Archive for January, 2010

Mutual Funds Buying and Selling Guide

Sunday, January 3rd, 2010

Investors who are either starting out or who have little money to invest can actually take advantage of the expected growth opportunities that billionaires like Warren Buffett see on the horizon. The way to participate in this? Mutual funds. Mutual funds make an excellent way of investment because you have to make just one purchase and you can easily acquire a wide range of investments. They offer an array of benefits and features. It is very easy to buy these funds and it is much easier to sell the same. However, in order to decide about the best funds suitable to you, you will have to do some research and homework. Following is a brief rundown on how to go about it.

Know the basics
Before you go ahead and start investing, you are strongly recommended to first learn the basics of what mutual funds are and how they work. These funds basically refer to a portfolio that can include different types of securities, such as certificates of deposit, bonds, stocks, and others. The majority of these funds have a certain focus.

Investment goals
In order to get the best return out of your investment, you must also be well aware of your financial goals. The goals must be specific. If you know the objectives you want to achieve, it will be very easy for you to decide about the right kind of mutual funds that are most suitable to you. You may like to ask certain questions to yourself. For example, do you want money to purchase a vacation home? Are you planning for retirement and you need money to fund the same? Do you have to pay for your college education? The answers to these specific questions will help you make an accurate decision.

Your overall portfolio
The next thing that you have to do is to look into your overall portfolio and determine how investment in these funds is going to fit there. The basic investment strategy is same here – you don’t have to invest all your money; make sure you have sufficient money available every time not only to meet your regular expenses but also the emergency ones. Find out the exact percentage of your overall assets that you can afford to invest in mutual funds.

You will also have to determine the amount of risk that you can afford. If you don’t want to go for the risky ventures, you should never invest in aggressive funds. If you do, you will most probably end up having a string of sleepless nights. When it comes to buying and selling of mutual funds, you must also do a thorough research of the market. It will be a nice idea to go through various financial magazines where you can check out the list of these funds rated on the basis of several parameters, such as risk, performance, and others.

Tips to Choosing the Proper Accounting Software

Sunday, January 3rd, 2010

Whether a business is large or small accounting software can improve how financial information is handled. Choosing the proper accounting software is a very important aspect of any successful business. There are key factors that should be considered before selecting the software. Firstly, make sure that the software chosen can integrate properly with all business systems. Next, the software must be capable of doing everything that you need it to do.

Any desirable bookkeeping software should include a billing section for producing invoices for services rendered. An accounts payable section, typically used to enter and pay bills owed. An accounts receivable section, which is used to enter all money received. A purchase order section, which is used to order inventory. A sales order section, which is used to order inventory supplies. A stock/inventory section, which is used to control the company inventory and a general ledger to keep the company’s books.

An important thing to remember is the software should be user friendly. There are many accounting software packages available that are perfectly suited for a novice. Many of these versions can be purchase from your local office supply store. If you are not sure what features are included with different types of software, the salesmen in the bookkeeping departments are very knowledgeable and should be able to provide assistance. However, be prepared to furnish information on what type of system the software will be ran and what results are needed to be accomplished.

If you need help on determine which type of programs you need to properly run your business, consulting with an accountant or book keeping service should be considered. There are many websites available online that provide free versions of accounting software. The free versions are available for unlimited personal use. Commercial use is strictly prohibited. These versions are perfect for creating and printing checks to pay bills, keeping track of all monies coming in or going out, manually entering journal entries and the ability to automatically send reports by email or fax.