Black Friday – FREE Business Finances Review worth £200

Black Friday – FREE Business Finances Review worth £200

Black Friday Special Offer

Get Ready for 2020 with a FREE Business Finances Review

 

There are several reasons as to why Black Friday got its name – one of these is based on it being one of the most profitable days of the year for retailers giving them chance to get their accounts ‘back in the black’. So, Black Friday means profitable Friday as many retailers and business have successfully boosted their profits by participating.

 

Affordable, expert accounting advice can be hard to come by so we have decided to embrace the Black Friday phenomenon and offer a FREE Business Financial Review to help you get ready for 2020!

 


Starting on the 29th November and running until the 13th December we are offering a
FREE Business Finances Review worth £200!


 

This will include:

  • A full check-up of all your financial outgoings
  • The amount of cash you’re generating and where from
  • Most profitable activity / products
  • Analysis of debtors and invoices
  • Analysis of your cashflow
  • Your long-term business growth strategy
  • Your financial challenges
  • Outcomes and action points
  • Follow up session

 

Why is a financial business review necessary?

 

It can pay dividends to think about the longer-term and more strategic planning of your business. This is especially true as you take on more staff, create departments within the business, appoint managers or directors and become distanced from the everyday running of the business.

 

A financial review will give you:

 

  • Clarity on exactly how your business is performing
  • Steps to improve your profitability
  • How to make the most of potential opportunities
  • Direction for your business plan

 


To book your FREE Business Finances Review worth £200, get in touch today and we will be happy to help. Contact us here or call on 01392 495483.

2019 Year end accounts checklist

2019 Year end accounts checklist

2019 Year End Accounts Checklist

What are my 2019 Year End Accounts?

A year-end report is the end of a business’s accounting year. Your 2019 year end accounts are a summary of your business’s overall performance for this particular accounting year. If you are a small business, you are legally required to file your year-end accounts with both HMRC and Companies House.

With the Christmas festivities beginning to kick-in and end of 2019 being imminent, now is a great time for business owners and Directors to get a real hold on their accounts. Doing a little bit of housekeeping, preparation and getting your accounts in order will make doing your tax and filing your accounts a breeze. Saving you time and money and getting you ready for 2020 so you can hit the ground running.

 

Below is your Year End Check List from Xero:

 

1. Decide on employee bonus payments

If you decide to reward your employees with bonuses, don’t forget about tax. Bonuses are subject to income tax – just like regular pay. If understandably you want to wait to pay the bonus after year end, simply accrue for the bonus and employers’ national insurance cost and reverse when payment is made. This ensures the cost is included within the correct financial year and lower your Corporation Tax Bill.

 

2. Protect your cash balance

Consider delaying payments to your suppliers by a few days to keep your cash balance high. Whilst the supplier liability will be recorded on your Balance Sheet a higher cash balance is still favourable and helps improve some of the ratios used by Credit Agencies.

 

3. Employee Expenses

Ensure all your employee expenses are processed before year end to include the cost in the correct tax year, and again, reduce your Corporation Tax Liability.

 

4. Review your control accounts – an easy exercise to miss

Review your PAYE, Pension, Wages, VAT control accounts, make sure that these reflect the true position of liabilities. Also check your accruals, prepayments, deferred income etc. If your Balance Sheet is not correct, the likelihood is that your Profit & Loss Account will be incorrect too!

 

5. Scrutinize your balance sheet and P&L report for what you did well – and what you didn’t

Use your accounting software to generate Balance sheet and Profit & Loss reports. Then identify what your business did well, and where there’s room for improvement next year.

 

6. Use your cash reports to understand how much cash you have on hand

Businesses live or die by their cash flow – it’s one of the biggest issues for small companies, so use your accounting software to generate your cash flow statement. Xero apps add-ons such as Float can help you manage your cash flow forecast easily if you prefer to look forward rather than back.

 

7. Estimate your potential Corporation Tax Liability

Too many business owners fail to accurately estimate their tax payments, we recommend to keep this money safe and in a separate bank account. By starting now you should have time to put the right amount of money aside. The current corporation tax rate is 19% of your net profit, this is currently scheduled to reduce to 18% from 01-Apr-20 although this may change depending on the outcome of the imminent election. There will be adjustments that your accountant will make as part of the end of year process, adjusting for Capital Allowances and Research & Development Tax credits but better to be prepared.

 

8. Confirm when your Corporation Tax is due for payment

Make sure you know when the Corporation Tax is due, 9 months after your year end.

 

9. Think about whether you’ll need to request a tax payment extension

HMRC will help you here. Talk to them and check out their website for information about how to apply. Do this as early as you can, because there are penalties for late payment.

 

10. Review insurance policies, cover and rates

Talk to your insurance company to see if they have any recommendations and talk to other insurers too, to ensure you have the best deal. Double check that you have all statutory and recommended insurance cover, professional indemnity, public liability, employers liability, Directors and Officers cover etc.

 

11. Arrange a meeting with your bookkeeper, accountant and/or financial advisor (that could be us!)

Each of these will have work to do for your business at year end. Talk to them, and make lists of tasks that they need to carry out which will help them focus on your business at this busy time of year.

 

12. Review your client list, and make sure all contact information is up-to-date

You can kill two birds with one stone here. Go through your contacts database and make sure everybody’s details are correct. While you’re doing this, send them an email thanking them for their business this year, they’ll remember you.

 

13. Review your goals for the year – and make some new ones for next year

Did you achieve everything you intended to last year? If so, great. If not, try to find out why. Making goals for the coming year can help keep you motivated as your business grows. Review them regularly to stay on track. We can help create a Budget that can be imported into Xero so you can compare monthly progress next year.

 


Now you’re ready for 2020!

If this seems daunting or time consuming, please give us a call. We will be happy to help and can even take this burden off your hands. Simply contact us here or call 01392 495483.

Xero Updates – November 2019

Xero Updates – November 2019

Catch Up On The Latest Xero Updates

Xero Updates – November 2019

One of the things we love about Xero is their commitment to developing the software based on customer reviews and feedback. This month is no exception.

Read on below to find out the latest development in the cloud-based accounting software.

 

  • Invoices: We’ve taken the first steps to adding credit limits to Xero by showing overdue and outstanding balances when you hover over or click on a customer’s name when creating an invoice.

 

  • Quotes: You can now create a repeating invoice from a quote. Copy a quote to another quote, invoice, bill or purchase order, to save time with data entry. Add a repeating invoice from an accepted quote. You can also copy multiple quotes to create one invoice.

 

  • CIS (UK): Construction Industry Scheme invoices and bills can now be imported or edited in an organisation through the Xero API or third party app.

 

  • Xero ExpensesCreate an expense claim on behalf of an employee. If you have the admin or approver status in expense claims, you can create expenses for yourself and other employees, including expense claims in currencies other than your base.

 

  • VAT return (UK): We’ve released new tax rates to support Domestic Reverse Charge in Xero. Use the new tax rates to report the correct amounts on the MTD VAT Return.

 

  • New direct feedSet up a Stripe feed online so you can automatically import your transactions into Xero. You can set the feed up without adding Stripe as a payment service in Xero.

 

 

  • Itemise an expense claim on Expenses mobile app (iOS): We’ve now enabled this feature to allow you to create a more detailed and accurate expense claim on the go. You can split expense claim into different line items, categorise line items to different accounts, apply different tax rates and assign to a different project and/or customers.

 

  • Plan a project & create a quote: Plan a project to get a clear idea of the time and expenses involved before you start work then send a quote over to your client.

 

  • Attach files to online invoice: Include files with your online transactions so your customer can view them. You can now upload files to an invoice through the “attach files” on the invoice screen, either by dragging and dropping onto the screen or selecting files from a drive.

 

  • Payment Services: You can now add a payment service from the repeating invoice template, approved invoice and payment services screen.

 

  • Hubdoc: Xero now provides support to Hubdoc customers that have a Xero login. Get help while using Hubdoc by raising a case for Xero Support or raising a ticket for the Hubdoc support team.

 


If you would like to discuss moving your accounts over to an intuitive cloud-based accounting system, please get in touch and we will be happy to help. Contact us here or call on 01392 495483.

Accounting Tips for a Successful Startup Business

Accounting Tips for a Successful Startup Business

4 [Essential] Accounting Tips for a Successful Start-Up Business.

 

If you’re in the process of setting up or have just set up your new business, you will know how tough it can be. Tough, but incredibly rewarding.

At the startup stage of any business, you wear ALL the hats. Even ones you didn’t know about! Sales, marketing, accounting, bookkeeping, cleaning, IT, admin, customer service, business development… The list goes on. 

One area that needs close and scrutinous attention, is your business finances. All of the great ideas in the world can’t keep a new business afloat if you run out of money. If your primary area of expertise is not in accounting or bookkeeping, then take a look at these accounting tips for startups below: 

 

Accounting Tips for a Successful Startup:

 

Leverage Finance Solutions

One of the biggest hurdles for a small business, especially when trying to gather momentum, is cashflow. However, you can actually avoid potential startup burnout. Don’t skip paying employees, or yourself, because you don’t have the money in the bank. You should also not put off major growth opportunities because you need to have the money first. Discover financing options – so you don’t have to wait on incoming cash. 

 

Use Accounting Software

This is still overlooked by some businesses as unnecessary, with the business owner preferring to work from a spreadsheet. However, the time saved, accuracy, decision making data available completely outweigh the comfortable spreadsheet. 

Using a cloud-based accounting software programme such as Xero, will enable you to have a good, accurate handle on where you stand financially at all times from anywhere in the world (with wifi).

Startup owners carry the weight of their businesses on their shoulders and though there is a lot to keep an eye on, financial health is absolutely fundamental to your business success. Using smart accounting tactics will help you navigate the tricky ground in the early days of your business with ease and reliability.

 

Create Different Bank Accounts

Just like your granny used to do with different pots of money for different events, sent up several bank accounts so that you can keep track of your outgoings. Operating expenses, tax, owners pay and profit. Each pot is then allocated a different percentage of your total income.

Financial analysts suggest having at least 3 months’ operating expenses but we suggest if you can build it up to 6-months you will have a firm buffer should anything happen.

 

Hand it over!

As you will presumably be the technician in your business, trying to learn another trade quickly and competently is time-consuming and will end up eating into your time selling.  Working with a good, reliable bookkeeping or accountant is worth its weight in gold.  Accounting and business finance experts will save you valuable time, will know tricks and tip for saving you money and will warn you when a potential financial hurdle is approaching.

 


FOR MORE INFORMATION ABOUT THE FINANCE DEPARTMENT, PLEASE GET IN TOUCH AND WE WILL BE HAPPY TO HELP.  CONTACT US HERE OR CALL ON 01392 495483.

Staff retention: the key to a cost effective workplace

Staff retention: the key to a cost effective workplace

Appointing staff is the first step in creating a strong and efficient team.

However, keeping them is the key to the long term success and cost effective management. Essentially having a high turnover of employees will cost your business time, productivity and ultimately money.

Investing in the staff and their future ensures they will remain committed to the work and the company over a long period of time. There are some different ways to get the best from employees.

Rewards

Give staff small perks to promote productivity. One of our clients offers ice cream to all staff on hot days, whilst free fruit is becoming a very popular incentive to motivate staff. These little things that can be effective motivators that require little expenditure for massive return: loyalty, pride in work and productivity.

Incentives

Depending on the type of work, you can offer workers incentives to motivate and reward staff. Anything from prizes for top sellers to free coffees for brand ambassadors on social media; offering staff something that actually rewards hard work and loyalty is a good way to engender this.

Consider benefits

Demonstrate willing to accommodate staff interests. This can be done through organising social events to team build, and also offering some flexibility. Flexi time and the option to work from home occasionally demonstrate that you see your staff as more than just an employee, and allow them to incorporate their life into their job. These are often cited as the reasons people enjoy their work.

Invest in people

Ensuring that all staff take pride in their jobs is essential to staff retention. If there is a training course they can go on to bring new knowledge in, then support them in attending it. A small investment in their future will secure that future is with you.

Outsource specific skills

If yours is a small business, often employees cover a variety of roles, some of which they do not feel expert in. Outsourcing finance, articles, social media etc. to a qualified expert could free up time and reduce stress for any employee who does not feel they have the necessary qualifications.

Promote internally

Nothing says longevity to an employee more than seeing promotions given to internal applicants. Mark out a clear path of advancement within the company, so staff can see how their job can progress. Having achievable goals motivates staff to optimise productivity and avoid apathy.

Mission statement

Have a very clear definition of your business’ core goals and mission. An affinity with your goals and values encourages staff to emotionally invest in the company, which ultimately fosters loyalty and boosts morale. We all want to be working for something we actually believe in.

Implementing a variety of methods, you can ensure that your place of work spends little to achieve the most cost effective asset: staff who will stay and help progress the company.

 


FOR MORE INFORMATION ABOUT THE FINANCE DEPARTMENT, PLEASE GET IN TOUCH AND WE WILL BE HAPPY TO HELP.  CONTACT US HERE OR CALL ON 01392 495483.