If your business isn’t doing everything it can to stay as competitive as possible, someone else will come in to fill the gap. Managing a business is about delegating responsibility, but it’s also about paying attention to the details. And following a few sensible strategies can give your business the edge it needs to minimise the bottom line.[continue reading…]
Small Business Finances
Cash is not always one of the key strengths of a startup business. Startups key strength is usually the idea, motivation, energy and determination to make it happen. One of the golden rules of a successful business is “increase the cash inflows and decrease the cash outflows”.[continue reading…]
If you’re a shareholder in a business it’s crucial to consider what would happen to both yourself and the company if you died or left the business through a serious illness.[continue reading…]
Many business owners, including contractors, may have found it difficult to secure a competitive mortgage in the past. However, more enlightened lenders and mortgage brokers are happy to provide a mortgage for limited company directors, who may find it hard to prove income on a ‘traditional’ basis.[continue reading…]
As a small business owner, there will be a number of business insurances that you will consider getting, from professional indemnity insurance to private healthcare insurance. Another type of business insurance you might consider getting is Keyman insurance, also known as Key person insurance.[continue reading…]
Pensions remain one of the last remaining significant tax breaks available to contractors, freelancers and business owners. And with the sweeping changes to the flexibility surrounding how you access your pension, there has never been a better time to invest. There are a variety of pensions for directors of limited company and contractors available.
When starting his first business, a friend told me how he decided to use his personal bank account for all of his business transactions. This included the income he generated from his clients, along with all business expenses.[continue reading…]
There are several crucial aspects and documents for a business to operate smoothly and remain solvent. One of the essential files for your enterprise is an invoice.[continue reading…]
When you have formed a limited company, one of your first tasks will be to choose the best bank account for your new business.[continue reading…]
Over the past decade office desks have changed massively, no longer do we see the dominance of calculators, notepads, writing equipment and instruments we used to update company accounts – our desks are now clutter-free and the computer has taken over. All of our trusted aids and devices can now be accessed through our PC, tablet or even our mobile phones. Most businesses have welcomed these changes, as with them they have brought dramatic increases in efficiencies and improvements in the way we work. Yet, one out-of-date accounting tool that many companies still hang on to is the “trusted” spreadsheet.
Doing business on an international scale has almost become the new norm. Today, it’s not only long-standing conglomerates that travel abroad to make business deals or sell products to other countries. Thanks to the internet, even the smallest businesses are obtaining international clients. Stay on top of this shift by learning a little about business etiquette around the world.
With the evolution of financial technology, international money transfers are now easier, faster, and more secure. One thing that hasn’t changed, however, is that these international transfers still come at a steep price.
Money fuels the business world, so regardless of whether you personally view it as a worthwhile goal or merely a necessary evil, you need to keep it at the forefront of your thoughts. Consider that entrepreneurs who just expect their finances to work out aren’t entrepreneurs for very long. You might not be able to control exactly how many clients you win or how much money you make, but you can ensure that all your sums add up and you know precisely where you stand.
A shareholder has the right to receive dividends. When the company has retained profit available, they may declare a dividend. A dividend is a share of profit paid out of the company which is proportionate to the number of shares held.
While having fun may not be a mandatory prerequisite for succeeding in the business world, if you have fun performing vital tasks, you stand to receive a number of benefits. First of all, you’re bound to pay more attention to what you’re doing (instead of just dozing off in boredom), thus reducing the likelihood of a mistake being made. Second, you’re less likely to procrastinate and postpone handling this task, which means that you’re more likely to handle your tasks in time and regularly update them. Finally, if you like what you’re doing, you’ll learn a lot quicker, seeing as how you’ll already have a strong intrinsic motivation for such a thing.
Having good cash flow is fundamentally essential for any business wanting to run smoothly and successfully. A recent UK study found that, on average, SMEs spend more than £1m a year on business-related expenditure such as staffing costs, rent, office equipment and supplies. This highlights how vital it is for SMEs to have a solid grasp of their incomings and outgoings so they can plan ahead and meet these costs.
There is no doubt that accounting software can come with great benefits for your small business. From helping you keep up with the tax deadlines to making it easier to keep records of your business finances, accounting software can be a great help. But how do you choose the right one?
As a small business involved in overseas trading, there lies a high risk due to fluctuating currency. More specifically, the volatile nature of the marketplace and mitigating factors which directly impact the value of selected currencies, both at home and the trading country. As a small limited company or an overseas contractor, it is vital to actively measure the risk and equip your business against changing exchange rates. Failure to do so could tip your business towards financial difficulty, disrupting company cash flow and the overall profitability of the company, writes Keith Tully of Real Business Rescue.
Look, we’ve been there. You’re focused on delivering a project. Then another. Then something enormous comes along and takes up your time. Before you know it, the year’s up. And then it suddenly hits you that you’ve got a self-assessment return to file, and you’ve got absolutely no idea where to start.
Running and maintaining a successful business is incredibly hard work. It doesn’t matter how big or successful you are, a start-up, a big hitter or even if you are dominating the marketplace, things can go wrong at any time. The business plan just might not be right for the market or an unexpected cost could set back your cash flow.