Manage My Business Credit

  • CreditBuilder™: Add good payment history to impact your D&B® scores
  • CreditMonitor™: Monitor your credit file in real time with detailed info about changes to your D&B scores
  • CreditSignal®: Receive free alerts to changes in your D&B business credit file

Manage My Business Credit For Me

Monitor Another Company's Credit

Not sure which product is right for your business?

Our Credit Advisors are standing by

to assess your needs and help point
you in the right direction.

Call Today Call 800-700-2733

Ask about our Concierge service.

Business Directory

Business Services

  • VERIFIED™: Get your business data VERIFIED™ to help protect your business identity online
  • Business Shield: Helps protect your company by alerting you to potential warning signs of business identity theft
Help manage your
business identity and

Let us distribute your VERIFIED
to up to 90% of US
consumers searching online.

Call Today Call Today! 800-700-2733

Sign up for FREE today!
Help protect your business identity against inaccuracies and business misrepresentation online and across social media properties
Get it now text

Enterprise Solutions

If your company is looking for a custom enterprise data solution, contact us at
1-800-264-0947 or
Lead Advisor
Better Data, Better Results
Whether you're a list professional or a first-time marketer, our lead experts will work with you to help you target, segment, and select the list most likely to work for you. Learn More.
Call today 1-855-455-8039

Free D-U-N-S Services

Expedited D-U-N-S Services

  • Small Business Starter™: Promote your business online and get an expedited D-U-N-S and business credit file
  • DUNSFile™: Get a D-U-N-S and basic business credit file in 5 business days or less
Company Update
Update your company info today. It's free!
Review and update your existing D&B® credit report, dispute inaccuracies, add financial statements, and review public filings.

Don't have a D&B report? Get your FREE
D&B D-U-N-S now.
Get Started

Understanding Accounting in a Sole Proprietorship

Basic Accounting Tips for Sole Proprietors

sole proprietor accountingA sole proprietorship is traditionally the easiest business structure to start a new business under.

While it does not offer the same level of liability protection as an LLC or corporation structure, it is preferable for simple businesses that do not require that much protection.

Sole proprietorships also do not require such stringent accounting measures, because the business and its owner are essentially one and the same. Any business income is also considered personal income.

In these cases, the owner does not need to be an accounting whiz in order to keep the books straight.

Here are some helpful tips concerning the role of accounting in a sole proprietorship.

Is an EIN Necessary for a Sole Proprietorship?

An EIN is an Employer Identification Number that is issued by the IRS to certain types of businesses at the time when the business is registered. Sole proprietorships are not required to have an EIN, unless the business owner has filed for bankruptcy before, the individual is the business’s second owner, or the owner is planning on hiring some employees.

Most sole proprietors that operate their business without employees use their personal Social Security Numbers when filing their business taxes.

Should Business and Personal Accounts Be Kept Separate?

The line between personal assets and business assets is often blurry in a sole proprietorship. While keeping financial records and accounts separated is helpful for monitoring the business’s profit and loss margins, it is not necessary, because the business and owner are the same entity.

What Kind of Accounting Ledger Works Best for a Sole Proprietorship?

Because accounting in this business model is simplistic, sole proprietors have flexibility in how they choose to keep track of their finances.

Some use a general ledger complete with sub-ledgers, whereas others find it easier to keep a simple journal or a software program like QuickBooks, where they can record the income and expenses generated by the business.

Sole Proprietor Tax Preparation

The IRS requires that the business’s income and all of the owner’s other income (if applicable), be filed on the individual’s tax form.

Separate forms for the business’s income, expenses, and assets need to be completed and filed, along with the individual’s 1040. In addition, sole proprietors are required to pay quarterly estimated taxes.

Is an Accountant Necessary for a Sole Proprietorship?

Since taxes and accounting is easier with a sole proprietorship, hiring a professional accountant is not necessary, but doing so does have its advantages. For instance, a CPA can help a business owner set up an efficient accounting system that works for their unique business.

Over the course of the year, the owner can maintain basic accounting records, and then turn the records over to their accountant at tax time.

This will not only help improve the chances of the taxes being prepared properly, but a CPA may also be able to help the business increase their deductibles, while reducing their tax liability.

Dave Donovan


Dave Donovan has written extensively for the web with a primary focus on articles targeting finance and business.