What Is A Balance Sheet?
The balance sheet is one of the three fundamental financial statements in bookkeeping. The purpose of this statement is to illustrate the book value of a company by listing its assets, liabilities, and equity.
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How To Do Bookkeeping: Guide For New Businesses
We’ll teach you how to execute each bookkeeping task in chronological order, including preparatory steps like selecting entry systems and accounting methods.
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What Are Operating Expenses? Your Guide to Understanding Business Costs
Operating expenses (OpEx) are the costs businesses incur to support their day-to-day operations.
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The Basics of Contract Accounting for Businesses
Contract accounting is a branch of accounting that specializes in recording expenses and revenue under contractual agreements. It helps businesses that deal with long-term, project-based, or complex contractual work record financial activity accurately.
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Best Business Bank Accounts in Canada For Every Type of Owner
The best business bank account depends on your business’s stage, size, and industry. You can generally find reliable offerings from Canada’s Big Five banks: Royal Bank of Canada (RBC), Toronto-Dominion Bank (TD), Bank of Nova Scotia (Scotiabank), Bank of Montreal (BMO), and Canadian Imperial Bank of Commerce (CIBC).
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Best Business Bank Accounts for Sole Proprietorships (2026)
Sole proprietorships in Canada are not required to open business bank accounts. However, maintaining a separate account can make compliance easier. Business bank accounts create a clearer distinction between personal and business funds, which simplifies income and expense tracking, supports accurate tax reporting, and helps maintain organized records in the event of a CRA review.
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Decoding The Net Income Formula: Calculations, Examples & Improving Your Numbers
Whether you run your own business or work as an independent contractor, knowing your net income can mean the difference between thriving and struggling. As the number of insolvencies among small businesses in Canadaincreased to 8.8% in 2024 compared to the year before it, understanding this financial metric can help…
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How to Compute Profit Margin and Maximize Your Returns
To calculate gross profit, subtract COGS from total revenue (or net sales). Then, to calculate gross profit margin, divide gross profit by total revenue and multiply the result by 100.
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6 Best Digital Business Bank Accounts in Canada (2026)
Opening a business bank account with a digital provider can give you a strong financial foundation in the modern business landscape. Many of today’s digital banking solutions offer lower fees, competitive interest rates, and useful digital tools.
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RBC vs BMO Business Account A Side-by-Side Comparison (2026)
RBC offers good chequing accounts for small and large businesses, but lacks mid-range options. BMO provides better scalability, offering a wide range of business chequing plans, each with incremental improvements in monthly fees, transaction fees, and transaction allowances.
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Best Nonprofit Bank Accounts in Canada (2026)
To help you select the best fit, we review the best nonprofit bank accounts in Canada, breaking down fees, transaction limits, accessibility, and suitability for different types of organizations.
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How to Make an Invoice
You can make an invoice by generating a template from an invoicing tool (such as a bookkeeping software, invoicing software, spreadsheet, word processor, or payment platform) and filling in the relevant information. Businesses usually send invoices as PDFs, Word documents, spreadsheets, online links, or printed paper.
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AI in Accounting
AI is a flexible technology with multiple applications in accounting. Most applications aid accounting teams in processing vast amounts of data, automating simple tasks, or deepening insights.
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Debits vs Credits: A Comprehensive Guide
In bookkeeping, debits and credits are labels that denote the flow of value across accounts. A debit is the opposite of a credit, which means that for every debit transaction, there is an equal and opposite credit transaction. This labeling system keeps bookkeeping entries balanced, ensuring accuracy and preventing fraud. …
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Double Entry Bookkeeping: A Comprehensive Guide
As your business grows, your bookkeeping responsibilities become more complex. Painting a complete picture of your financial health now means accounting for transactions single-entry accounting systems cannot accommodate, such as assets, liabilities, and equity. A system like double-entry bookkeeping will help you track where money flows, ensuring enhanced bookkeeping accuracy…
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How to Outsource Bookkeeping
Outsourcing bookkeeping has multiple business benefits. Seeking assistance from trained experts gives you time to focus on higher-impact business activities while ensuring essential financial management tasks, such as expense tracking, accounts payable and receivable management, bank reconciliation, and financial report generation, are executed efficiently and accurately. In this article, we’ll…
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General Journal Example Entries: How To Fill In & Format Common Bookkeeping Entries
An essential part of bookkeeping is keeping a detailed record of your financial transactions. Businesses typically achieve this by maintaining a general journal. The simple format of a general journal entry helps you keep track of all essential transaction information, including the transaction date, the amount and account debited, the…
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Cash Flow: Definition, Types, and Importance
Cash flow is one of the key metrics of a company’s financial health. Tracking cash flow gives you a clearer picture of your company’s spending, liquidity, flexibility, and performance.
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Cash Flow Statement: Definition, Importance, and How To Prepare One
A cash flow statement is a financial statement that reports the cash earned and spent over a designated period of time. It illustrates how cash moved in and out of the business.
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What is an Income Statement?
The income statement, also known as the profit and loss (P&L) statement, is one of the key financial statements in bookkeeping.
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What are Financial Statements? Definition, Examples & How To Use Them
The income statement, also known as the profit and loss (P&L) statement, is one of the key financial statements in bookkeeping.
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Small Business Expense Tracking: A Comprehensive Guide
Establishing an effective expense-tracking system yields multiple business benefits. It creates the foundation for streamlined budgeting, bookkeeping, and accounting while also helping you spot fraud and tax advantage opportunities. Additionally, by painting a clear picture of your financial health and cash flow, expense tracking provides your business with the information…
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Cash vs Accrual Accounting: What Method Should You Choose?
Cash-basis accounting recognizes transactions when money is exchanged, while accrual accounting recognizes transactions when billed, regardless of whether the buyer has paid.
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Adjusting Entries in Accrual Accounting: A Definitive Guide For Businesses
The accrual method of accounting requires you to record revenue and expenses as they are incurred, regardless of whether the cash moves in or out of your account. Often, this leads to transactions starting in one accounting period and ending in another. To recognize these transactions properly, you need to…
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A Comprehensive Guide to Bank Reconciliation
Consistently checking your books against bank statements is crucial in ensuring complete bookkeeping accuracy. If you don’t compare your records to the bank’s, you might miss discrepancies, unusual activity, and fraud. This article takes you into a deep dive into bank reconciliation, helping you apply the process for your business’…
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