Sample 1 - Blog #debtSample 1 - Blog #debthttps://lololol.zohosites.com/thoughts/tag/debtThu, 01 Aug 2024 19:14:07 -0700http://zoho.com/sites/<![CDATA[The 5 financial habits of successful small business owners]]>https://lololol.zohosites.com/thoughts/post/The-5-financial-habits-of-successful-small-business-owners

As a small business owner, you’ll be aware that practising good financial habits can make all the difference to the success of your business.

Having finances that are out of control and lack consistency can result in poor decision-making and can even cause hostility between your company and your customers.

The five financial habits laid out below will help you prepare your business for the future without sacrificing relationships.


Reviewing finances regularly

One of the biggest mistakes that businesses tend to make these days is they don’t spend enough time reflecting on their behaviour and assessing how they can alter it to facilitate success. In terms of finances, this means conducting regular reviews that can help you to spot patterns and allow you to capitalise on them. You can do this weekly or monthly depending on the way that your business is run and managed.


Maintaining a clear budget

Budgeting is a word that most of us don’t like the sound of because it tends to denote restriction. In terms of running a successful business though, a clear budget is really important, especially in the early days. Lay out a budget and review it at the end of each month in line with your overall profits. If things are going well, you can adjust your budgets accordingly.


Reduce debt gradually

As a new business starting out it almost goes without saying that you are going to have some debts to your name. Debt can be a good thing as it can help you to achieve long-term health and growth, but unnecessary debt can be a burden to you and your business. In order to manage this well, it’s important that you have a clear payment plan in place and start to reduce the amount that you owe each month.


Take advantage of tax deductions

Savvy business owners know how important it is to take advantages of the tax benefits available to their business. Deductions help you to reduce your taxable income and therefore reduce the amount that you have to pay out to the government. Anything that can help you and your business save money, particularly in the early stages, is something that you need to be taking advantage of.

If you are an SME that needs help with capital funding, get in touch with us today to find out about how we can help your business flourish. 

We aim to deliver much needed capital to start-ups and SMEs

Call Now +44 (0) 203 2909019

]]>Tue, 20 Feb 2018 21:30:00 -0800<![CDATA[How to Ride Out Hard Financial Times as a Small Business Owner]]>https://lololol.zohosites.com/thoughts/post/How-to-Ride-Out-Hard-Financial-Times-as-a-Small-Business-Owner



Both boom times and recessions come and go, and the toughest businesses weather the storms and come out at the other end fighting fit. SMEs are at great risk from financial hardship as the burdens of running your small company can sometimes be dramatic, and come without the financial buffers and safeguards that larger companies have more access to. However, there are ways to help ensure you stay afloat through your trickier periods. Here’s our quick guide to getting through.


Avoid Further Debt

In lean times, cash becomes your best friend. Avoid making purchases which require incurring debt to access, and limit all expenditure unless you are convinced it will lead to greater cash flow than it is costing you at this moment. If the item you are purchasing cannot effectively pay for itself in revenue earned, you should be deferring the purchase until a later date.


Review with Your Financier

 Be honest and open with your financial advisor so they can help you weather the financial storm. Provide any information they request to avoid delaying guidance, which could be helpful in avoiding losses. If you have any direct concerns, write them down and share them with your advisor so they can give practical and tailored advice.


Budget, Budget, Budget

It is highly likely you already stick to a business budget, but this is the time to keep your budgeting ethos as rigid as possible. As the owner of an SME, ensure you apply the same principles to your personal accounts to avoid draining them to cover business expenses. Your own financial stability is closely tied to your company, so recognise this link and budget accordingly.


Deal with Problems Swiftly

It can be tempting to run from taking a long, hard look at your finances during times of hardship. However, dealing with problems as they arise, having sought the correct guidance where applicable, ensures debts don’t spiral out of control. Be cautious in your future spending and cut anything unnecessary, but remain culpable and professional when it comes to honouring necessary existing commitments. 


Keep a Clear Head

Try not to panic. Worrying cause you to make poor business choices and the impact of those will last far longer than your current crisis. If you need to, take the weekend off and give yourself time to adjust to troubling financial times – you’ll return refreshed and ready to fight on. 

We aim to deliver much needed capital to start-ups and SMEs

Call Now +44 (0) 203 2909019

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