by Small Business Accounting Software | Sep 22, 2025 | Terminologies
A 12-month accounting period used for financial reporting and tax purposes. It may align with the calendar year or a company-chosen cycle. Many businesses choose fiscal years that reflect seasonal operations.
by Small Business Accounting Software | Sep 21, 2025 | Accounting Proram, Terminologies
A security feature requiring users to verify identity through two methods, such as a password and a mobile code. This prevents unauthorized logins even if credentials are stolen. Essential for safeguarding sensitive financial data.
by Small Business Accounting Software | Sep 21, 2025 | Accounting Proram, Terminologies
Metrics displayed in the system to measure business performance, such as gross margin, collection days, or expense ratios. Accounting software often tracks KPIs in real time. Provides actionable insights for management.
by Small Business Accounting Software | Sep 18, 2025 | Terminologies
The ability to meet long-term obligations. Solvency is assessed by debt-to-equity and interest coverage ratios. A solvent company is more stable and less risky to creditors.
by Small Business Accounting Software | Sep 18, 2025 | Accounting Proram, Terminologies
A customizable format used to issue billing documents to customers. It includes elements like logo, terms, and payment instructions. Consistent templates enhance professionalism and brand recognition.
by Small Business Accounting Software | Sep 18, 2025 | Accounting Proram, Terminologies
The ability to upload bulk journal entries, usually via spreadsheets or API connections. Essential for companies migrating from older systems or handling high-volume adjustments. Ensures efficiency and accuracy.
by Small Business Accounting Software | Sep 17, 2025 | Chart of Accounts, Expenses, Terminologies
Reductions in sales prices given to customers, usually for early payment or promotions. Recorded separately from gross sales to show net sales. Useful for analyzing pricing strategies.
by Small Business Accounting Software | Sep 16, 2025 | Assets, Chart of Accounts, Terminologies
Costs incurred for projects still under development, such as a building not yet finished. This account accumulates expenses until the asset is ready for use. Once complete, the balance is transferred to a fixed asset category.
by Small Business Accounting Software | Sep 14, 2025 | Chart of Accounts, Terminologies
Declared dividends owed to shareholders but not yet distributed. Once declared, they are an obligation until paid. They reduce retained earnings.
by Small Business Accounting Software | Sep 13, 2025 | Chart of Accounts, Expenses, Terminologies
Tracks personal expenses mistakenly or intentionally paid from business funds (e.g., personal groceries, vacations). In accounting, these are recorded separately for clarity, then reclassified as Owner’s Drawings. Ensures accurate tax reporting.
by Small Business Accounting Software | Sep 11, 2025 | Chart of Accounts, Terminologies
Represents ownership interest in a corporation. Issued shares grant voting rights and residual claim on profits. Equity increases when stock is sold to investors.
by Small Business Accounting Software | Sep 9, 2025 | Chart of Accounts, Expenses, Terminologies
Costs to keep equipment, property, or vehicles operational. Unlike improvements, repairs are expensed immediately. Critical for sustaining operations.
