If your business is short of cash, the money you need might already be there locked up in stock, assets or your debtors’ book. Take a close look at these three areas to free up funds from within your business. 1. Sell, manage or convert assets to cash Your assets include debtors, stock, pre-paid expenses,… Read More
If you’re new to business, it can be common to lose track of your profits then arrive at the end of the financial year with nothing left to pay your taxes. Searching for your missing revenue There are a few reasons why you’ve done well this year but have nothing to show for it. Your… Read More
Every business will have a particular way of tracking and measuring how their business is performing. If you can identify when key indicators deteriorate to a level that causes concern, you can take early action. Find out your cash flow warning triggers. Setting the scene; demand triggers The easiest cash flow warning trigger tends to… Read More
If you’ve been reviewing your business’s financial position and are looking for ways to improve your cash flow, one option is to see if you can lower your expenses without impacting on service, delivery or quality. Track what is happening Record your actual costs and compare them with the amount allocated in your budget. Where… Read More
If you’re failing to meet your cash commitments each month and eating away into your capital reserves, then it’s time to make some serious decisions in your business. A business can survive for a short time without low sales or profits, but not without a positive cash balance. It’s cash which pays the bills and… Read More
Angel investors are usually successful entrepreneurs, retired business owners or corporate executives in search of investment opportunities with promising businesses. They’re looking for an investment they can get a return on their money, but often also contribute to an industry, region, town or business community. What angel investors will expect In exchange for funding, angel… Read More
Although the impact of rising interest rates varies by business, it’s usually preferable for most small businesses to have low interest rates. It’s cheaper to borrow money to grow, or at least with stable interest rates, you can plan for and repay whatever loan you committed to. Cracks can appear however, when interest rates climb… Read More
Your balance sheet and profit and loss statement are two key financial documents as they help uncover what is going right and what can be improved in your business. Overview Many businesses only look at their financial documents once a year, often when provided by the accountant for the end of the year. This can… Read More
Before you decide to apply for business finance, it’s important to have all the information at hand. The more organized you are, the better your chances of success. Before you go and see your bank manager, prepare the following: How much it’ll cost to either buy or set up the business, including what stock or… Read More
Crowdfunding is when you raise capital from the ‘crowd’, or the general population. It’s usually facilitated by online platforms such as www.kickstarter.com and www.indiegogo.com (ask your industry networks or search online for what may match what you’re doing). Some businesses find it a great alternative than the normal method of borrowing or seeking capital directly from angel investors, friends… Read More