You might have heard of companies that are incorporated as a limited liability partnership (LLP), but you may not have an idea about what it is and how it works. A limited liability partnership is a form of business entity which is governed by the Limited Liability Partnerships Act 2012. It has merged the traits […]
Category: Bookkeeping
Prohibitions on the Use of Company Names under the Minister’s Direction
According to the Companies Act 1965, a company must get the approval from the SSM or the KPDNHEP on the company’s name before they register the name for the company or change the company’s name. When considering a company name application, SSM will comply with certain restrictions and prohibitions. This includes the prohibitions in using […]
Prohibitions on the Use of Undesirable Company Names
When you want to establish a company (Also see What are the Types of Company Limited by Guarantee?) and start running a business, do you know how you should name your company? Besides being creative and thinking about how the name can introduce your business to people, there are some prohibitions that you need to […]
Understanding Down Payment
Down payments refer to the amount of money that the buyer needs to pay the seller before the finalisation of a sale. That amount will usually be a percentage of the total sum of the sale, and it serves a guarantee to the buyer. Typically, you need to make down payments when you purchase high-priced […]
Understanding Operating Expenses
As a business owner, do you know that you should categorise the costs that your company has incurred? We can divide the costs into two categories, which are the capital expenditure and operating expenses. In this article, we will shed light on the operating expenses, which are the costs that the company has incurred in […]
Understanding the Issuance of Bonus Shares
The term “shares” may sound quite familiar to most people, but what exactly shares are? Generally, shares refer to the units of ownership interests that one has in a company or the financial assets that can provide one with the equal distribution that the company has declared in the form of a dividend. For some […]
The Differences between Partnership and Limited Liability Partnership (LLP)
In Malaysia, there are two types of partnerships, which are general partnerships and limited liability partnerships (LLP). Although both of them are in the same category of partnerships and they do share some similarities, there are quite a lot of differences between them too. Before deciding on the type of partnership you want to establish, […]
Journal Entries for Deferred Revenue
In accounting, deferrals are the accounts where the company has not realised the asset or liability until the next accounting period or a future date. Deferred revenue refers to the revenue that the company has not generated by delivering the goods or services to its customers. It is the payment that the customers have made […]
Understanding the Differences between Revenue and Turnover
How do we determine how successful a business is, or how much the company has developed over the years? When we are finding the answer to these questions, we will usually see the terms revenue and turnover. For those who are not familiar with accounting (Also see The Difference between Financial Accounting and Managerial Accounting) […]
Are Sales and Revenue the Same?
As a business owner, when you look at the financial statements that your accountant or an accounting firm in Singapore that you have outsourced your accounting tasks to has prepared to you, the terms sales and revenue may look familiar. However, do you know their differences? Some people may think that the terms sales and […]