To survive, businesses need to make profit. But, making profit doesn’t guarantee positive cash flow. One of the biggest mistakes that people make when they’re starting out in business is not keeping proper accounting records. A spreadsheet recording your income... read more
As business owners will attest, achieving positive cash flow is no pure chance. You will have to work at it which involves analyzing your cash inflows and outflows. Knowing that your profit and loss report for that month does... read more
We all know that the number one reason that small businesses fail is due to poor cash flow. In the vast majority of cases, the business was doomed before it started due to a lack of start-up funds to... read more
Would you be prepared to drink snake venom? Probably not. But what if doing that simple act would stop you from dying from a snake bite? You’d think twice, wouldn’t you? And if you were in a location where... read more
Understanding your break even number will focus you on what you need to do to get your sales to the minimum level you need and beyond. The first step is to know what the break-even number is and how... read more
When you are about to launch into a new business, it is essential to create a budget. There are three simple rules to follow: Rule #1. How much money do you need to pay your essential bills? This has... read more
If you operate a business where you sell products or services on account, then sooner or later you’ll have to deal with someone who doesn’t pay their bill on time. It’s easy to put off chasing up the debtor... read more
If there is one area that keeps business owners stressed out and awake at night, it’s worrying about the cashflow questions that go rolling around in your head, like “Will there be enough money to pay the wages, the... read more
So often I hear small business owners and entrepreneurs say that they’re not good at numbers, they don’t like the numbers or that they ignore them completely. I cringe when I hear this, because I know how important a... read more
We all know and hear how things are going to get tough. Some of us have already felt it and experienced downturns in our business. However, there is a very pertinent expression: Every challenge is an opportunity in disguise!... read more
It’s tax time and that means time to set some new financial goals for the new year. It’s also a great time to ask your accountant about what you owe and what expenses you can claim as deductions. In... read more
You may have recently heard about the 7-Eleven debacle where a store owner was fined more than $400k (the largest penalty to date) for systematically exploiting his workers. He paid his workers as little as only $13 per hour... read more
