Custom business checks are used by business owners to make payments for business expenses. As simple as this might seem, custom business checks offer a few advantages that you are probably not aware of. Here are three advantages to consider.
Your expenses paid on a check that carries your business name will lend creditability to your business. This is something you won’t easily accomplish when you write personal checks. As you work with other businesses, it is important that you have all indications of a serious business to put other business owners at ease. The rise and fall of many scams over the internet make investors and potential business partners suspicious of anyone who can’t back their claims of running a legitimate business. Give your business the best possible chance with custom business checks with your business name and address printed.
Appropriate Financial Practices
To avoid complications, especially around tax time, it is important to keep your personal and business expenses and income separate. Even if you run a sole proprietorship, you should always follow best practices when it comes to finances. This will make your bookkeeping a lot simpler. And when tax time rolls around, you won’t have to run through a year’s worth of expenses to try to separate business and personal expenses.
A business check will also provide more in depth details on the nature of your business transactions. For instance, you’ll have employee payroll information with the accompanying pay stubs. Expenses will also be accompanied by the appropriate receipt, invoice or purchase order. A good recording system will even include the contact information of the vendors you paid money to. These should all be included in an approved accounting system, but you can also write in significant details on the check stubs, so you’ll know exactly what check has been assigned a specific payment.
Business checks are also beneficial for tax purposes. They will help to provide a paper trail of all your transactions. When used in conjunction with your accounting system, the payment will not only come out of your bank account but will be posted as an expense to the appropriate account in your accounting system. This makes for good business financial tracking and will help to ensure that you books are always balanced.
A final advantage of using custom business checks is that they offer a layer of security not offered personal checks. Your business check will carry your business name, address and contact, not your personal information. This is important when you do business with a multitude of strangers.
There are other security measures built into business checks. Some banks insist that checks issued should be printed instead of hand-written for further security. This will protect your business from check fraud.
These are just three advantages of using custom business checks. There are many more,which millions of business owners around the world can attest to.
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About The Author:
Brandon has written this article for Tech Checks, a company providing businesses and financial institutions with quality checks and accessories like Quickbooks printable checks, personal checks and business checks..