Spring Cleaning your business for a New Financial Year
As the financial year draws to a close on the 28th February, and the new Financial year approaches. It’s time to have a look at our businesses and how they are doing.
Find what works and what doesn’t. Toss what’s not working and put new things in place.
Some finance tips, suggestions for a better year.
1. One of the first things to do is get your bookkeeping systems in place for the new year. Don’t procrastinate, don’t put it off for tomorrow. Have a look at your current system and see what isn’t working and what is working. If you like to do it yourself that is fabulous, find a system that works and that works for your accountant. Find that Bookkeeper or accountant that works with you. An accounting software, that I found is very user-friendly. Great for non-accounting people is Wave accounting. Recommended to me by my web designer and I have been using it and so have some of my clients. Best of all its free to use. www.waveapps.com
2. Understand your cash-flow, know what’s coming in and what is going out. February is when we hear the Tax budget, take note of the budget and how it is going to affect you and your business. So you prepare for a great year. Be aware of your business season and start putting away for that rainy day. The months when there is no income but the expenses are still occurring. Find another business that ties to your business but has their good season in your rainy season.
3. Focus on your strengths. I had a client that has technophobia but he is great with construction. He is aware of his strengths and weaknesses. He delegates what he doesn’t like doing. Make sure you love what you do and that it is not a chore to go to work. If you love what you do you can grow a profitable business.
4. I don’t know about you, but I feel like everything is going up. It's time to go back to the old methods. Bartering, trading this for that. Better yet ask for discounts, get a written quote up front, sign up for all loyalty accounts. Every cent counts.
5. Let’s talk about money. My favourite topic. Open separate bank accounts. Don’t keep everything in your cheque account. Open a general savings account e.g market link or money market. An account that accrues interest. Talk to your bank about savings account with great interest rates.
Let your money make more money!
6. Re-look at your business plan. Oops! don't have one, create one. If this is not your forfeit. Speak to your accountant/bookkeeper who will assist you in creating one.
These are a few suggestions. I have written articles on budgets and planning your new year and managing your cash-flow. Pop over to www.thebookkeepingcompany.co.za/blog to view these articles.
My passion is to help people understand their business and help them grow their business.
If you need any help, please do not hesitate to contact me. Cherine@thebookkeepingcompany.co.za or 082 4030792