Top Tips to Manage Expenses if You are a Small Business


There is more to a business’s success than the number of visitors or ‘pay now’ clicks. One of the defining aspects of a prosperous business is tracking the expenses, keeping them in check and in being ready for the future. Business expense tracking software can help you achieve just that by making the process easier, simpler and faster.

For small-business owners, treading your own path and calling shots could feel quite empowering. But, it is how you manage money that sets the tone for the success and growth of your business. And yes, it is easier said than done. It is not uncommon for small business owners to struggle with keeping track of business expenses and effectively manage their finances. If you too have been wrestling with similar issues, then these four options might be the best ways to track small business expenses for you.

1: Create a budget and stick to it

One of the most common mistakes made by small business owners is ignoring how important budgeting is for their business. Creating a ballpark figure is essential for a long-standing healthy business habit, which you can always improve and course-correct as you go forward.

Even if your numbers are not spot on at first, there is no need to sweat. Just creating a budget for business expense tracking is enough to make you more mindful of your resources and revenue, and plan methods to improve it. Once you have a rough budget ready, you can evaluate results periodically—weekly, monthly, or every quarter—and assess how your actual numbers fare with your estimates. Over time, you will see your budgeting skills getting more accurate and your money management becoming more efficient.

Also Read: 10 Tips for Small Businesses to Track Their Expenses

2: Always be ahead of deadlines

To track business expenses effectively you must always be aware of the due dates for your bills—be it your loan payments, credit card dues or vendor settlements. With an eye on the deadline, you should always be prepared with enough money to pay off bills on time and maintain your peace of mind. Besides, timely payments help in avoiding payment penalties, lowering credit card scores and vendor relationships going sour. To avoid payment delays, take your pick from a host of free calendars and other time tracking software and use them to set a perpetual payment schedule and payment reminders online. This way, you will never miss a deadline.

3: Separate business expenses from personal

Sometimes in the thick of your daily business expense tracking, you might end up mixing it up with your personal expense tracking. This can lead to disastrous consequences such as incorrect records, over or under spending, shooting past deadlines or missing growth opportunities. The best way to ensure this never happens is to get a robust business expense tracking software and leave things to technology, instead of chance. Apart from keeping your personal and business accounts separate and organised, it can help in tracking your business’s profit margin, maintaining book records and giving insights into your spending habits.

Also Read: 3 Steps for Tracking Your Business Monthly Expenses

4: Always have a consistent cash reserve

Reading about the best way to track small business expenses means nothing if you do not apply them to your business money management system. However, even if you put your best foot forward, be prepared to face tricky situations at any time. You can prepare for emergency expenses by starting a cash reserve. You can do it by setting up a savings account for your business or by investing in money management software. With regular deposits into your cash reserve, you can face any emergency without worrying about unexpected expenses.

How Does Project Management Software Help Drive Business Success


For most small businesses, new work often accompanies stress and anxiety regarding project delivery. And, not many manage to make a success out of it. Project management software recognises various elements involved in making your projects successful, no matter how complex or intricate the process may seem. There is always a way to nail it.

Here’s how project management dashboard software and free project management tools such as business expense tracking software, time tracking software and project budgeting software can help you achieve success:

Time and Project Management
The most important factor that defines the success of a business or an individual is how well they manage time and work at hand. Say as a small business, you undertake any work that comes your way. Now, finishing work on time would need a certain speed without compromising on the quality of work. In such situations, project management software gives you a realistic picture of what you have taken up already, and what you have the scope for in your timesheets.

The task is performed by project management dashboard software using time tracking software. The time tracking software captures each detail of the tasks you perform for a project. By doing it, it gathers enough data to assess and give you suggestions for the upcoming tasks and tips to fit them into your work routine.

    Also Read: Key Benefits of Project Management Software

Estimate with a Project Budgeting Software
Every project requires a set of resources to take it to its fruition. Now, these resources are allotted by managers based on many factors. One of these factors is, of course, the overall budget of the project. Managers map out excel sheets to get the best resource allocation charts, but may still fail to manage departments within the budgets.

Project management software does not just look at the current mapping of the ongoing projects but uses a combination of two tools—project budgeting software and business expense tracking software—to complete the task.

Business expense tracking software is set up to track daily expenditure. By collecting data daily, the tool offers an intuitive understanding of the spending habits for each employee, and subsequently each department. The project budgeting software takes care of the budgets on a project-to-project basis. For every project, it identifies departments that exceed the budget limit and those that are left with funds.
A combination of these two gives the project management dashboard software enough data to estimate how much budget each department requires for an upcoming project. Further, invoicing software users can integrate it with the project management software to generate accurate estimates.

Efficient and Hassle-free Collaborations
Undertaking projects mean involving many people and that can lead to chaos. Inefficient team mapping is one of the most common reasons for project failures. Project management software helps in interlinking different departments that need to work together for a particular project. It then maps the employees in these departments accurately.

The project management dashboard software also helps in aligning projects to overall business goals and objectives, making it easy for everyone on board to have a clear perspective going into a project.

    Also Read: 9 Online Task Management Software for Freelancers and Small Business Owners

Utilise Time Effectively
Knowing your priorities is the key to healthy time management. For the success of any business, it is crucial to strike a balance between project completions and project competitions. Project management software covers the ground from completion to efficiency by using dynamic time tables. Not every day has to be set in a fixed routine and not every employee works the same way. By assessing the pace and behaviour of staff, project management software helps employees utilise their time to the best of their capability.

Project management software is a must-have to ensure the success of projects without fail. There are many free project management software that can help you achieve success without burning a hole in your pocket.

Tips to Make Tracking of Business Expenses Easy


If your budgets are leaking from an invisible hole, it is time to get your business expenses in order and on track as soon as possible.

Business expenses worry most small businesses on a monthly basis, and most small businesses find themselves in an indestructible trap of sorts. Controlling the allocation of budget, or restrict employee spending can be a real challenge. It is difficult to understand why the budget is draining irregularly.

The most efficient way of taking charge of business expenses is efficient and consistent tracking of business expenses. Tracking business expenses not only gives you a daily report on where your budget is going, but also keeps you abreast of the pattern of spending at your workplace.

There are actionable tips to manage tracking of business expenses confidently and efficiently. Here are a few that will help you keep tabs on your budgets and save money:

Get a business expense tracking software
One simple tool that instantly eases out business tracking is a business expense tracking software. Business expense tracking software takes charge of expenses from the basics to the most complex aspects of financial handling. This begins at the hand of the accounting department.

The accounting department can customize a business expense tracking software to fit your financial operations as they go. They can also feed into the tracking software a repository of your earlier transactional history. This gives the software enough data to train itself on and gives it the ability to become intuitive to your pattern of transactions.

Managers can access this software to allocate resources to different departments. And even with a free expense tracking software, employees can stay atop the budgets allocated to them. And all this can be done through an application on their mobile.

    Also Read: 5 Things to Consider While Choosing Your Business Expense Tracking Software

Track your business expenses daily
No budget is drained suddenly at the end of a quarter. How you spend your budget daily reflects how you spend your budget entirely. This means at the end of every working day, you must inspect your expenditure, not necessarily in numbers but in some form of a visual representation.

If you are using a business expense tracking software, you will automatically get graphs and pie charts representing your daily spending. As the software is accessible on your mobile device, you can easily monitor your daily business expenses. The benefit of checking business expenses on a daily basis is multi-fold. From being constantly aware of your expenses, to managing financial reports and everything in between, you can do it all.

Automate business expenses
Once employees file in their business expenses, the managers have to shoulder the burden of collecting and verifying receipts manually. Their job can be made easier by by auto scanning the receipts.
With a business expense tracking software every one of your employees can upload their receipts and get them auto scanned and auto verified. Users can set up the verification process to fit their policies. And if a receipt gets rejected, it goes through the manual review process, so every rejected receipt gets flagged. And the concerned authority can take up the action as it suits their company policy.

    Also Read: Why You Need to Track Your Business Expenses?

Keep tax deductible expenses in check
Certain business expenses like travel, self-education, tools, laundry etc. are tax deductibles. Whenever you get into an account of business expenses, make a note of the tax deductibles. This of course can be done automatically, by profiling tax deductibles through a business expense tracking software. Or you can sift through receipts manually and bracket them into either tax deductibles or otherwise. This varies in every country, and in some cases in every state. So it is best to stay updated regarding this topic.

Tracking business expenses is an extremely crucial step for any business and can be challenging for some. Hope through the course of this read you were able to find some smart tips for business expense tracking.