Small Businesses Take Heed: Save Your Key Small Business Documents!customonecfo
According to the most reputable Des Moines CPAs and accountants, the single most sure way for small businesses to run afoul of the law is in not saving key small business documents. For many small businesses here in the greater Des Moines Region, there is often not the time nor personnel on hand to give the businesses books the attention they require. What to do? Here’s a comprehensive rundown of those documents that must be saved by all business owners, small or large.
Save All Gross Receipts for Your Business
These receipts are your proof of income earned by your business and should contain both sources and amounts of income.
- Bank deposits
- Cash receipts
- Customer invoices
- Cash register tapes
Save All Receipts for Items Your Business has Purchased
Most businesses buy things that are then resold to their customers in some form. This is especially true if your business manufactures products and requires raw materials to do so.
- Credit card receipts for business purchases
- Canceled checks for business purchases
- Invoices for business purchases
Save All Your Receipts for Your Business Expenses
To make money you have to spend money on expenses necessary to run your business. Be sure to always have on hand documentation that justifies these types of purchases as they are, often, the ones for which there is the best chance of being challenged. Pay particular attention to any expenses you wish to deduct pertaining to transportation, gifts, travel, and entertainment as they are not wholly deductible. (Consult with a Des Moines accountant about these expenses.)
- Invoices from your suppliers
- Canceled checks for business expenses
- Account statements from your suppliers
- Credit card receipts for business expenses
- Cash register tapes
Save All Documentation Pertaining to Your Payroll Taxes
It is advisable to consult with a Des Moines accountant as to what the law requires pertaining to employment tax record keeping.
Save All Documentation Related to Assets Owned by Your Business
This is the property of various types your business owns and can be a bit complicated in terms of what can be depreciated and at what amount and over what time period. The same goes for laws governing purchases and sale of your assets. It’s always best to consult with a Des Moines accountant as there are significant tax implications involving your assets.
Small business owners need to be especially compliant in saving their documents and then making sure that they are properly accounted for in your business record keeping. This often means you’re going to need some help either in having someone take care of your bookwork or just simply as a source of consultation to make sure you’re handling these functions properly yourself. For almost 15 years CustomOne CFO & Controllers has been helping small businesses in the Greater Des Moines Region keep and maintain this type of documentation. If in doubt, don’t risk getting into trouble. Call CustomOne CFO & Controllers today for a free consultation.