Profitable Tourism Business

 

Now we jump into the course of Profitable Tourism Business. Provided by the master's studies at the University of Eastern Finland. The focus areas of the course are basic concepts of financial accounting, business planning, profitable thinking, performance reporting and other financial management related matters. 

As part of the course we are asked to keep a learning diary as well as share some learned insights with the world. Thus, here I am writing to you the WORD OF THE WEEK. ;)

This week the topic was to understand the terminology of finance calculations. 

We learned for example that bank overdraft is a small short-term loan, that amortization is taking e.g. expired food that will not bring any income away from the account reports, that overheads are costs that come from the business but not directly from manufacturing or serving, and that accruals are a way to transform incomes and expenses into a correct financial year.

Moreover, we had discussion on how to think from the profitable point of view as a business owner and we all concluded that one of the biggest services you can make to yourself as a business manager is to "hire a good accountant". Thus, the word of the week is to find an accountant you can trust and with whom you have good communication. That is the first key to achieve better financial management at your business.