Carrying the title “Director” involves a lot more than just being the owner and manager of your business. Do you know all your legal duties and responsibilities?
Small business owners are innovative, hardworking and brave. They launch businesses and despite the odds, many of them succeed. However, a rather scary percentage fail. After almost twenty years of looking after small business accounts, we have identified five mistakes common to most small business owners...
Acknowledging the need for help is one thing but knowing what kind you need or where to find it is another. Do you hire a PA? Do you employ a bookkeeper? Do you employ a sales person? Or do you outsource to an agency or an accounting firm? First and foremost, though, comes the question: Can I afford it?
While not all small business owners fully understand the Income Statement and Balance Sheet, most recognise them and have a broad idea of what they are and how to use them. However, the Cash Flow Statement is probably the financial report most responsible for confusion, blank looks and mild panic in small business owners. This is a shame, because it’s actually an extremely handy report that can give you some very valuable insight into the health of your business.
As much as the ownership and management of a South African business comes with great reward, it also comes with a long list of duties and responsibilities. Too many business owners are unaware of these responsibilities.
Managing your cash flow and forecasting not only helps you stay on top of things and stay in business, but it is also a vital part of business strategy. It should be your number one priority as a business owner.
We live in a technological age and everyone has embraced the cloud - right?
The role of an entrepreneur involves wearing many, many hats. Especially in the early days of launching a business there often just isn’t enough cash for you to hire help. You have to be the manager, accountant, salesman and HR department all in one.
Have you written a business plan? A marketing plan? Done a SWOT analysis? Have you put your vision and mission into words and pondered your strengths and weaknesses?
Entrepreneurs start a business because of a passion. You have a skill and you grasp the opportunity to turn your passion into a source of income. Only accounting professionals start their own business because they are good at accounting – but it doesn’t take long for entrepreneurs to learn that, whether they are good at it or not, the accounting needs to be done.
