At the beginning of a small business, paying a subscription fee for an expense tracker may not be feasible. In this case, small businesses can use an excel dashboard template to track their expenses. While the tracking will be manual, you will be on top of your finances.
Why do you need Excel Dashboard?
Having the excel dashboard in place will eliminate the need for you to sift through old receipts to account for each expense when the tax season comes. Moreover, up-to-date entries ensure that you file tax returns accurately. Doing this you won’t have to worry about your company. Besides saving you time, you can also take advantage of tax deductions and have better financial health.
Tax Deductions
If you track your expenses rightly, you might be able to avail a tax deduction for certain expenses or activities. If you qualify for a deduction, you can lower the tax amount you owe and use the savings to grow the business. Surprisingly many small business expenses qualify for a tax deduction, but only a small number of small business owners benefit from them. This is primarily due to inadequate expense tracking practices and not knowing how much you can save.
Why is financial health important?
Most of these businesses fail not because of the markets. But fail because of improper management of the following:
- Mismanagement of resources
- Cash flow issues
- Unsustainable growth
- Poor planning
As you can see, all those factors are related to finances. By ironing up your expenses tracking processes, you can significantly increase the chances of success for your business. You’ll be able to quickly spot unnecessary, unusual, and fraudulent activity that may bring your business down.
Some Common Business expenses are
- Advertising and marketing
- Bank charges
- Electricity
- Telephone
- Labor
- Interest
- Legal & professional
- Payroll
- Training & education
- Software and tools
- Rent
- Repairs and Maintenance
- Utilities
