Triple bottom line

Image by/from WikiMedia Commons The triple bottom line (or otherwise noted as TBL or 3BL) is an accounting framework with three parts: social, environmental (or ecological) and financial. Some organizations have adopted the TBL framework to evaluate their performance in a broader perspective to create greater business value. Business writer John Elkington claims to have […]

Net income: Meaning Of Net Income In Accounting And Business

In business and accounting, net income (also total comprehensive income, net earnings, net profit, bottom line, sales profit, or credit sales) is a measure of the profitability of a venture. It is an entity’s income minus cost of goods sold, expenses (e.g., SG&A), depreciation and amortization, interest, and taxes for an accounting period. It is […]

What Is An Invoice Used For?

An invoice, bill or tab is a commercial document issued by a seller to a buyer, relating to a sale transaction and indicating the products, quantities, and agreed prices for products or services the seller had provided the buyer. Payment terms are usually stated on the invoice. These may specify that the buyer has a […]

Goodwill Definition And Accounting For Goodwill

Goodwill in business is the intangible value exceeding a company’s tangible assets and liabilities, reflecting brand reputation, customer loyalty, and employee expertise. It arises during business acquisitions when the purchase price surpasses the fair value of identifiable net assets. This requires careful allocation and regular impairment testing to guarantee financial statements accurately reflect potential future benefits. Discover how goodwill impacts […]

Cashflow Management Tips For Small Business

To manage cash flow effectively in your small business, regularly review your cash flow statement and establish a cash reserve strategy. Monitor expenses closely to eliminate unnecessary costs and enhance your accounts receivable process by setting clear payment terms and following up promptly. Leverage technology like cloud-based accounting software and mobile banking apps for real-time efficiency. Explore these strategies to […]