What Are Your Choices for the proper Business Management

If you are planning to jump into a full-time entrepreneur, we highly recommend that you also take the Entrepreneur Qualification before starting a business. This way, you don’t have to learn all the hard way.

Accounting is in order right from the start

After your business idea and business plan, the next step is to think about who will handle your business accounting. Do you do the accounting yourself or do you entrust it to the accountant? What is decisive here is your own knowledge, interest and time. Do you have the time and expertise in accounting, or would it be wiser to choose an accounting firm to do the accounting for you? 

Light business services do not really solve this problem, even though they are marketed as an easy solution. In most cases, a small entrepreneur pays a fair amount for a small business service without getting any kind of service. At the same price you can get an accounting firm to do all the accounting. In such cases the Management Consultant comes up with innovative options that can really come useful.

Juridical

Next, it’s time to think about the shape of your business. At present, there are only two recommended forms of company remaining: company name or public limited company. Recent changes to the Limited Liability Companies Act have made the general partnership and limited partnership largely unprofitable. we recommend setting up a business if you are just trying your wings as an entrepreneur. It can later be converted into a limited liability company as experience in entrepreneurship has grown. On the other hand, if you were not thinking of trying alone or you have run a business before, a joint stock company is a more appropriate form of company name. The Company Law was amended on July 1, 2019 so that the share capital is no longer required by law. However, in practice, no company can run without any initial capital. Start-up capital covers the costs of starting a business and your life before a company starts making a profit.

Corporate taxation

All existing businesses must register with the prepayment register from the day the business starts. More information on the prepayment register can be found on the taxpayer’s website: 

Value Added Tax Register

You must register for VAT if your company sales exceed € 10,000 per year. Few people know the amount of sales when starting a business. You can even register for VAT even if your sales are less than € 10,000 a year. In this case, you may want to choose the year for your reporting period when the lower limit offsets your VAT immediately and no VAT is payable to you. You can also find more information on the VAT register at vero.fi/value added tax

Along with getting your accounting practices in order, you will also need to invest in employee time clock software to ensure you’re tracking employee’s work hours accurately. Without properly tracking employee’s work hours, your payroll process will be pointless and only cost you more money in the long run. Most time clock solutions offer integration with payroll providers, such as Quickbooks, so you can seamlessly transfer employee work hours for payroll processing.