Child Care Center is a business. Not only you must know grow and development of the child, but you must also know how to keep the business financially viable. To do so, Tameka needs to know why the Effective financial management practices are important to run a child care center. Also, how to maintain a financial management system that includes budget, management of revenue and expenses.
A) I think this situation can be improved by establishing a weekly or monthly cash flow statement depending how closely she needs to monitor the flow of revenue and expenses. By doing this, she will have the important information about how the amount of actual cash coming into the business and the amount of cash out of the business in the form of expenses,
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b) Staff rotas: if she knows staff rotas, she will be able to calculate and forecast weekly wages.
c) Bills: she will need to know when each bill is due for payment.
3) Budget: A budget is a realistic plan that shows the income and expenses you expect to have. So, Tameka needs to make sure that she prepare the annual budget that will help not to have any unexpected expenses. Also, she needs to think twice before she buys something that is not in the budget. If she does not follow the budget she might be at risk of overspending.
4) Choosing a Financial Software: having a financial software is a great tool that can help manage the income and the expenses. So she can use QuickBooks or bookkeeper. Both software is great for payroll, profit and loss reports.
5) Maintaining Receipts and Financial Records: it is very important that she maintains all receipts and financial records. For instance, she can create files for receipts (parent’s fees, food, gas, supplies,