Cash flow is the lifeblood of many companies, especially those that are just beginning or expanding rapidly. Understanding cash inflows and outflows, collectively known as "cash flow" can help owners and managers more effetively manage their company in the present and strategically plan for the future. A great tool to get started in this understanding of is with the use of a cash flow budget.

Many businesses finance equipment through leases. Leases allow companies to acquire the equipment and other assets they need without having the initial out-of-pocket cash expenditure of an purchase. These leases can come in the form of an operating lease, which is treated more like a rental, and a capital lease, which is treated more like a purchase for accouting and finance purposes.

Every business owner or manager can face the same questions: how much cash do I have and how long will it last? How much cash will I need in the future? Where can I conserve cash? Using a burn rate forecast can help them answer these very questions. Simply use a model and provide the inputs and view the results.

Preparing your audit committee charter is considered a best business practice and is a requirement for many public companies. It is encouraged for most entities and is a requirement in some states. To often, this document is only addressed annually during an audit, however an audit committee charter should be a living document.

A bill of sale properly documents the sale and is prepared by the seller and given to the buyer. The bill will detail the price, a description of the property, location of the sale. It evidences the transfer of title in the property from the seller to the purchase. For a properly legal sale and for proper accounting treatment the bill of sale form is a must have document.

Use a bank reconciliation to compare your figures per your accounting or financial records to a bank statement to determine any outstanding items. A reconciliation will also flush out those transactions that transpired "outside" of the books so that they can quickly be identified and properly accounted for in the books. A reconciliation is also a great way to monitor fraudulent activity.

In order to confirm a bank balance with the upmost independence, it's best for an accountant, attorney, or finance professional to indepedently send bank cash confirmation letters to client banks. Such an independent document provides a great amount of assurance as to the validity of a stated bank, line of credit, loan, or mortgage balance. These forms must meet a specific set of legal criteria.

An asset purchase agreement is a very important document involved in the purchase of an asset, or the assets, of one entity by another. The agreement can cover specific assets or all of the assets owned by the seller and sold to the buyer in the transaction. A quality asset purchase agreement should be formalized in writing, but what exactly should it contain?

CPA's and other accountant's are often called upon to compile a client's financial statements. A compilation is not an audit or a financial statement review, but instead is the actual preparation of the client's financial statements based on management's assumptions, figures, and representations. So, what exactly is a compilation and compilation report?

Accountng internal controls are the processes and procedures designed to ensure integrity within financial reporting, effective and efficient business operations, and compliance with GAAP, applicable laws and regulations. Safeguarding a company's assets against theft and unauthorized use, acquisition, or disposal is also an integral part of a company's internal control system.