Accounting

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Other important considerations are

Sustainable development

Work practices:
  • recycling; saving energy; prudent use of resources.
  • Marketing and advertising your business/services
  • Effective ways of doing this
  • Up to date equipment
  • Price range of services

In order to be successful a lot of advertising and marketing must take place.
Promotion of both your music label or jazz service that you intend to provide (records)

Sources of finance are a key part to maintaining successful development.
Possible sources of finance are grants from trusts or jazz arts charities, loans from banks and building society, venture capitalists and support from investors (friends and family).

Account records

When you start your business a method for monitoring all your costs and your income is needed. This will entail employing accountants or possibly controlling your own accounts.

Place of trade.

Your products will have to have a point of sale: A method of distribution through third parties to your consumer base.

  • The music studio,
  • record store

Insurance.

The law requires you to have certain forms of insurance depending on the nature of your business, and the number of your employees (if any).  Insurance offers a really valuable safety net.  They may come a time through some form of accidents or malice act where the cost of an insurance premium could turn out to be very valuable due to the return.  The return could come in the form of a claim which would give you the opportunity to further your venture, where you otherwise would not be able to.

Financial control methods

Budgeting, forecasting, good record keeping, good filing systems

Employ an accountant.

Keep a record of invoices and work you have done.
There are several basic methods of maintaining financial records.
Double entry bookkeeping, simplex system.
These are two of the most basic and fundamental bookkeeping methods.  Further to these methods are other methods that can be used to monitor finance.  A lot of which are based upon a double entry book keeping methods and simply using the reports generated by such a system to generate further forms of analysis.
The other forms of analysis are: trial balance, bank reconciliation statements, revenue accounts, balance sheet to mention a few.
There are a number of software programs that can assist you in this.  One of the most popular systems is manufactured by Sage.  Many of these systems though can be programmed into a spreadsheet.

Financial records:

At a minimum, most businesses prepare, or have prepared for them, a Profit and Loss Statement and a Balance Sheet. They summarize all the accounts of a business. Much can be learned about a business. These statements are common to all types of businesses.
If you offer credit to customers, ledgers will be needed for Accounts Receivable. If you purchase material or goods for production or resale, you will need ledgers for Accounts Payable. Maintaining an "aging" schedule of your accounts receivable in order to keep track of how long any particular customer has owed you money on account, is prudent. This process would be done for accounts payable.
Maintenance of cost accounting  records. They include standard cost sheets, overhead application rates, bills of materials, and labour routings. In addition, maintain detailed records of inventory. Inventory records  cover purchase costs, quantities brought in, and quantities used.
There are many other types of financial records that might be needed Personnel and Payroll records.

Simple methods of budgeting

Capital Budgeting methods could be used to incorporate decisions models.
A stop/loss systems is a simple form of a capital decision model. A stop loss system is one that involves setting an acceptable loss on any form of business, that requires any form of continual investment, when that limits if reached stopping investment abruptly.


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