Liabilities: Accounting Speak for Money Your Handmade Business Owes
Liabilities are the money your handmade business owes — like credit card balances, sales tax collected but not yet paid, supplier bills, or equipment loans. In this post, we’ll break down what liabilities mean in plain English, how they show up in your Chart of Accounts, and why tracking what your business owes helps you avoid accidentally spending money that’s already spoken for.
What Are Assets? Accounting Speak for Handmade Business Owners
Assets are one of those accounting words that sounds fancier than it needs to. In plain English, assets are the things your handmade business owns or controls that have value — like money in the bank, payment processor balances, inventory, equipment, or customer invoices waiting to be paid. In this Accounting Speak post, we’ll break down what assets mean for handmade business owners without turning it into a bookkeeping headache.
Chart of Accounts Explained for Handmade Business Owners
What is a Chart of Accounts, and why does it matter in your handmade business? It’s the list of categories that organizes your business finances, and if those categories are a mess, your reports will be too. This plain-English guide breaks down your bookkeeping categories, explains what belongs where, and helps you make more sense of your numbers.
Accounting Speak in Your Handmade Business: A Plain-English Guide
Bookkeeping feels a whole lot harder when the words themselves don’t make sense. If you’ve ever looked at a report, opened your bookkeeping software, or talked to a tax pro and thought, “What the hell does that even mean?” this post is for you. It breaks down common accounting terms for handmade business owners in plain English so you can understand your numbers with more clarity and a lot less confusion.
Why a Running Balance Matters in a Handmade Business
If your business money feels hard to follow from one week to the next, a running balance can help you see what’s actually happening. In this post, I’m sharing why a running balance matters in a handmade business and the simple Money In & Money Out Register I created to help makers track their money more clearly.
