Talk Money Week: Less bias, more talk
Have you ever felt embarrassed about your personal or business finances?
Have you felt uneasy about asking for financial support?
You're not alone, money is often perceived as a ‘touchy' subject and can often be hard to discuss openly.
As accountants, money and numbers are our language. We're not afraid to talk about it but equally, we're here to make it easy for you to talk about.
Although Talk Money Week officially took place last week, the importance of discussing financial matters is never too late…
We're focusing on encouraging people to talk, with the hope of helping those who are struggling with financial troubles or experiencing difficulty managing their finances.
After all, a problem shared is a problem halved, right?
For business owners' personal and business finances are usually intrinsically intertwined.
We're here to listen and help business owners navigate the challenges, and grow their business and personal wealth.
Here are a few steps you can take to help navigate finances and make good decisions for your financial future:
1. Regular financial check-ins:
As a business owner you should be regularly reviewing your financial statements, cash flow and budgets. This could be monthly or quarterly, depending on the size and complexity of your business. Assess your income, expenses, and profits and keep an early eye out for trends that may need attention. Really knowing your numbers when managing your finances will help you to make early decisions and keep ahead of any challenges.
2. Talk with your accountant…we’re not scary!
Fostering an open and transparent relationship with your accountants, sharing both successes and challenges can only be a good thing. Accountants are valuable partners in helping you make informed financial decisions.
When you can clearly communicate your business goals and/or challenges, we can align financial strategies and advice to support those objectives and scenarios. Don't hesitate to ask questions and seek advice. There's no such thing as a ‘silly question' when you speak to us.
We're here to help and we're only a phone call or email away.
3. Cash Flow Management:
“Cash is king” may be a trite expression, but it really is vital for business survival and growth.
Businesses can be operating profitably but if the cash isn't coming in it can cause major challenges. Having a handle on your cash flow cycle, being prepared for periods of high and low cash flow and building a cash reserve to handle unforeseen expenses or economic downturns can make a positive difference. Negotiating favourable terms with suppliers and considering incentivising early payments from clients can all help to maintain positive cash flow.
4. Budgeting and Planning:
To get a clear understanding of your money, you must know where your finances are going. Creating a comprehensive budget and tracking your expenses is the first step. This process allows you to identify unnecessary spending, reduce waste, and allocate more funds toward your goals. Plan for capital expenditures and set aside funds for future investments. Regularly revisit and adjust your budget based on changing business conditions and financial goals.
We encourage you to engage in open discussions about your business finances, seek advice when needed - the earlier the better - and take proactive steps to manage and achieve your financial goals.
Get in touch and start your path to financial wellbeing.