Depreciation: A Plain-English Guide for Small Business Owners
Depreciation spreads the cost of equipment over the years you use it. Learn the straight-line formula, see a worked example and how it affects taxes.
-
-
Accrual vs Cash Accounting: Which Method Fits Your Small Business?
Cash accounting records money when it moves. Accrual records it when it's earned. See the difference side by side, with a worked example and how to choose. -
EBITDA: What It Means and How to Calculate It for a Small Business
EBITDA shows how much your day-to-day operations earn before interest, taxes and depreciation. Here's the formula, a worked example and when it matters. -
Sole Proprietor vs LLC: Which Is Right for Your Small Business?
A sole proprietorship is the simple default. An LLC adds personal liability protection for a small state fee. Compare taxes, costs and paperwork side by side. -
Invoice vs Receipt: What’s the Difference?
An invoice asks for payment. A receipt confirms it. See when to use each, a worked example, and what both documents should include. -
Owner’s Draw vs Salary: How Should You Pay Yourself?
Owner's draw or salary? It depends on how your business is set up. Here's how each works, with an example and a simple routine for paying yourself. -
Revenue vs Income vs Profit: What’s the Difference?
Revenue, income and profit aren't the same. See how they connect in one table and a worked example, and avoid spending money you never made. -
Accounts Payable vs Accounts Receivable: A Plain-English Guide
Accounts payable is money you owe. Accounts receivable is money owed to you. See the difference side by side and how timing both frees up cash. -
Accounts Receivable: A Simple Guide for Small Business Owners
Accounts receivable is money customers owe you. Learn what it means, read a simple aging report, work out DSO, and collect faster. -
Customer Lifetime Value (LTV): What a Customer Is Really Worth
Customer lifetime value is the profit one customer brings over time. Learn the simple formula, see salon and landscaper examples, and compare it with CAC.
