contributions of $100 or $150 per month, even $50 per month.

4. Index funds and tax benefits

Investors start facing relatively low turnovers since they start managing index funds passively. It means managers place a few trades during a given year. Fund managers produce the least capital gains distributions as they place fewer trades. They pass along to stakeholders or shareholders.

5. Least Expenses

The function of passive manages of index funds is their lower expenses. Fund management starts decreasing than actively managed funds when there is a lack of stock and bonds research process. They should conduct it to buy and sell for the portfolio. Investors pass these savings costs along with them. That’s why find index funds with minimum expense rates. Investors will work more efficiently when you have the least expenses and maximum money than in the opposite situation. In this way, your outperform actively managed funds provide potential. Compared to actively managed funds, you can keep your expenses lower as it is an essential benefit of index funds. As you lower your expenses, the more savings and profitable earnings you will have or earn. 

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.

Innovation is an idea or invention translated into a product or service that creates value for customers and can be replicated at an economical cost. Moreover, the idea should be novel, so the innovator can charge a premium for a specific period until, or unless, the innovation is copied by others. Below are several innovation theories:

Linear Model of Innovation

Innovation follows a linear model that is based on three different stages: invention, innovation, and diffusion. The model suggests that it follows three different steps whenever an innovation occurs, either in business or science. Firstly, the innovator invents something.  Next, those things transform into innovation where the inventor can take full advantage of the product and develop it for the final step.  Lastly, during diffusion, the innovation starts to be copied by others. Once it reaches the diffusion stage, the innovation cannot provide a long-term advantage to the innovator.  This creates a linear model with a definitive beginning and end.  

Process of Innovation

The theory, known as innovation, highlights how a company can innovate its offerings and services to grow its business and compete in the market. The process of innovation is related to business strategies that make a company competitive.  However, to fully understand and implement business strategies, it is crucial to understand the process of innovation.

The innovation process consists of six different stages, including see, understand, differentiate, lead, model, and grow.

See

In the first stage, it is the responsibility of the innovator to understand business needs and innovate its products and services accordingly. In addition, it should be clear to the company which areas are the most crucial and need innovation and change.  When areas needing innovation are not obvious or not provided, innovation cannot develop, and the company might be lead in the wrong direction by misdirecting resources.

Understand

It is the most crucial stage of the innovation process because, under this stage, the company determines the customers’ needs and then compares them with the existing products and services. If the company is successful in this stage, it can easily provide better solutions to its customers, increasing customer confidence and hopefully generating revenue.

Differentiate

After understanding customers’ needs, differentiating them is the second most difficult stage because a company needs to provide customers the best solution after differentiating itself from rivals.  This is not easy because there is a high risk of customer rejection, and the company must innovate according to customer requirements.

Lead

In this stage, the company must innovate things in its internal systems. Internal innovation is necessary for the company because internal process innovations mean offerings and services become easier and vice versa. Internal systems must grow with the company.

Model

The business model is crucial for every company because if it is not aligned with its business strategy, the company cannot compete successfully. Business model innovation is important because products and services cannot be successfully innovated if the business model and strategy are not innovated.

Grow

It is the last stage of the innovation process because, in this stage, the company can analyze whether a specific innovation provided any advantage to the company or helped the business to grow. Furthermore, if the innovation process works effectively and efficiently, it will add value to the business. Similarly, in this last stage of the innovation process, the company can see whether the business is growing or not.

Understanding and implementing innovation is vital for business growth and development.  It works in conjunction with business strategies to ensure a business meets customer needs, remains competitive, and grows in a direction that makes the company profitable and sustainable.

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.