Cash vs Accrual Accounting: Which Is Right for Your Small Business?
Use cash basis for simple businesses with low receivables/inventory and when you want straightforward cash tracking. Use accrual basis for businesses with inventory, significant receivables/payables, or when seeking lenders/investors — accrual gives a more accurate picture of performance. On the go? Listen on The Deep Dive — where we dig deeper into this topic: ‘Cash vs. […]