Category: Business

  • 4 Ways to Make the Most of Business Down Time

    4 Ways to Make the Most of Business Down Time

    Every business experiences slow periods when the market for their goods or services lessens and sales drop. Business owners might be tempted to view down times as unproductive or wasted, but there are ways you can make the most of your business during these seasons.

    Here are four ways to ensure this time isn’t wasted.

    Man Clicking Icon House 1134 149

    Take a good look at your business

    When things are busy it gets easy to fall into a habit of taking care of day-to-day tasks and forgetting about your overall business picture. Slower times are a great opportunity to step back from the daily grind and ask yourself if your business is still moving towards its goals, what opportunities or challenges are on the horizon, and whether it’s time to try something new.

    Examine various aspects of your business, such as your marketing and sales, to see if they’re all working together or if they need revising. Is your social media account information still accurate? Do you have unanswered emails to respond to? When was the last time you posted on your blog? Should your website be updated?

    This is a great time to take care of those tasks that have been put off for far too long.

    Get bold with your marketingWhen business is booming, entrepreneurs often prioritize tasks that are directly related to profits, and other activities—such as marketing—take a back seat. Rather than using downtimes to catch up, use them to experiment with new tactics. Have you tried creating marketing videos? Used Instagram Live? Sent out direct mail?

    Write blog and social media posts ahead of time. Strategize your next marketing campaign and commit to posting on social media every day. If you have time, build up a backlog of posts so when things get busy again you have pre-written content.

    You can also use this time to learn tactics and tricks you may not fully understand. If you like writing your own marketing materials but don’t understand search engine optimization (SEO) or Google Analytics this is a good time to learn about them. Professional development now can help you in the future.

    Implement new policies and procedures

    If there are changes you want to make in your business, slower times are often a good opportunity to try them. That way, you have the chance to review the modifications and whether they work well for you before they cause a massive headache.

    Are you considering switching shipping companies? Do you want a new web hosting service? Are you looking to automate some client-facing activities? Make these changes during a slow period to get a good feel for how well they work. At least then you can address challenges that arise before things get busy and you’re left dealing with a lot of upset customers.

    Connect with your community

    Quieter periods are a perfect time to get more involved with your community and do some good. Find a local organization that you care about—or that’s related to the work your business does—and partner with them. You could sponsor an event or a seminar, or even run a fundraising drive.

    Not only will you have something to talk about on your social media, you’ll engage customers that care about purchasing from companies that do good. These days, that’s important to a lot of consumers. According to Forbes, 88% of consumers will be more loyal to a company that supports social or environmental issues, and 87% will have a more positive image of a company that supports social or environmental issues.

    Final thoughts

    Remember that business won’t always be slow, so don’t panic when things get quiet. Take the opportunity to reflect on your business, make necessary changes, try new marketing tactics and connect with your community. Doing so can help you make the most of your downtime so your business can rebound more effectively.

  • Federal Budget 2021: What it means for you

    Federal Budget 2021: What it means for you

    Treasurer Josh Frydenberg has released the 2021 Federal Budget and confirmed Australia’s economy is performing more strongly than was expected six months ago. This article has a summary of the “Winners and Losers” of the Budget and we’ve compiled a recap of the key points below. Get in touch with us if you have any questions.

    Entrepreneur Working With Bills 1098 20001

      A Quick Overview

    • This budget assumes our international borders won’t reopen until mid-2022.
    • $1.9 billion has been allocated for our vaccine strategy over the next 5 years, with money set aside for production of mRNA vaccine in Australia.
    • The Low and Middle Income Tax Offset has been extended for another year.
    • The instant asset write-off has been extended for eligible businesses.
    • Superannuation changes planned including repealing the work test for voluntary contributions and expanding the First Home Super Saver Scheme.
    • $17.7 billion in funding for aged care including home care packages and a Basic Daily Fee.
    • More than a billion dollars will go towards the Childcare Subsidy Scheme.
    • There is funding for women’s health programs including cervical and breast cancer screening, depression services for new mothers, endometriosis education and programs to reduce domestic and family violence.
    • The JobTrainer program and apprentice and trainee wage subsidy programs have been expanded.
    • Billions will be invested in Mental Health programs including early intervention and aftercare.
    • Farmers to benefit from the asset write-off, biosecurity measures and National Soil Strategy rebates.
    • Funding for startups, particularly medical startups, has been announced. This is designed to make Australia an attractive place to start and grow a business.
    • The budget includes tax relief for small brewers and distillers.

    The Virus

    As expected, the government has expanded funding for our vaccine strategy, with $1.9 billion set aside for the next five years. A pool of money is also allocated to invest in mRNA vaccine production in Australia. There is also an additional $1.5 billion for COVID-related health services like testing and contact tracing.

    Tax Offset Extended

    The “Low and Middle Income Tax Offset” will remain in place for another year. The tax rebate, which is received after completing your tax returns, depends on your income group. Read more about the offset here, or get in touch with us for more details.

    Asset write-off extension for businesses

    Last year’s asset write-offs are being extended by another 12 months. This means businesses with a turnover of up to $5 billion will be able to write off the full value of any eligible asset. This might be a work vehicle or piece of equipment you’ve bought between the last October budget and June 30, 2023.

    The extension also means any losses incurred up to June 2023 can be offset against prior profits made going back to the 2018-19 financial year.

    Super

    Relaxed residency changes for SMSFs

    This budget confirms the Government will relax residency requirements for SMSFs and small APRA-regulated funds by extending the central control and management test safe harbour from two to five years. The active member test will also be removed, allowing members who are temporarily absent to continue to contribute to their SMSF.

    Removing the work test for voluntary contributions

    Individuals aged 67 to 74 will be able to make non-concessional or salary sacrifice contributions without meeting the work test, subject to existing contribution caps and existing total superannuation balance limits. This change is designed to boost the balances of those who haven’t had the long-term benefits of compulsory superannuation.

    Age for downsizer scheme reduced

    The minimum age for those eligible for the downsizer scheme will be reduced from 65 to 60. The scheme allows a person to make a $300,000 contribution to their superannuation fund after the sale of their home, if they have lived there for 10 years. It is intended to encourage older people to sell family homes, freeing up property for younger generations.

    Changes to threshold for superannuation guarantee eligibility

    Australians earning less than $450 a month will receive superannuation payments following the removal of the income threshold.

    First Home Super Saver Scheme

    First home buyers will be able to access up to $50,000 of additional voluntary concession and non-concessional contributions from their superannuation funds, which is up from $30,000.

    The First Home Super Saver Scheme is designed to help first home buyers raise a deposit quicker.

    Pension Loans Scheme

    Funding has been allocated to improve uptake of the pension loans scheme. This scheme is a voluntary, reverse-mortgage type loan to assist older Australians to unlock equity in their houses and boost their retirement income.

    Aged Care

    The Royal Commission into aged care made it very clear that Australia’s aged care system needs improvement. In response, the Government has put a significant amount ($17.7 billion) towards aged care over the next five years. The money will be spent on 80,000 new home care packages and there’ll be a government-funded “Basic Daily Fee” supplement of $10 per resident a day for providers to improve care and services.

    There is also money allocated to make it easier for seniors to navigate the aged care system, including funding for a new star rating system to make the performance of aged care providers clearer.

    Childcare

    Another “winner” here with $1.7 billion over the next three years for the childcare industry. This will go toward changes to the Childcare Subsidy Scheme (starting July 2022). If you have one child in childcare, the subsidy stays at 65 per cent but if you have two or more, it’s 95 per cent for each child.

    International Tourism

    The last budget in October was based on assumptions that international borders would begin gradually reopening towards the end of 2021. Given the slow vaccine rollout and ongoing outbreaks overseas, the government is now saying the border won’t open until at least mid-2022.

    This is bad news for tourism operators who rely on international visitors. Last year’s budget included $60 million to help some tourism businesses diversify their markets, but there’s little extra support this year.

    Women’s Health

    The Federal Government is allocating $354 million for women’s health which will cover a variety of initiatives including improving cervical and breast cancer screening programs, depression services for pregnant women and new mothers, screening of embryos during IVF, reducing pre-term birth rates, especially among Indigenous communities, reducing eating disorders and other health initiatives including endometriosis education and pain management programs.

    There is also $998 million for reducing domestic and family violence, supporting survivors and a trial program has been announced which gives women fleeing violent relationships up to $5,000 in assistance, split into a $1,500 payment and $3,500 in expenses like rent, legal fees and furniture.

    To help women when it comes to retirement, the government is now introducing a scheme where employees who earn less than $450 a month will be paid the superannuation guarantee. More details on the Women’s Health funding can be found here.

    Youth and employment schemes

    An additional $500 million over two years will be directed to the JobTrainer program to create around 163,000 places and reduce the youth unemployment rate. The JobTrainer scheme unveiled last year is a government plan to drive job creation by up-skilling school leavers or people who are unemployed through free or low-fee courses.

    The supporting apprentices and trainees wage subsidy scheme is also being extended. This program reimburses employers 50 per cent of an apprentice’s or trainee’s wage for the first year, up to a cap of $7000 per quarter.

    Mental Health

    An additional $2.3 billion will be invested into the National Mental Health and Suicide Prevention Plan. There’s funding set aside for early intervention, including a new digital platform to provide online counselling. $298 million will go directly towards suicide prevention with the federal government aiming to with the states and territories to fund aftercare for every person discharged from hospital after a suicide attempt. The majority of the funding will go to treatment though, with a new national network of mental health treatment centres for adults, youth and kids to be set up.

    There is also money allocated to increase the workforce, offering scholarships and clinical placements for nurses, psychologists and allied health practitioners in the mental health space.

    Support for Farmers

    Our farmers can benefit from the asset write-off (extended until June 2023) but there’s also $200 million allocated for a National Soil Strategy which includes rebates for farmers that share soil testing results. The government will also waive almost $15 million of debt owed by more than 5,000 farmers receiving the Farm Household Allowance from Centrelink.

    Start Ups

    A new tax program has been announced which is aimed at encouraging medical and biotech companies to stay in Australia while they develop and then sell their ideas. The “patent box tax regime” will tax any income from a company’s patent at a concessional rate of 17 per cent starting from July 1, 2022. This is compared to 30 per cent tax rate for large businesses and 25 per cent for small-medium businesses.

    The government is focusing on start up businesses with $500 million in other new measures to make Australia an ideal place for businesses, including reducing red tape and encouraging employee share schemes.

    Tax relief for small brewers and distillers

    A win for the little guys here with small brewers and distillers getting more help this year. From July 1 2021 anyone who is eligible will be handed back up to $350,000 worth of taxes.

    Gaming

    A 30% refundable Digital Games Tax Offset has been announced to attract more of the global game market to Australia. To get the offset, eligible businesses have to spend at least $500,000 on certain games expenditure. The finer details are still being decided.

    There are a few more measures announced which we haven’t covered off here. Feel free to read more in this article.

    Get in touch

    Please get in touch with us if you have any questions.

  • Ways to Make a Difference While Making Money

    Ways to Make a Difference While Making Money

    Gone are the days when an entrepreneur was expected to be entirely focused on making a profit. Obviously, earning money is important to being sustainable and therefore staying in business, but it’s possible to both earn a profit and make a positive difference in the world around you, too.

    Business Man Counting Dollar Banknote Online Business Concept 1150 6406

    There are great reasons for doing so. Making a positive difference contributes to the greater good. It can also boost employee morale for people to know they work for a company that gives back. Consumers like to shop at businesses that give back, too. According to a Nielsen study, up to 66% of global consumers are willing to pay more to purchase from companies that are dedicated to making a positive difference.

    It’s called social entrepreneurship, which means running a business that has a charitable component.

    So, how can you have a positive impact while making money?

    Start by building your business model around it

    The first step is to look at your business, its mission, and values, and determine the best ways for you to contribute. Any type of business can give back—those that sell products can contribute those products to local or international organisations that need them. Some businesses can contribute financially or with infrastructure aid. Others find ways to donate their time or expertise.

    Whatever you choose to do, it needs to fit and be sustainable within your business. Don’t contribute so much that your business suffers.

    Here are some ways your business can make a difference:

    1. Contribute financially

    Not every business sells a physical product that can be donated, but that doesn’t mean you can’t help. Choose a cause that’s important to you and partner with an organisation to give them a portion of the proceeds from every transaction, or certain types of transactions. You can do this on an ongoing basis or as part of a limited time engagement.

    2. Encourage your clients to contribute financially

    You could have an even bigger impact by hosting a fundraising drive in which your business matches all proceeds donated by your clients. Email your clients with a link to donate through and tell them you’ll match them—or contribute a certain percentage for each dollar they donate. Doing so can drastically increase the amount of money raised.

    3. Contribute your time

    Not everyone can afford your services, but that doesn’t mean they couldn’t benefit from your advice or knowledge. If you have specialised expertise in an area, consider partnering with a local organisation to host free workshops for people in need. You could give a workshop on financial literacy or ways to pay down debt more quickly, for example.

    If you already host workshops and charge participants to join, consider offering a free spot or two to a relevant organisation so they can choose to have someone attend. You’ll be doing good and helping them at the same time.

    4. Pay your employees to contribute their time

    Your employees may want to help out but don’t have the time or financial ability to do so. Consider giving your employees a paid day off to contribute their time, or pay them to host workshops. You’ll not only be helping a worthwhile cause, you’ll be showing your employees you support them, too.

    Final thoughts

    Making a difference doesn’t have to interfere with earning a profit. The two can even go hand-in-hand. What’s important is that you choose causes that are important to you and your employees, and you build a charitable vision that makes sense for your company.

    Just remember that it’s okay to make money while you’re doing good. Your business needs to be sustainable, so make decisions about giving back that work with your business.

  • How to rebuild trust after a bad online review

    How to rebuild trust after a bad online review

    Online reviews are an important marketing tool for many small businesses. They give potential customers and clients a chance to see how effective your goods or services are, how responsive you are to your clients, and what other people’s experiences of your business have been. The vast majority of people check online reviews before making a purchasing decision.

    When reviews are great, that’s a fantastic thing. It’s when you get negative reviews that you have to adjust. Unfortunately, negative reviews are part of business. You simply can’t please all customers all the time.

    Business Working People Plan Concept 53876 128044

    Here’s the thing: a negative review can actually be a positive for your business. So how do you rebuild trust after a client has vented their frustrations online?

    Leave the negative review up

    A negative review doesn’t have to be the end of the world. Although customers like to see five-star reviews, they understand that perfection is almost impossible—and probably a sign that something is “too good to be true.” In that sense, having a customer or two provide negative feedback gives more credibility to the positive reviews. Customers expect to see a couple of negative reviews. As long as they’re in amongst positive feedback, the negatives likely won’t hurt you much and may even increase your legitimacy, if they’re handled well.

    Respond to the review honestly

    Customer complaints are a way for you to build trust with your potential clients by giving you an opportunity to respond honestly and professionally. Did something go wrong that was out of your hands? Offer an apology and explain what happened. Was there a misunderstanding? Take the opportunity to clear it up. Has the reviewer requested additional information or a solution? Respond online to show what you’ve done to address the situation. Did the reviewer misunderstand a policy? Explain your policy and invite them to contact you if they have further questions.

    Doing so shows readers that you take their concerns seriously and are willing to take responsibility when things go wrong.

    Learn from negative reviews

    If you see the same concerns repeatedly in the online feedback, it may be time to review your services. Negative reviews give you insight into areas where your customers feel your business could make changes, so take the time to consider what you’re being told. It may be that you can improve on your offerings or you need to communicate better with clients to manage their expectations.

    Thank them for their feedback, let them know you’re taking their concerns seriously, and explain what your next steps will be.

    Final thoughts

    Don’t panic. A bad review or two isn’t likely to ruin your reputation. In fact, a few negative reviews can help you build trust with potential clients. You can use the situation to build trust in your business by being responsive, transparent, and honest.

    If possible, make sure your responses include an apology, a statement about your commitment to your clients, and a way to continue the conversation offline, if further communication is needed. Doing so will show potential customers and clients that you care about their feedback and are willing to take responsibility, but it also allows you to move the conversation to a more private forum if the reviewer isn’t happy with your response.

     

  • 5 Tips to Get Out of Debt Faster

    5 Tips to Get Out of Debt Faster

    Living a debt-free life is one of the dreams of many people. However, paying down your debt is easier said than done.

    Some people struggle to keep up with their monthly bills and become overwhelmed with the amount of debt they have to pay. In these circumstances, it’s easy to “stick your head in the sand” instead of tackling the issue head-on. This approach only means you’ll be off track for longer, making it harder for you to recover.

    Business Asian Women Records Income Expenses Home 7861 1769

    In order to help you take back control of your financial situation, we’ve put together some common strategies to help you get out of debt faster. Please get in touch if you need help developing a financial plan that’s custom to your situation. The following options may not be the best solution for you.

    Pay more than the minimum monthly payment.

    Paying only the minimum amount due will keep you in debt for longer. Paying more than the required monthly payment will help you save on interest and speed up the payoff process.

    Cut down your expenses.

    If you’re living paycheck to paycheck because of your bills, you might want to consider cutting down your expenses, especially your unnecessary spending and expensive habits. And while you’re living on a strict budget, use the money you save to pay down your debts.

    Get a part-time job or a side hustle.

    Earning more money can improve your capacity to clear your debts. You may have an untapped skill you can use to earn more. Check out outsourcing platforms online or see who else you can collaborate with.

    Use the debt snowball method.

    The debt snowball method works like this: first, list down all your debts from smallest to largest. Next, commit to make minimum payments on all loans except for the smallest one, which you should pay as much money towards as you can.

    Once you’ve paid off the smallest loan, move on to putting all your excess funds to the second smallest while paying the minimum amount due for the others. Do this until you’re debt-free.

    Use “found money” to pay off your debts.

    “Found money” could be an annual salary increase, a bonus or commission, an inheritance, or maybe a tax refund. Whatever that may be, if you come across an unusual source of income, you can use the money to reduce your debt or at least commit a certain percentage of it.

    With discipline and commitment, it is indeed possible to achieve a worry-free life without debts. However, if you need a more focused debt paydown strategy from an expert, get in touch with us today and let’s work out a plan for your specific situation.

     

  • Still Doing Your Own Payroll? Here’s 3 Reasons Why You Should Stop

    Still Doing Your Own Payroll? Here’s 3 Reasons Why You Should Stop

    At face value, it seems like a great idea.

    If you’re a small business owner with just a few employees, you probably think that hiring a payroll specialist is an expense that you can avoid.

    You feel that you can handle it yourself. You have the best intentions to keep your staff paid right and on time. What could go wrong, right?

    Side View Business Man Calculating Finance Numbers 23 2148793751

    Well, lots actually. Below are the reasons why you should stop doing your own payroll.

    It’s a time waster

    If you don’t have a finance background, you’ll likely spend a substantial amount of time calculating employees’ work hours, computing for taxes and other deductions, creating payslips, processing, and filing.

    And even if you do have a bit of a background in bookkeeping, are you sure you want to spend your precious time doing these tasks instead of focusing on the core aspects of your business?

    You don’t need to study the ins and outs

    Sure, you can learn about relevant tax adjustments and benefits procedures if you want to. But then again, you’d be spending more time educating yourself, not to mention the possibility of making costly mistakes.

    A payroll specialist, on the other hand, knows the ins and outs of taxes, overtimes, contributions, sales commissions, and bonuses. The bottom line is: another professional can do it better, and while they’re at it, you can get back to doing what you do best– like growing your business!

    It may cost you more to do it yourself

    One of the most common mistakes of small business owners is that they think they’re saving money by doing everything on their own. Remember, time is money– and as mentioned earlier, instead of dedicating your time doing tasks such as payroll, you can spend it more efficiently on business activities that drive profits and growth.

    Also, if you get your payroll wrong or you fail to do it on time, you can get penalties that are not fun. These are also avoidable if you entrust a payroll specialist.

    A Better Approach

    If you think hiring a full-time in-house payroll staff is not practical, you can always come to us and let us take care of your payroll. Whether you need weekly, fortnightly, or monthly processing, our team is flexible enough to do it for you.

    As payroll experts, we can keep your employees happy with timely and accurate wages, maintain tax compliance, and ease your back office burden significantly.

    So get in touch with us today and give yourself the peace of mind you deserve!

  • If my business is making a profit, where is the cash?

    If my business is making a profit, where is the cash?

    Some small business owners find themselves in the difficult position of running a business that appears to be profitable but still has no money in the bank. It’s an important situation to address. After all, a lack of adequate cash flow is one of the main causes of small business failure.

    Hand Holding Growth Arrow With Coins

    Here are three reasons profitable businesses have little money in the bank, and what business owners can do to address these situations.

    1. Using business money for personal reasons

    Owners may be using their business bank account as a personal bank account, withdrawing the money as they see fit. Of course, business owners need to earn a living. Instead of using the business account like a personal account, entrepreneurs should give themselves a wage and transfer that from the business account to their personal account at set intervals. If their personal money runs out, they can’t go back to the business account for more money until their next withdrawal date.

    Regular use of the business account, even for relatively small amounts, adds up and can have a drastic effect on a business’s cash flow.

    2. Not collecting payments

    Businesses need to make money, and they do so when customers pay their bills. Not sending out invoices in a timely manner, not following up when customers fail to pay and not conducting adequate credit checks on customers all put cash flow in jeopardy.

    It’s best for business owners to send out invoices with clear payment terms and follow up immediately if customers violate those. They can also put procedures in place to avoid customers who are unlikely to pay for work done or to mitigate the damage if clients attempt to get away without paying. Requiring deposits, for example, are a great way to manage both cash flow and customers.

    3. Not preparing for tax season

    Many small business owners see taxes as something they can worry about later. Then tax season rolls around and they don’t have enough money set aside to pay the collector. In some cases, a business may have suddenly had a large profit increase but not increased the amount set aside for taxes.

    Business owners must treat their taxes as a regular expense. Set money aside each month to pay taxes. If there is a drastic increase in profits, set aside even more money. Being prepared is far better than being caught with too little.

    Final thoughts

    There are steps business owners can take to ensure that their business makes a profit and has money in the bank. First, they should learn how to read and understand their balance sheet and debtors’ ledger. These show how much money is coming in and where it’s going. It also highlights which customers aren’t paying their bills.

    Entrepreneurs should also avoid using the business bank account for personal expenses. Instead, they should pull a set amount of funds to their personal account and limit their personal expenses to that amount.

    Finally, business owners must understand their liabilities. Liabilities affect how much cash is available for their business and even small liabilities add up quickly. Know how much is owed, how much is paid monthly and when those bills are due.

    By keeping track of the money coming into their business and where it goes when it leaves, entrepreneurs can get a better handle on ensuring their business not only makes a profit but actually has money in the bank.

    Got a question about your business? Let’s talk.

  • Signs You’re Undercharging for Your Work

    Signs You’re Undercharging for Your Work

    When it comes to the overall success of your business, one of the most important decisions you’ll face is how to price for the work you do. Charge too much and you could scare away potential customers. Charge too little and you could run yourself out of business.

    Stack Papers Table 1098 3836

    Figuring out how much to charge is stressful, but it’s worth it. If your business doesn’t bring in enough money to pay all the bills and compensate you, it isn’t going to last long.

    So, how can you tell if you’re asking too little for your services? Here are some signs you need to consider charging more, and soon.

    1. The work isn’t worth the money

    Many small business owners have periods where they don’t feel motivated to work. That’s normal. But what’s not normal is repeatedly taking on projects (or clients) that you don’t feel are worth the money they bring in. You may feel obligated to do the work, but there might also be a sense of resentment about it. Working may feel like a chore.

    If the work doesn’t feel as though it’s worth the money you’re making, that’s a sign you need to charge more. You don’t always have to feel keen to work, but you should feel as though you’re being fairly compensated for what you do.

    Which brings us to the second sign…

    2. You’re not taking home a salary

    Small business owners have a tendency to make sure everyone else is taken care of first. There are bills to pay, marketing to take care of and, sometimes, employees who need to earn a living. You can’t forget about yourself, however.

    If your business doesn’t bring in enough to make sure you bring home a reasonable salary then you aren’t charging enough for your services. You own a small business so you can be in control of the work you do—you should also be in control of your salary. If you don’t make a salary, you need to charge more and you need to do so quickly.

    3. Your prices haven’t changed in years

    If you can’t remember the last time you raised your prices—or you can but it was a long time ago, then you need to increase your rates. The cost of living is constantly on the rise and so is the cost of doing business. If your cost of doing business increases but your prices don’t, you’re earning far less from your small business than you used to, or than you should. Don’t go longer than two years without reviewing and increasing your prices. Ideally, you should review your prices annually.

    Final thoughts

    It can be daunting to think about raising your prices, but it’s important to do. You work hard as a small business owner and you deserve compensation for the time you put into your business. You also need to charge enough to ensure all your business expenses are paid for and that you can withstand a cost of doing business increase.

    If changing your prices for current customers seems overwhelming, start small. Set higher prices for your services and charge new customers those rates. If you’re concerned about losing existing clients by raising prices too high too quickly, increase their rates incrementally. You can also give your clients plenty of notice about the increased rates, so they have time to become used to the idea.

    The really good customers and clients will understand that you need to raise the rates and will support you for doing so. Those who don’t probably weren’t great clients to begin with.

    Got a question about your business? Get in touch with us today.

  • A Beginner’s Guide to Cash Flow Forecasting

    A Beginner’s Guide to Cash Flow Forecasting

    Nobody wants their business to fail. Although it’s impossible to predict the future with 100% accuracy, a cash flow forecast is a tool that will help you prepare for different possible scenarios in the future.

    In a nutshell, cash flow forecasting involves estimating how much cash will be coming in and out of your business within a certain period and gives you a clearer picture of your business’s financial health

    What is Cash Flow Forecast?

    Cash flow forecasting is the process of estimating how much cash you’ll have and ensuring you have a sufficient amount to meet your obligations. By focusing on the revenue you expect to generate and the expenses you need to pay, cash flow forecasting can help you better manage your working capital and plan for various positive or difficult scenarios.

    Front View Arrangement Economy Elements 23 2148793796

    A cash flow forecast is composed of three key elements: beginning cash balance, cash inflows (e.g., cash sales, receivables collections), and cash outflows (e.g., expenses for utilities, rent, loan payments, payroll).

    Building Out Cash Flow Scenario Models

    It’s always good to create best-case, worst-case, and moderate financial scenarios. Through cash flow forecasting, you’ll be able to see the impact of these three scenarios and implement a suitable course of action. You can use the models to predict what needs to happen especially during difficult and uncertain times.

    In situations where variables shift quickly such as during a recession, it is highly recommended to review and update your cash flow forecasts regularly on a monthly or even weekly basis. By monitoring your cash flow forecast closely, you’ll be able to identify warning signs such as declining revenue or increasing expenses.

    How to Improve the Accuracy of Your Cash Flow Forecast

    In cash flow forecasting, your estimates are based on historical data. This means having accurate historical data is critical. Below are some tips for improving its accuracy:

    • At the end of the week or the month, input your actual results or the cash that was received and cash spent. This will allow you to identify which items you got wrong in your estimates and evaluate why you got it wrong. This analysis may lead you to identify bigger issues and help you make adjustments to your assumptions.
    • Carefully evaluate all of your assumptions. Just because it’s correct now doesn’t mean it will be true for the future. Go through everything, especially when it comes to sales, and validate it.
    • Don’t forget to include annual payments, loan payments, credit card debt payments, and estimated taxes.
    • It’s almost impossible to forecast where your business is going to be longer than one year out. You’ll introduce more risk and greater uncertainty the further out your financial scenario models go.

    Get Expert Help With Cash Flow Forecasting

    Whether your business is growing, fighting for survival, or you simply want to run your business better, a cash flow forecast can help you make business-critical decisions that impact the financial health of your business.

    To get expert assistance with your cash flow, chat with our team. Get in touch to book a one-on-one consultation with our advisors and we’ll work out a plan to help you keep more money in your pocket.

    We understand that the cost of living has risen now, which now may affect the cash flow forecasting. S & H Tax Accountants are able to guide you and your business into a more stable financial position. We have an excellent team of accountants that are well qualified , experienced and always willing to help. Book an appointment today with S & H Tax Accountants, call us at 03 8759 5532 or email us at info@sahtax.com.au.

  • Life Lessons to Teach Your Kids If You Want Them To Be Rich

    Life Lessons to Teach Your Kids If You Want Them To Be Rich

    Everyone wants the best for their children, and this includes being rich.

    Being rich is not just about money– it is about wealth in all aspects of life. In this article, we will share some life lessons you must teach your kids while they’re young to help them grow into adults who can build financial wealth, meaningful relationships, and overall happy life.

    Lead by example

    Children learn from their parents or the adults they’re exposed to. When it comes to learning, they are like a sponge that can absorb everything they see and hear.

    So show them the right attitude towards winning, losing, thinking, exploring, and dealing with other people. You are the biggest influence on your kids, and whatever you show or tell them can have a more lasting impact than you imagine.

    Be ambitious

    Teach your children to dream– and dream big! You can do this by encouraging them to think of what they want to achieve when they grow up.

    This simple exercise can help them plot their course. Although their aspirations may change several times in the future, the important thing is to help them adopt the attitude of being ambitious.

    Follow your interests

    Help them identify their interests and strengths and build a career from them. Equally important is teaching your kids not to think too much about what other people do with their lives. Highlight that life is about finding what sparks the fire in you and going hard for it.

    Be patient

    What keeps many talented people in the world from being successful is their lack of patience.

    People seem to want success yesterday.

    Teach your children that in real life, things rarely go in a straight line or exactly how they plan it– and that’s okay. Make them understand the importance of hanging in there and persisting for what they truly want to achieve.

    Be curious

    An open mind is a great asset, and good ideas lead to successful businesses.

    Expose them to different people and places to make them see how big and interesting the world is. Encourage them to ask questions and be curious.

    Doing this will help them grow into adults who are constantly engaged and never bored.

    Losing is okay

    Children often struggle to deal with loss.

    Teach them how to become good losers– how to accept defeat and praise others when they’ve been beaten at something. Show them that they can be competitive while remaining friendly and civil.

    But most importantly, teach them how to bounce back after a setback.

    Happy Ambitious Hr Manager Choosing You 1262 19137

    Grooming Your Child for Success

    Teaching these life lessons to your kids can help them grow into resilient, curious, responsible, compassionate, and independent adults.

    Also, these aren’t just tips for children, we can all learn from these good habits and become more successful in life.

    Get in touch with us for more financial tips tailored to your situation.

  • 5 Essential Tips for New Property Investors

    5 Essential Tips for New Property Investors

    Everyone wants to achieve financial independence.

    However, until you have enough income-generating assets, you are unfortunately dependent on someone else such as your employer.

    Home Salesman Stretches Holding Black Pen 1150 14909

    Investing in properties, when done right, can provide an ongoing income stream and a cash lump sum when you decide to sell it. If you are a first-time property investor, check out these five tips that can help you along your journey towards financial independence.

    1. Treat your investment property as a business.

    For your investment to work for you, you need to ensure that it is structured correctly, managed by the right people, and supported by people with technical knowledge and experience. You also have to check its financial viability and make sure it is compliant with government rules.

    2. Don’t do it alone.

    Investing in a property is a major financial decision and commitment. So make sure you understand the business and seek help from trusted advisors or financial planners.

    Make the effort to educate yourself and read about market trends in newspapers or property publications, or surround yourself with those who are experts in these areas.

    3. Research, research, research

    The goal is to buy the right property, in the right location, at the right time, and at the right price to maximize your gains.

    As mentioned, you need to be educated on property investment before you make big decisions. Research the market, talk with local selling agents, real property and investment reports, or visit property websites online to gain some insights.

    4. Invest sensibly

    Buying the wrong property will not deliver your desired results, so you have to be really careful. Put yourself in the shoes of your target renters and ensure that your property meets their specific needs.

    5. Cashflow is vital

    Don’t overcommit financially– choose an investment property that you can afford to own, manage, and maintain.

    Decide how much of your money can you commit upfront and on an ongoing basis. A professional advisor can help you come up with an accurate budget. You can also quantify the cash flow your investment will produce so you can be well-informed before you push through with it.

    Getting Help From Experts

    As a new property investor, it is wise to get all the advice you can get from experts to mitigate risks and maximise potential gains. If you need some help with key investment decisions and compliance matters, simply drop us a message and let us discuss what will work best for your specific situation.

  • Three finance options for your business

    Three finance options for your business

    Most entrepreneurs find a time in their business when they need to access financing. It may be in the early stages of their business when start-up costs for offices, equipment, and employees must be covered. Or it may be later on when they have to relocate, purchase more inventory or equipment, or market their business more aggressively.

    Front View Arrangement Economy Elements 23 2148793796

    Financing a business can be scary, but there are many options for entrepreneurs to consider. They each have different advantages and disadvantages, but chances are there’s a financing option that will work well.

    Here are three options for financing your small business.

    
1. Small business loans

    Business owners typically only think of small business loans that are offered by banks, and financial institutions do offer such loans. Banks may be more conservative with their small business loan offers, however. It can be difficult to secure a bank loan if you have no credit history or collateral to back the loan.

    There are other ways to obtain small business loans. Many governments offer small business financing programs, which can be used for a variety of entrepreneurial expenses. Look into your government’s financing programs to determine if you can obtain money for the expenses you face. Look closely though, not all expenses are necessarily included.

    Less traditional small business loan providers can also be found. Thanks to the Internet, there are even ways to obtain small business loans online, through lending companies. It may be easier to obtain a small business loan through such companies, but they may come with an important disadvantage: high interest rates.

    Before you agree to any loan, no matter who offers it, make sure you understand all the terms and conditions.

    
2. Angel investors

    Angel investors are people who invest their own money into start-up businesses with the expectation that they receive a return if the business succeeds. They are often already successful at investing and could inject experience and wisdom into your business. They also won’t require a loan payment, which can affect your cash flow.

    They may take part ownership of your company and tend to invest in businesses where they can receive a high return. This means that you should be thinking about your business becoming a massive venture in the future, not staying small. You should also be okay with accepting input about your business from someone else.

    3. Bootstrapping

    If you have the money saved or the motivation to work extra hard to make the money you need, and the above options don’t appeal to you, you can always finance your business yourself. The advantage is that you won’t be paying interest rates, you won’t lose ownership of your business and you won’t owe any money. You also won’t feel that you have to give anyone else a say in how you run your company.

    The disadvantage is that you may not be able to grow as quickly as you want, you’ll be dipping into your savings, and you may wind up working very long hours to make up the money.

    Final thoughts

    Most small businesses require an influx of cash in the early stages so the owner can cover the start-up costs and pay bills until regular revenue rolls in. The type of funding you access can depend heavily on your financial situation, your business goals, and your willingness to give up a portion of your company’s ownership.

  • Early Warning Signs of Insolvency to Watch Out For

    Early Warning Signs of Insolvency to Watch Out For

    Running a business isn’t exactly a walk in the park. It is definitely hard work, but a rewarding journey at the same time and you can probably attest to this yourself.

    Sometimes, things also don’t go as planned and you may find your business in financial distress. Suddenly you find yourself falling behind on due dates, suppliers are chasing payments, and your stress levels are skyrocketing.

    Regardless of the nature of your business, you need sufficient cash flow to meet your financial obligations. And the closer you are to not being able to do this, the closer you get to insolvency.

    In order to ensure that your situation doesn’t get worse and prevent your business from going under, here are some early warning signs to look out for. These are signs that you need to deal with the situation as soon as possible.

    Constant Shortage of Cash

    In any type of business, cash is king. So if your business expenses are higher than your earnings, expect to experience some problems in the long run, unless it is well-funded.

    Don’t let your cash flow constantly stay negative for extended periods, as it can imply that cash in the bank could be running low and may eventually lead to bankruptcy.

    Falling Profit Margins

    Long-term survival requires sustained profits. Falling profit margins may mean that costs are increasing and/or income is declining.

    If your business is struggling to earn good profits, it may be difficult to keep it running smoothly and may cause added pressure on your cash flows.

    Csm Insolvency Corporate Insolvency 3249e93210

    Delayed or Defaulting on Payments

    If your business has to constantly delay payments to its creditors, some suppliers may be forced to halt the supply, leading to delays in your production or service delivery.

    Also, it is not unusual to forget or miss a payment. However, if it is becoming too frequent, this is a warning sign of business failure.

    Higher Interest Payments

    If lenders are not confident of your business viability or see your business as high risk, funding debt will cost more and interest payments will be higher. Because high interest can put added pressure on your cash flow, this will likely worsen your situation.

    Difficulty in Raising Capital

    Do you find yourself in constant need of borrowing or asking investors to inject more capital into your business? If so, this is a glaring sign that your business is finding it difficult to self-sustain. Now is the time to re-evaluate your business and check if it is viable in the long term.

    Employee Turnover and Stress in Management

    Businesses in financial distress have increased employee turnover rates and/or reduction in headcount to cut down on costs. Also, significant changes in senior personnel and stress in management are key indicators that your business is in trouble.

    Businessman Sitting In Thought Over Puzzle Wrong Business Model, Unprofitability And Inefficiency. Failed Project. Unprofitable, High Costs. Testing, Finding A Solution. Risk Management

    Market Risks and Other External Factors

    Economic downturns, changes in market trends, the loss of a major market or key customers, loss of a franchise or license, among other external factors may also put friction on your profitability. While these conditions are often inevitable and beyond your control, it is important to be aware of these risk factors and stay ahead of these changes and disruptions. By doing so, you will be able to effectively manage them and cushion their impact on your business.

    Is Your Business At Risk?

    If you find your business showing any or some of these early warning signs, it’s time to take action. The faster you act, the higher your chances of turning things around.

    While nobody knows your business as well as you do, seeking expert financial advice right away is crucial for your survival in the face of insolvency. For a free initial assessment of your business, feel free to get in touch with us.

    We will not only help you understand your current situation, but will also help you consider your options, implement concrete action plans, and minimize your exposure to further risk through practical strategies.

  • 4 Common Sense Financial Tips To Make Your Money Work For You

    4 Common Sense Financial Tips To Make Your Money Work For You

    Good personal finance skills are important in life, but this seemingly simple concept can be difficult to master. Without having a good grasp of how to manage your money effectively, you run the risk of making financial mistakes that could significantly impact your life.

    Young Married Couple With Many Debts Doing Paperwork Together Reviewing Their Bills Planning Family Budget Calculating Finances Kitchen Table With Papers 273609 1653

    Avoid money traps and manage your finances better with the following common-sense financial tips.

    1. Not all ‘tax effective’ investments are good investments.

    The term ‘tax effective’ is used loosely and sometimes, such investments grow so poorly that the benefits of the tax deduction may not make up for the downsides. So when choosing where to invest your money, it is important to not automatically go for what is claimed as ‘tax effective’, but rather choose an asset that is likely to appreciate over time.

    2. Don’t buy a property or asset until you’ve crunched the numbers and understood them.

    Before buying a property or other assets, it pays to look at the finer details. Make sure you or have studied the numbers and are confident in the benefits for your individual situation. There are a range of online calculators you can use, these tools are only useful if you know what to put into it.

    A better approach is to work with a dedicated financial advisor who will take the time to understand your unique situation and guide you on your investments or how you can make money. Chat to us if you have any questions.

    3. Disposable income and financial competency are two different things.

    Earning a high salary is not the same as having good financial practices. In some cases, people earn so much that they don’t realize the impacts of their terrible financial habits.

    So take the time to look at your financial habits and see if there are areas where you can improve. A financial advisor can also help you adopt productive habits and spend your money more wisely. Plus there are many apps and online tools available designed to help you stay on top of your finances and become better at handling your money.

    4. Make sure you have the cash flow to sustain an investment before you push through with it.

    If you can’t afford the principal and interest in a property you are planning to acquire with your current financial position and cash flow, you might want to reconsider the purchase. When you run the numbers, make sure that you consider both the principal and the interest. Pushing through with an investment you can’t afford is not only high risk but can also cause you a lot of stress in the long run.

    Let us help you make better financial decisions…

    We know how hard you work to earn enough for you and your loved ones’ needs. Our financial advisors can help you find tailored financial solutions to suit your needs. Ultimately, it’s about making your money work for you. Get in touch with us today and let us help you achieve the lifestyle you’ve always wanted!

  • How to Move Your Brick and Mortar Retail Store Online

    How to Move Your Brick and Mortar Retail Store Online

    eCommerce is growing rapidly, and recent research estimates that it will make up over 22% of global retail sales by 2023.

    With these statistics and the changes COVID-19 has brought, it’s more important than ever to take your retail business online if you want to stay competitive. It adds another revenue stream and keeps your business humming even while your brick and mortar doors are closed. In this article, we will guide you through launching an online storefront.

    Beautiful Smart Asian Young Entrepreneur Business Woman Owner Sme Checking Product Stock 7861 1180

    Things to Consider Before Starting to Accept Online Orders

    Many businesses fail due to poor planning. So take the time to put together a business plan for your online business launch. Key decisions to make include:

    1) Hosting your own eCommerce site or working with a third party ordering system

    Managing your own eCommerce site allows for greater customization and is cheaper because you won’t have to pay a monthly fee to a third party for processing orders. However, it involves more work upfront and is more time-consuming.

    For those who don’t have the technical expertise to create your own website, there are a lot of tools and eCommerce platforms that have user-friendly, drag-and-drop page builders at your disposal. Some popular platforms include Shopify, BigCommerce, Ecwid, Volusion, and 3dcart.

    On the other hand, you can opt to list your products on an established eCommerce site and pay a higher monthly fee. This will dramatically speed up your online business launch. Some of the best options include Amazon, eBay, Etsy, Bonanza, and Facebook Shops.

    2) Delivery of orders

    You need to figure out how to fulfil orders before they start coming in. You can choose to manage the delivery yourself or work with a third party order processing and shipping platform.

    Processing and shipping logistics can be complex. You need to set shipping rates and methods, take care of the packaging and marketing strategy, as well as determine the radius of your delivery zone– if you’ll only deliver locally, domestically, or internationally.

    If you don’t want to go through the hassle, you can work with a reliable third party to take care of all these for you. Aside from saving you from the stress, you will also be able to ensure that your customers will receive the products in a timely manner.

    3) Marketing your online store

    Once you’ve launched your online business, it’s time to make it thrive. There are various marketing methods you can use such as online advertising, optimised content marketing, email newsletters, and social media.

    Creating optimised content is a cost-effective way to drive organic traffic to your site, but it can be time consuming. The same is true for email newsletters and social media. However, you can always hire professional content marketers who can help you craft engaging SEO content to push your site higher on search results.

    Meanwhile, online advertising ensures that your content and products get seen. If you haven’t tried your hands on online advertising yet, it is recommended to start small and gradually increase your ad budget as you start to see positive results. Also, you should continuously refine your ads to yield better outcomes.

    Getting Your Financials On Track

    We understand that managing an online store is hard work, especially if you run it side by side with your brick and mortar shop. By partnering with our advisors, we can significantly ease your burden and take care of the financial side of your business, while you focus on growing.

    Get in touch with us to find out more about how we can help you.

  • Major Change to Bankruptcy Laws: What Does This Mean For Your Business?

    Major Change to Bankruptcy Laws: What Does This Mean For Your Business?

    It has been extremely difficult for many to keep their businesses afloat amid the COVID-19 crisis. Throwing a lifeline to small businesses, the government has overhauled bankruptcy laws to save thousands of jobs and companies on the verge of collapse.

    Petition Bankruptcy Debt Loan Overdrawn Trouble Concept

    What Are The Changes?

    From the current ‘creditor-in-possession’ regime, Australia’s insolvency laws shifted to a ‘debtor-in-possession system’. Entities with liabilities below $1 million will be able to access the scheme.

    The key features of this temporary insolvency law include:

    • The business owner will remain in control of their company and will work with a Small Business Restructuring Practitioner (SBRP) to craft a restructuring plan in 20 business days
    • The restructuring plan will be presented to creditors and they will vote if it is to be accepted in 15 business days.
    • If the plan is approved, all unsecured creditors will be bound and the business will be allowed to resume trading.
    • If the plan is rejected, the entity may enter into voluntary administration or access the new liquidation pathway which is simplified.

    These reforms will commence on 1 January 2021.

    What Does This Mean for My Business?

    With these changes, the financial pressure on businesses will be significantly reduced, providing more breathing room for business owners to work out their next steps.

    If your business is struggling to stay afloat and you are finding it increasingly difficult to repay ongoing debts, these temporary changes to insolvency laws may be a welcome relief.

    However, it is important to note that these are only temporary. So now is the perfect time to make a realistic assessment of your business’s financial situation and its viability.

    If shutting down your business is inevitable after careful assessment, it will pay to have these conversations sooner.

    Need Help Assessing Your Business?

    Closing your business is a huge decision to make. We understand how difficult this can be for you, so we are here to help you make the best decision for you. We’ll help you carefully assess if you have exhausted all possible solutions or work out a plan with you for your business recovery.

    If you need expert advice, feel free to book a consultation with us.

  • Easy ways to build an online business

    Easy ways to build an online business

    More and more people are leaving their office jobs and setting up an online business these days, especially because of COVID-19/ Running an online business offers a way for you to work from home and be your own boss. It may sound like an overwhelming process, but many entrepreneurs find it fulfilling.

    Happy Women From Ordering Products From Customers Business Owners Who Work Home White Backg 1150 8102

    Here are some tips to increase the chances your small online business will be a success, and you’ll be happy with your decision.

    1. Decide what your online business will be

    There are two important factors to determining what your online business will be: what you enjoy doing and what there’s a market for. If you’re lucky, there will be a market for something you like. Sometimes, however, you have to do a bit of digging to find something that you enjoy and that other people require.
    To be successful, your business has to fill a need. You don’t have to be the only business of its kind in your area—in fact, other existing businesses prove there is a need for your goods or services—but it still has to offer a solution to an issue people face. Without that, you won’t have enough clients or customers.
    Conduct research to ensure there’s a market for a product or service you like offering. There’s no point in running your own business if you don’t like what you’re doing or if no one will buy it.

    2. Build a website

    You need a website for your business. It markets you 24 hours a day and, if you’re an online store, it gives you a place to sell your products. Your website must have engaging content that includes keywords, a user-friendly design, and a way to collect email addresses so you can continue marketing new goods and services to your website’s visitors.

    It should also provide an easy way for clients or customers to contact you to ask questions or set up an appointment. If customers have to click too many times, they’re likely to just leave your site.

    If writing content and designing websites are your things, great. If not, it’s worth looking into hiring a writer and/or designer to help you. Your content and your design are vital to the success of your online business, so although it will cost you a bit in the start, it’s worth it, in the long run, to invest in your website.

    3. Establish your reputation

    As with any business, your reputation will go a long way to ensuring your business has a steady stream of customers and clients. That means you need to build a positive reputation. Deliver your goods or services on budget and on time. Address customer concerns or issues. Be easy to reach.

    Market yourself on social media to build followers and establish your brand. Social media can be used to drive traffic to your website and it encourages those who like your company to share their experiences as well, which also builds your reputation.

    You can also write a blog or other content that viewers will find useful and that will establish you as an authority in your industry.

    Final thoughts

    Running a business takes time and energy, but starting an online business doesn’t have to be an overwhelming process. With a bit of thought and planning, and by creating compelling content that attracts viewers, you can easily start a successful online business of your own.

    Get in touch with us if you have any questions about your business.

  • Ways to benchmark your business

    Ways to benchmark your business

    For many business owners, determining the success of a business comes down to how much profit the company makes. Of course, finances are an important measure of a company’s overall success. If you don’t bring in more than you spend you won’t be in business for long. Profit, however, isn’t the only important benchmark by which to measure your business.

    Business Team Talking About Statistics 53876 94908

    There are other important factors business owners can and should evaluate to determine how well their company is doing now and to predict its future success.

    Measure customer satisfaction

    Customer satisfaction tells you a lot about how much repeat business you can expect. If customers are satisfied with the products and services they receive from you, they’re likely to come back and refer you to their friends.

    If they aren’t satisfied, they might never come back.

    Take the time to measure customer satisfaction. You can ask in person, or send out surveys or reviews. Take pleasure in positive feedback. When customers suggest areas for improvement, listen to them. Even if they weren’t fully satisfied with their experience, customers value feeling heard. If you can take their criticism and make constructive changes, you may bring some customers back.

    Measure the number of new customers

    Repeat customers are great for your bottom line, but you can’t rely on them forever. Their priorities or financial situation might change. They might move away or no longer need your services.

    That means that if you’ve had the same 20 customers for the past few years, you need to start looking for new business.

    The best way to track customers, and determine how many new clients you draw in, is to develop a client list with email addresses that you can check. A loyalty program can help you determine which clients are repeated and which are new, and it can even help you develop your email list.

    You can also offer a referral program in which existing customers bring in new business and receive a gift for doing so.

    Measure employee satisfaction

    Profits and happy customers are vital to business success, but so are satisfied employees. How happy your workers are is an important benchmark to keep track of because it tells you how motivated your staff is, which can affect customer satisfaction. It also helps you predict staff turnover rates.

    Conduct regular performance reviews to determine your employees’ strengths and areas of improvement. Use the reviews to determine how satisfied your employees are and how they could be more fulfilled in their roles. They may want more responsibility—which in turn can make your job easier and make your business more efficient. Or they may need more training, which can improve your customer service.

    Offer professional development and opportunities for growth. Just as it’s expensive to bring in new customers, it’s also costly and time-consuming to find, hire and train new staff.

    Final thoughts

    Naturally, your finances tell you a lot about how successful your business is. Keep track of your financial health and know your income statement, balance sheet, and cash flow statement. If your business isn’t profitable you may need to make some changes to keep it going.

    On top of that, however, you need to measure how satisfied your customers and employees are and how many new customers you bring in to determine your current and future success. Luckily, those are fairly easy to determine.

    Get in touch with us to see how we can help your business.

  • The advantages of a business dashboard

    The advantages of a business dashboard

    Business dashboards are a valuable business intelligence tool, offering an “at-a-glance” big picture view of a company’s performance.

    Some business owners use a dashboard to track KPIs relevant to just one aspect of their business, such as sales growth, marketing, or financial data. Others rely on an executive dashboard for an overview of data culled from various sources (e.g. their accounting software, CRM tools, and website analytics).

    Group Diverse People Having Business Meeting 53876 25060

    The great advantage of a dashboard is that it presents and compares complex data drawn from a number of sources using visual tools (i.e. tables, line graphs, and bar graphs). With access to this consolidated data – info that would take hours to compile and analyze on your own – business owners are empowered to make more informed real-time business decisions.

    Find out more about business dashboards and how they can help you grow a more profitable business.

    Better business intelligence

    Business owners get the most value from using a business dashboard when they have specific objectives in mind. When you know your objectives, you know which data to monitor, and which type of dashboard will help you gauge progress and meet your goals.

    Think about your priorities for the next six months, year, three years. Once you’re clear on your goals,
    test drive a free trial to get a sense of how business dashboards work and find one that might be a good fit for your needs.

    Of course, free software with limited features won’t demonstrate everything a dashboard can do. But testing one out can help you see the potential for your business, and decide whether to look into other paid options.

    Customized dashboards

    If you’re comfortable with coding, the free open-source dashboard may be a good solution for your small business. Open-source dashboards allow you to integrate data from different sources to create the perfect dashboard to meet your needs.

    If you decide to shop for a solution, you’ll have many customizable options to choose from: analytical, operational, or information dashboards, as well as those that operate via software, web-based tools, cloud-based, and mobile-friendly dashboards.

    As a tip, many business owners prefer cloud-based dashboards for their convenience, allowing real-time data to be accessed from multiple devices. A cloud dashboard solution with a drag and drop interface is simple to use, and lets you decide which data you want to view, and how you’d like it displayed.

    Final thoughts

    There are many benefits to working with a business dashboard, but the main advantage is that they can help you make more informed decisions that will have a positive impact on your company’s agility and competitiveness – and ultimately, your bottom line.

    Using a dashboard can help you spot problem areas and negative trends quickly, so you can take steps to correct them. You’ll know what to do more of to increase sales and profits, and implement the best strategies to achieve your business goals

    If you haven’t updated your business plan recently, take some time to identify your high-priority objectives. Then you can take the next step and find a dashboard that offers you the business intelligence you need to meet your current and longer-term goals.

     

     

     

     

     

     

     

  • Seven Tips for Managing Managers

    Seven Tips for Managing Managers

    Managing people is one thing, but anyone with experience in managing managers will know that’s a completely different ball game. A management team that works in complete harmony is a rare and beautiful thing, but it never comes easy.

    In fact, it’s paradoxical to think it should ever be that a group of people with strong leadership and management skills will operate without conflict for any length of time. The seven tips below highlight the most likely areas of contention and how to overcome these.

    Millennial Asia Businessmen Businesswomen Having Conference Video Call Meeting Brainstorming Ideas About New Project Colleagues Working Together Planning Strategy Enjoy Teamwork Modern Office 7861 2384

    Strategy and Planning

    Do you have a clear strategy that sets out the medium to long-term (three to five years) vision for your business unit? Do you have a clear business plan that sets out specific business objectives for the current financial year? Although you can set targets and objectives for your managers without these, those can seem hollow and hard for them to fully engage with if they aren’t part of a coherent strategy and plan.

    Make sure you fully understand the overall strategy and objectives that are driving the business at its core. Only then will you be able to set your own local plan that translates those higher-level aims into meaningful, measurable targets for your managers that facilitate them working in unison with each other and in alignment with the wider business.

    More Leadership, Less Management

    Remember, the more senior a manager you are, the more your role becomes about leadership rather than management. Of course, you have to manage the performance of your managers and at times make decisions and give direct instructions to them, but remember they are managers.

    They need direction, not solutions. Feel free to project your vision in all its glory, and give them guidance if they seek it, but let your managers manage. Let them figure the most effective path to get to the destination you’ve set for them.

    You won’t always feel comfortable doing this, but take a deep breath and let it happen; allowing yourself to micro-manage is a slippery slope that rarely ends well. Stay on the bridge with your hands firmly on the wheel and stay out of the engine room, unless circumstances are exceptional.

    Beware of Projects

    Improvement is a buzzword in the boardroom of any business. It’s synonymous with so many business objectives, from increased customer satisfaction to decreased cost. The trouble is, improvement doesn’t come without time and effort to drive change.

    Businesses are typically very good at identifying potential projects that need to be undertaken to realize improvements but don’t have nearly the same appetite to invest in the skill and resources to bring them to fruition. Too often it is wrongly assumed that project management is a core skill of any manager. Engage your managers in defining a business case and requirements, but if you have project management or business improvement resource within your business, then hand them over to them to initiate a project once you have a green light. You might not get the results as quickly as you’d like, but you run the risk of a failed project or worse if you saddle your managers with unrealistic workloads.

    Acknowledge and Reward

    Managers tend to be conscientious types, often more than willing to go the extra mile; working late, at weekends or outside their normal jurisdiction without any recompense. By all means, take advantage of this when you can, but be willing to give some payback from time to time.

    Managers are rarely paid overtime, yet understand better than most that sometimes the business needs a little more of them than usual. But be mindful when a little becomes a lot, and when this starts to become the rule rather than the exception. If your managers feel they are being taken for granted or treated unfairly they will become disillusioned and disengaged. Sustain that position for too long and you will lose them.

    A simple acknowledgment of efforts beyond the call of duty goes a long way, but sometimes more tangible recognition is called for. This doesn’t have to be financial; be creative, but find ways to reward when it’s due.

    Know your People

    Take the time to get to know your managers as people as well as professionals. It can be tough to fit regular one-to-one meetings into busy diaries, but they are essential; overlook them at your peril.

    Make sure those conversations strike a balance between the person and the business tasks at hand. Losing sight of the human being is dangerous as you need to connect on a personal level to get the best out of them. If you don’t you also risk missing early warning signs that they may be struggling with workload, or with circumstances outside work that are affecting their performance in work.

    Busy managers may also struggle to network, even within their own management community. Make sure you create the opportunities to facilitate a good rapport between all your direct reports, inside or outside of the workplace. It’s likely that their roles and responsibilities overlap to some degree, so their relationship with each other is just as important as their relationship with you.

    Just like in sport, a group of highly talented individuals doesn’t necessarily make a good team. You need to work on that, and it will pay dividends in more open communications and more collaborative working.

    Trust and Honesty

    Managers who feel under pressure will often find ways to hide areas of inadequacy or underperformance for fear of the consequences. Building a culture of trust and honesty with your managers has to start with you. Lead by example and encourage them to share their struggles and concerns. Show them it is safe to do so, but challenge them to come up with solutions, not just problems.

    This can feel like walking a tightrope at times, as you need to maintain respect amongst the group and for your authority, so be clear on lines that cannot be crossed. However, allow them to feel comfortable expressing themselves fully. Set boundaries, but ensure you have protected time behind closed doors to allow for open and honest exchanges. Consider drawing up a management charter to set basic rules of engagement to create an uninhibited but safe environment.

    Support and Backing

    If you’re under pressure from your manager, it’s easy to transfer this to your direct reports. Some will say that the best managers are those that delegate, and don’t shy away from doing that, but resist the temptation to use delegation as a means to simply palm off the tasks you don’t like or feel comfortable with.

    Delegate fairly and provide support and guidance when sought of you and be willing to share the load sometimes. Recognize when it’s appropriate for you to step in to back your managers when they need you to pull rank, or when an initiative or key communication needs visible endorsement from someone more senior.

    There will also be times when you need to push back against your own manager’s demands and expectations where these are not realistic or reasonable, to protect your team. You will need the facts and figures to do this effectively, but ultimately the buck stops with you and you must be willing to have these difficult conversations. You will strengthen the trust and respect from your managers if they know you have their back and they will offer you the same support and loyalty in return.

    The subtleties of approaches you take to tackle these seven areas will be dependent on the specific personalities you are managing, but if you’re paying regular attention to them all, you’ll find your life a whole lot easier. You’ll also have managers who are more likely to be relaxed, communicative, and able to perform to their full potential. It’s never a case of ‘one size fits all and you may need to experiment with different styles, so don’t be disheartened if something doesn’t work the first time. Eventually, you’ll establish working practices that fit, and you’ll never look back.