help with small business accounting in Reno

Tips for Starting an Entity in Nevada and Beyond

The time has finally come. You’ve summoned your inner entrepreneur. You’ve “stuck it to the man” like you’ve been telling your spouse and/or best friend you would for the past few years. You’re ready get rolling down the path of starting your own business, and … you feel completely lost.

Fear not! Many have walked this road before, and while it may seem daunting … even impossible at times, you can conquer the struggles of starting your entity in Nevada. Here’s how.

“Fail to plan and plan to fail.” Yes, it may sound cliché, but this statement rings especially true when considering starting an entity in Nevada. From the initial stages of conceptual design to physically writing your business plan, planning is an absolute necessity to starting your business. Unfortunately, there’s no room for that “sway with the wind and follow my heart” mumbo-jumbo here. You can follow your heart wherever it goes, just have a plan when you do so.

After creating your business plan the time comes to register your business with the state. Visiting the Nevada Silver Flume website (a government website for starting new businesses) will prompt you along a series of different questions, such as what type of business you are starting, your business name, a description of your new entity in Nevada and more.

Your new (hopefully soon to be Fortune 500) company is registered, and it’s time to get cracking on the fun stuff: federal and state licenses and registrations. Again, check with the Nevada Secretary of State website for information on which licenses you will need to operate your business legally. Failing to research exactly which documentation you will need can cost you a lot of money in the future, so doing it right the first time is imperative. Researching business practices and state laws are also important during this time, so don’t forget about those either.

Once you’ve officially registered and licensed your business, let the financing begin. No stage is more important than the other when starting an entity in Nevada; however, this must be done correctly and effectively. From choosing an accountant (such as VAST) or establishing company operating plans and bank accounts, how you handle the financial side of starting your business may determine how it ends as well. Set yourself up for success and consult a professional.

While choosing a location, equipment and employees requires insight specific to each operation, you’ve already began to walk on the racetrack of small-business ownership. For more information on the steps listed above, you can also visit the U.S. Small Business Administration Website. As always, feel free to consult VAST with any questions regarding your entrepreneurial endeavors to learn how we can assist you when starting an entity in Nevada and beyond.

Small Business Accounting: Setting a Strong Foundation for Success

The terms “accounting” or “financial analysis” are often dull enough to put business owners to sleep or frightening enough to send them screaming from a room. In reality, managing company finances can be among the least sexy components of starting your own business; however, establishing methodical and accurate financial habits now will only reap success for your company in the future. Similar to the progression of college math classes, accounting practices only become more complex and varied as your business advances. In order to establish a secure financial foundation that allows your business to grow, keep the following tips in mind for your entrepreneurial ventures.

New business owners often forget that borrowed money must be accounted for before when considering profitability. To fund startup assets such as buildings and equipment, borrowing money is common practice; forgetting to account for the money used to acquire those assets, unfortunately, is common practice as well. Although having more equipment to increase revenues may seem profitable, failing to analyze the value of equipment compared to the revenue can cause confusion and an inaccurate interpretation of your company’s finances. Taking the time to understand your debt-to-profit ratio in the early stages of your business will help maintain that ratio as your company transforms from a small to medium-sized business.

Although it may seem mundane, tracking your company’s breakeven point from the start is crucial to creating a sound financial foundation. Take advantage of the small number of transactions when your doors first open to understand your breakeven analysis thoroughly. By doing so, you’ll have a more comprehensive understanding of the analysis when revenues and expenses begin to increase. All too often small business owners find tracking their breakeven point unnecessary during the first stages of business; when business increases, they find themselves too confused to establish a breakeven analysis, resulting in financial pandemonium.

Company accounting tends to snowball as business grows. Practices that at first appear easy to understand often become more complex over time as assets, debt, transactions and profits increase. Establishing a strong financial foundation during the first months of business is crucial to maintaining financial literacy and achieving success. While VAST welcomes clients throughout all stages of their business’s life cycle, it’s never too early to start building your company’s financial foundation for success.

Small Business Accounting and much, much more ...

VAST offers small business accounting as well as many higher level accounting services for larger businesses. To find out which of our products are best to set your business up for success, visit our products page.