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How to improve your financial IQ

Posted: Aug 25th, 2010

Like many things we know are good for us--exercise, getting a good night's sleep, laying off the French fries--keeping careful track of your business's finances is one of those must-do tasks to keep your business healthy. Nevertheless, a huge number of business owners neglect their numbers, and their business pay the price.

I tend to see two main types of financial blow-off:

Fully neglecting to track income and expenses by letting receipts pile up (or get lost) and failing to enter data into a bookkeeping system.
Doing a decent job of keeping income and expense records up to date, but failing to use the numbers to answer questions about the business's financial situation.