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Finances and accounting
It’s important to keep a record of all financial transactions of the business so you can know how much money you have available to pay bills and check if you’re making a profit.
If you’ve never taken an accounting course, we recommend keeping simplified accounting records. The DreamShaper platform and the Excel spreadsheet below (documents to download) will help you with this. By entering your financial forecasts into DreamShaper, the platform provides you with an initial income statement and balance sheet.
The income statement is an accounting document showing all the company’s revenues and expenses (gains and losses) over a defined period. The balance sheet summarizes the financial situation of a business. Both documents are required for the national competition.
As soon as you start spending and receiving money, you must document it. The “Simplified_Accounting_Mini-Businesses” spreadsheet helps with this. Here, you document the money you receive, the money that leaves the business, the debts you have, or the money owed to you. You can also calculate the value of your stock and get explanations on how to complete the income statement and the final balance sheet.
If you already have a bit more experience in accounting, you can go a bit further and keep a General Ledger and a Journal. You will find the necessary documents in the “Complete_Accounting_Mini-Businesses” Excel file. The two webinars on accounting, along with the documents “VAT Rules” and “Special Cases 1 to 4,” may also be useful.