Small Business Accounting Challenges

Small businesses have specific challenges and needs that are very different from larger more established companies.  Budget is typically a concern as small businesses and startups work to get their revenue streams established.  There is an additional challenge addressing the technical aspects of dealing with CRA – something many small business are just not able to do.

Here’s some of the issues we see on a regular basis.

  • Lack of understand of what is a deductible expense
  • Not understanding how GST works
  • Creating invoices that are not compliant with CRA
  • Recording revenue and expenses using Cash accounting methods.
  • Using old and outdated techniques in their business because of lack of awareness of better tools
  • Using the wrong business structure for their company (ie: incorporating too soon or too late)
  • Tracking vehicle expenses
  • Maintaining proper documentation for expenses
  • Missing or not understanding filing deadlines.
  • Not tracking personal injections or withdrawals of cash in their business
  • Using a personal account to run their business
  • Not registering for GST when required

Do you have any of these questions? Connect with us.

Kelowna Accounting provides accounting and tax services for small businesses . We are Cloud Friendly Accountants