Cash vs Accrual Accounting: Which Method Fits Your Small Business?

on the left, a landscaper giving the homeowner an invoice. on the right, the landscaper reconciling the transaction

Every small business records income and expenses using an accounting method, and that choice shapes both your tax return and your financial statements. Cash vs accrual accounting is one of the first decisions a new owner makes, and it often comes up again as the company adds employees, inventory, or outside investors.  TL;DR: Cash basis […]