Business

If you’re a tradie, you’ve probably heard of professional indemnity insurance. In fact, there may have been some clients who declined to work with you because you didn’t have such coverage. Did you wonder or ask why they refused? What’s so important about professional indemnity insurance that they don’t want to work with tradespeople who aren’t covered?

To understand what this kind of insurance really is and why you need one, read on below.

What is Professional Indemnity Insurance?

In Australia, all professionals who provide advice or services to clients are urged to get a professional indemnity insurance policy. Professional indemnity insurance is intended to cover the cost of claims made by customers or other third parties who may have suffered losses due to a business. These losses may be deemed to be caused by an act of negligence, omission, or breach of duty on the part of the professional. Moreover, the losses can range from financial losses and damage to property, to physical injury and even loss of life.

Without any professional indemnity insurance, you won’t be able to effectively protect your professional assets and reputation. With an ample professional indemnity insurance policy, you don’t have to pay legal costs and compensation payments out of your own pocket. Moreover, you don’t have to worry about lost income while you’re defending yourself from any allegations.

Do note that not everyone is obliged to get professional indemnity insurance. However, there are also professions that strictly require professional indemnity insurance as dictated by an industry regulatory body. The key thing to appreciate here is that having a professional indemnity insurance policy can help you get more customers. More importantly, it can give you and your clients some peace of mind.

Why Do You Need Professional Indemnity Insurance?

As a tradesperson, you probably do everything in relation to your business. You perform duties related to human resources, accounting, and marketing, among many others. But due to human limitations, you may sometimes make errors as you perform your duties or give advice to your clients.

Professional indemnity insurance protects you from the consequences of these totally human mistakes. Most of the time, these consequences are simply financial in nature like settlement amounts, legal representation, and other fees. What is perhaps even more critical is your reputation, which can suffer a huge blow thanks to any unsavoury allegation against you and your business. This can also reflect upon not just you but also your employees and business partners. With any professional indemnity insurance in place, you can conduct your business with confidence knowing that every base is covered.

Who and What Does Professional Indemnity Insurance Cover?

Most policies cover you and your business, as well as any principal. Employees, business partners, as well as third-party suppliers and contractors are also covered—as long as it can be determined that they were performing their duties and acting on behalf of your business.

When it comes to costs, professional indemnity insurance can cover investigation costs, legal fees, and settlement costs. If you incurred public relations costs, these may also be covered by the policy. Your professional indemnity insurance can also include public and products liability covers. This is when you have to pay for the aggrieved party’s losses, which have been caused by your products or services. Lastly, a professional indemnity insurance policy can also provide retroactive and run-off coverage. The former are claims of losses from your acts or errors that happened before the beginning of the insurance coverage. Meanwhile, the latter can provide protection after your retirement.

It doesn’t matter whether you’re a business consultant, carpenter or plumber, dance instructor, or IT professional. It’s important to get professional indemnity insurance coverage. You’ll find that it won’t just be for your own protection. It will also be a display of your professionalism.

 

 

You’ve come up with an innovative idea for your business, you’ve thought about how to raise the cash to start it but there’s just one problem – what should your company name be?

This is one of those questions that seems ridiculously simple. After all, if you’ve battled through fundraising and even discovered that pitch-winning idea that is going to make you a renowned entrepreneur, thinking of a name for your company should be pretty straightforward.

Unfortunately, it’s far from easy. Branding is one of the most important parts of a new business and if you were to ask any possible mentor, they would state that you need to spend considerable amounts of time on this.

There is a reason why companies turn to consultants and spend large portions of their budget on branding; it matters. No, you’re not going to become an Apple or a Nike overnight, but your branding can tell a real story about you and your company name plays a big part of this.

Over the years we have seen some big brands change their name just because their message wasn’t portrayed properly. Suffice to say, these changes won’t have been cheap; once you get to a certain level the costs involved in making branding and name changes can be significant.

So, how do you come up with a memorable name? Well, if you are looking for a quick and easy solution, you could try turning to some sort of startup name generator. Granted, these can be somewhat hit and miss, but every now and again you do land on a gem that just feels “right” for your company.

There are other quick and easy ways as well. Some people use a logo-first approach. They have this innovative logo idea, that perhaps uses a hidden meaning, and from then on they are able to devise their name. It’s almost a backwards approach, but it can work.

However, in terms of a more longer-term strategy for choosing your name, you need to think of the message. You don’t necessarily have to tell the world exactly what your company sells. This was an approach that was used very commonly a decade or so ago, usually amongst online companies, who were trying to game Google’s algorithm with exact match domains.

Instead, try and subtly reveal the basis and principles of your company. It can largely depend on the type of industry you are involved in. While ‘Apple’ works for a tech firm, would a similar name work for a tradesperson? Probably not. You need to analyze your target audience, and competition, to see what is working in the market.

If you do have your eye on the big picture and perhaps viewing international markets, we would urge a little caution in relation to the translation of your brand name. There have been some truly awful ones over the years, and it’s not just smaller companies who have fallen victim to this. For example, in the case of Colgate, they released a toothpaste going by the name of Cue in France. What’s the problem with this? It’s also the name of a French pornographic magazine!

As such, there are an array of considerations when choosing your company name, but taking all of the above into account can give you food for thought and allow you to avoid the common pitfalls that tend to blight business owners.

All entrepreneurs and business owners know just how crucial digital marketing is to the success of their business. Knowing how to tap into the unlimited potential of digital marketing can make a huge difference. One expert in the field is sharing some of his knowledge today. Douglas James is known as the “High-Ticket Client Guy,” because of his skills in landing high-ticket clients. He offers courses that can help boost your business and take your profitability to the next level. His courses caught my eye after reading his most recent interview with CodestarLive.com so I wanted to explore more for myself. I sat down with Douglas James, to talk about his expertise in digital marketing, and how his course could help give your business that next-level boost.

Douglas, how did you get to where you are?

Douglas James: I wasn’t always so entrenched in the field of digital marketing. In fact, I was actually a Navy Corpsman. My story goes back to 2014, when I was deployed on a ship, the USNS Mercy. Our mission was to help impoverished communities all over the world, and I was in places like the Philippines, Fiji, Papua New Guinea, and Guam. After working in these communities on humanitarian missions, I realized just how much economic growth could really change lives. That’s when I realized I wanted to use my life skills to not only help others, but to teach others how to help themselves find success. I saw firsthand how money and resources can make a huge difference when it comes to having security in life. That’s when I switched gears and started to think like an entrepreneur.

What do you do now?

James: I’ve become a pro at all things digital marketing. It took a lot of time and hard work, but I taught myself the ins and outs of digital marketing, and how it can transform a business. Now, I consider myself an expert in online marketing and advertising, as well as SEO, Clickfunnels, and Facebook ads. For example, at the end of last year, Facebook had more than 2.5 billion users. That’s more than a quarter of all the people on the planet. When you tap into that, and look at it as potential for your business, your perspective on digital marketing may start to change. And I especially focus on high-ticket clients.

Why do you focus on high-ticket clients?

James: Small fish lead to small growth in your business. But when you land high-ticket clients consistently, you can see explosive growth in your venture. Especially when you learn the tricks to essentially automate the process. With my courses, I teach entrepreneurs how to consistently land high-ticket clients. The ultimate goal is to have them rolling in consistently, and I’ve seen how it can really transform a business, and the lives of entrepreneurs.

What kinds of courses do you offer?

James: I want to help entrepreneurs learn the ropes of digital marketing in every way possible, so I offer a lot of course options. If you’re making a lot of calls to try to get clients, I have “The High-Ticket Experience,” and with “Local Business Funnels and Ads,” entrepreneurs can learn all about Automated Lead Generation. If you want to learn the secrets to tapping into the Facebook market, I have “The Experts Academy,” which includes advanced training to generate leads. I also offer do-it-yourself coaching, on how to consistently land sales calls, online training course development, and managing traffic.

How can interested entrepreneurs learn more?

James: Entrepreneurs who want to learn more about my courses can reach out through my website, but I’m also always happy to connect on Facebook and Linkedin. If you’re an entrepreneur who wants to learn how to land high-ticket clients and take advantage of the world of digital marketing, I encourage you to reach out, or try my courses, to see for yourself how these skills can transform your business.

 

One of the things beginners don’t manage to understand is that the e-commerce industry is very competitive, and at the end of the day, not all people will be successful. At the same time, there are a few steps to launching an e-commerce store that has proved to be optimal in many cases, meaning there are reliable methods towards success in this field, even with little or no experience at all. So, if you are one of those that want to learn how to do it the smart way, here are four must-do steps that you should not skip. Let’s dive in!

#1 Finding a high-potential product or service

Trust is the main driver for success, and without high-quality products or services, marketing will probably only help you in the short run. Allocate time and resources to find at least a few high-potential products that can generate sales. Start small and then scale up as results start to show up. Finding at least 1-2 products that can generate revenue is the first crucial step. Don’t try to rush things because you’ll end up spending too many resources on researching a wide range of products that aren’t necessarily profitable.

#3 Designing an excellent website

Your online store should be like a virtual location where clients enter to search for whatever you can offer. Would you enter a place where the design is poor, everything is messed up, some plug-ins don’t work at all, and it’s hard for a potential customer to find all the information needed to make a purchase? Probably not. As a result, it is crucial to pay close attention to the store’s design. Luckily, there’s plenty of free information online on how to design and make your website more user-friendly, or if you can afford it, you can pay an expert to handle the work for you.

#2 Creating professional content

Even though your main goal, naturally, is to sell products, making the store 100% commercial won’t be desirable. Clients need to see that you are also offering some free stuff, and professional content is one of them. No matter the niche, there will always be relevant topics to talk about and valuable information to provide (you can post it, for example, on your store’s blog). At the same time, adding content on a regular basis can be helpful for SEO.

#4 Leverage social media

In order to improve customer experience and support, the use of social media platforms had become a norm in the e-commerce industry. The world needs to know about what you do, and that’s the right place to spread the news. Find the right social platforms for your niche and build an audience there. At the same time, it will be much easier to communicate with potential customers and assist them with inquiries.

A Few Final Words

In order to be successful in any online business, you must provide the best customer experience and support possible and avoid expensive, time-consuming disputes with shoppers. To do that, you can also use the services of third-party mediation platforms such as Purchase Guard.

 

If your company in Charlotte, North Carolina, is starting to experience a massive increase in sales, you must be happy. However, you might also be overwhelmed with orders, struggling to fulfill them all and run your business without disappointing, and consequently losing, any customers. Sometimes, you feel that everything is too much. Your stress builds up and eventually, you realize that you can’t do it all on your own.

Luckily, you don’t have to. There is this magnificent invention, called third party logistics, otherwise known as 3PL. If you would start listing the services that make your life easier, this one would be at the very top. It is what companies use to outsource a part of or their entire distribution. More info.

Should you be thinking about taking some tasks off your plate and a lot of burden off your chest, then you want to be sure that you’re passing the responsibilities into the right hands. After all, you don’t want just any random person meddling in your business. It’s always the best idea to go with the pro. So, the first step is to get properly informed.

What is 3PL?

To be as clear as possible, using the 3PL service essentially means that your logistics are handled by, well, a third party. In other words, all the fuss about order fulfillment, distribution and warehousing is no longer your job. You do your manufacturing and then let experts outside your company take care of the rest.

Nowadays, there is a large number of businesses resorting to this option. Furthermore, most Fortune 500 companies use services like this. And this really does not come as a surprise. It makes things much more simple, while at the same time allowing you to do what you know best and work on improving and expanding your firm.

Who Are 3PL Providers?

These are the people who do the work for you. Basically, you receive the orders, they fulfill them. The third-party logistics providers receive the products you manufacture and proceed to shipping them to consumers. If the service is done in a high-quality manner, your customers don’t even have to be aware of this arrangement. Furthermore, 3PL providers can also handle retail distribution and returns.

When choosing your provider in Charlotte, the key things to take into account are the actual services they can offer. Some 3PLs specialize in one or two areas, such as warehousing and distribution. However, larger and established firms offer the full package, which includes warehousing, transportation, distribution, and shipping and receiving. Think about what you need and choose accordingly.

Do You Need It?

You might be thinking about investing in this service, but still be on the fence about it. This is a natural phenomenon in the process of making a decision. Being unsure whether you actually need this, wondering if you could continue on your own without any consequences for your business…all the right questions. But, in order to make the final choice, you need to ask yourself a couple more.

• How many orders a day do you have?

If you are getting, say, 10 orders a day, you can probably manage on your own. However, if the number is significantly larger, then you should definitely make use of outsourcing. It can be beneficial in more than one ways. Look at it this way…

First of all, as the number of orders increases, so does the risk of not fulfilling them in time and failing to meet your consumers’ expectations. Secondly, just think of all the growth opportunities you might be missing while taking care of logistics.

• How much do you spend on storage space?

You might own your own inventory storage space, but chances are you are renting one out. If this is the case, and you are spending a sizable amount of money for a place to store your products, it’s time to do some math. Don’t worry; it won’t be difficult at all.

Simply calculate your storage costs and compare them with estimates you get from third-party logistics providers. Don’t forget to also take into account the rest of the services that a specific 3PL can offer. Do your research and figure out which option is more cost-effective.

Starting a business is challenging, so you must make sure that you are fully armed with the right tools for it. One way to ensure that you have the right equipment is to break your business down into different components. For bakeries, this can include processing orders, purchasing ingredients, and even monitoring product turnover, spoilage, discounts, and promotions.

As a dynamic type of business, bakeries require POS systems and delivery management software that not only support product sales recording from the point of sale, but also make managing inventory, keeping track of sales trends, and customizing customer experiences easier. To accommodate these unique challenges, you need a digital management platform that serves as an all-in-one tool for business success.

That said, remember to choose a bakery POS and management software with a feature tailored for every aspect of the business:

Inventory

When running a bakery, you’ll have to make sure that your inventory is well-organized and recorded. This will ensure that you don’t run out of ingredients while streamlining the ordering process for new stocks.

Under this aspect, you may also need the following tools for more efficient inventory management:

Purchase Order Feature

Purchase orders are transactions performed with suppliers to keep the supply stocks topped up. This feature helps you order on the fly and have such expenses reflected automatically into the POS. Some even alert you whenever an ingredient is low on stock to keep business operations running smoothly.

Ingredient Inventory

Keeping track of your inventory is crucial in clearing the way for business success. It not only helps you ensure that you have something to offer your customers every time they visit, but also allows you to check whether sales turnouts are consistent with the actual count of remaining products and ingredients.

Ingredient inventory functionalities offer a way to keep track of precise ingredient counts in real time based on the goods produced. It can even monitor the number of ingredients used for customized or modified recipes to accommodate customer requests.

For example, if a batch of cookies didn’t turn out as you had hoped in the baking process, you can account for it by inputting the actual yield amount. It will then initiate a calculation of the exact inventory based on the loss and offer you a bird’s-eye view of how often this occurs.

Invoicing

Aside from being old-fashioned, writing invoices by hand is not an efficient use of your time. Plus, it increases the risk of the documents getting lost in a sea of papers. Even worse, paper invoices are at risk of accidentally being thrown out.

To avoid these, you must choose a bakery POS that will help you produce printed invoices that are far more professional-looking than handwritten ones. Often, these also record copies of the document digitally, making it easier to manage sales reports without the risk of losing the documents.

Sales and Analytics

Aside from invoicing, bakery POS programs also provide a way for business owners to monitor their sales and analyze which products sell – and which ones don’t. This makes it easier to adjust the number of goods produced, depending on customer preferences and even the time of day.

Online Ordering

Today, e-commerce is no longer limited to online shopping for smartphones, clothes, household items and other dry, non-perishable goods. Even baked goods can be ordered over the Internet now.

While it may seem quite advanced, offering your customers more ways to order is a recipe for success. Just imagine the long queues you’ll be cutting if your customers can pre-order their baked goods online to be picked up upon their arrival. Plus, it improves customer experience by offering a more convenient way to order pastries and drinks and reducing the time customers have to wait to get them.

Mobile Payments

When you acquire a system that offers online ordering, the need for mobile payments becomes more imminent. In fact, online ordering and mobile payment features should go hand-in-hand to improve customer experience and reduce the length of queues in the checkout counters.

Having said that, mobile payments are already highly sought out in almost all kinds of retail business – bakeries included. This is because mobile payment is a contactless payment method that is more secure, using encryption to keep transaction security airtight. Plus, it also mixes well with mobile loyalty programs.

On top of that, more and more customers are seeking out bakeries that offer this payment option. This is proven by the top Google search queries that go along the lines of “bakery accepting mobile payments.” So, at the very least, having a mobile payment feature is sure to bolster your online presence.

Customer Relationship Management

Loyalty programs essentially encourage one-time customers to come back more often. To maximize its benefits, you should look for a bakery POS software that keeps records of customer details, including their contact information. This way, you can use the data collected for customer relationship management campaigns.

Choose an All-in-One System

Although they sell goods in retail, bakeries have more needs than your average store. With this in mind, make sure that you choose an all-in-one POS system to suit the unique challenges and features of this particular type of business.

AUTHOR BIO

Ahmad Alzaini is the co-founder and CEO of Foodics, a fast-growing foodtech startup. A businessman by nature, Alzaini is an app aficionado, developing businesses in Saudi Arabia within several industries. Today, Foodics has extended to new markets across the MENA region, processing over 1 billion transactions, and offering the latest technology in POS and restaurant management.

 

Humans are social animals. They interact with each other within groups, and they form different groups that also interact with each other. These groups range from circles of friends to entire nations. Somewhere in between this broad range are business interactions. People exchange goods, services, or anything of value. Over time, these exchanges grew from being between individuals to being between corporations, and eventually between whole nations.

People started to engage in trusted monetary exchange and secure information sharing. These interactions finally defined commerce. It is through commerce that economies around the world grew.

The Value of Information

Money makes the world go round. Whole nations would have never interacted with each other if it were not for the chance to exchange anything of value. In the modern world, commerce has abided by this timeless saying for decades. However, with the fast advances in technology, money is no longer the primary driver of commerce. Today, information is just as valuable as currency.

Selling Privacy

Since advances such as the internet and smart technologies have become more ubiquitous, information has received more attention than ever. Since anything can be made publicly available to the world with just a few taps, the need to secure information has grown. This need gave birth to a new form of commodity: privacy.

Why Privacy Became a Big Deal

The internet is becoming more omnipresent. What started as an innovation that only bulky computers can access is now present in phones, TVs, and entire homes. TVs can now have cameras and facial recognition to see who is watching and give program recommendations.

Homes can now know how many people are in a room to adjust the lighting, adjust the temperature, or grant access to homeowners. However, as technology gets more innovative, and so do hackers. Others can exploit the information that technology uses to make life more convenient.

This risk is more critical when money is involved. When entities like banks exchange money that is worth hundreds of thousands of dollars or more, secure information sharing becomes a vital necessity.

In banking, not only is secure information sharing a necessity, but the information also must be correct. Transaction delays occur because the parties involved in the transaction do not have enough information. To get around this, they use physical means such as emails and phone calls, which can take time. Giving information is thus necessary. However, the more information people provide, the chances of risks start to increase.

Products of Privacy

Blockchain is another technology that has become common in recent years. A blockchain acts as a virtual ledger for tracking transactions. As the name suggests, a blockchain is a chain or series of connected blocks. Each block contains information of a particular transaction, such as the goods being exchanged and the price. One of the security measures of blockchain is the hash. Each block has a hash which is like a fingerprint unique to that block.

If there are changes to the transaction, the hash also changes. However, blocks also contain the hash of previous blocks. If hackers want to change the information on a particular block, and therefore change its hash, they would have to change the hash of all the following blocks.

Securing Information

As long as there are devices coming to the internet of things, people will exchange more information. Innovations make transactions easier, but secure information sharing makes it safer. You wouldn’t want your personal and private information to go to the wrong hands.

Author – Darren Wilson

Albuquerque is located at the heart of New Mexico and considered one of the oldest cities in the country. Also called the Duke city, it is an affordable vacation hotspot with a multicultural heritage deeply rooted in the Hispanics, Latinos, and the Native Americans.

The city is also known for its dry, warm temperature with average sunny weather of 280 days per year. This is higher than the national average, which is only 205 days. Thus, many homeowners look for alternative ways like solar panel installation in Albuquerque, NM to save on their energy expenses.

Though green energy requires you to invest in the initial outlay, the long-term savings cannot be undermined. It is one of the most viable alternatives to give back to our environment and a smart way to save on your monthly energy expenses.

Solar Energy in Albuquerque is a Booming Sector

Back in 2007, the first solar photovoltaic systems were introduced, generating a capacity of 0.5 and, with installation, 0.2% among the population. Nowadays, the MWp in the state has more than quadrupled with 792 sizes, and an installation percentage of 97%. This data more than confirms how homes and businesses are moving towards a better energy alternative.

Also, there is a list of facilities around the state and particular services like solar panel installation in Albuquerque, NM. These services provide everyone with a better opportunity of owning their solar panel and storage equipment.

With lots of service providers sprouting in the Albuquerque area, it is best to look for installers with a proven track record. Quality installation is vital for the longevity of your solar panel as they should adequately harness the sun’s rays.

Also, when looking for the right installers in your area, make sure you hire those with the right experience. It might be easy to install solar panels, but it takes quality experience for one to get it right.

Albuquerque has more than a dozen solar companies, so getting the right company to do the job right is vital for the longevity of your photovoltaic system. The renewable energy in the state and Albuquerque is not just about solar farms. Still, the industry is all about the Burque families and how they can benefit from such an alternative energy source.

Getting the Right Solar Panel Installer in Albuquerque

Getting the right solar panel installation in Albuquerque, NM is crucial, considering such a project will be a long-term investment. It is the reason why you need to vet on the right installation team.

But how do you find the right company to set up and install your renewable energy source? Here is some expert advice:

1. Check the company’s credentials. Just by checking the company’s accreditation, you’ll get an idea of their credibility and competitiveness.
2. Go through their financing options. Always look for a company with multiple financing options to help you break down the overall costs. Always have a consultation before signing a contract to remove unwanted
3. Request for a quote. Almost all solar group in Albuquerque offer appointment scheduling so they can inspect your property and calculate prices. During their visit, you can ask for questions that will help clarify the installation steps.

A solar panel system is meant to help you save on your energy costs and help build a better environment. It is crucial to get everything right the first time so you can reap the rewards of your eco-friendly initiatives.

 

The world has never been closer. You can talk to your loved ones almost anywhere in the world through messaging platforms. Further, you can deliver items to your families or clients with just a simple click. With this technology, eCommerce has simplified the relationship between buyers, sellers, and forwarders. The holidays, in particular, have never been more colorful as deliveries of any kind are being sent to families, friends, and customers. Specifically, 90 percent of shipments travel through sea freight services because of its efficiency, cost-effectiveness, and environmental-soundness.

Efficiency

When you are running an eCommerce business, your client would want an update. With the monitoring operations of a forwarder, you can note where your cargo or parcel is at the moment. This monitoring will enable you to provide a much-needed update to your clients. In business, time and communication are both essential. And providing your clients with the proper update is the key to a good relationship.

Moreso, delivery by sea offers flexible options. You can deliver large types of equipment or mass quantities of an item through the sea. And since there are major container ports in the world, travel by land is significantly lessened as you lessen possible transit damage to your cargo or equipment.

Since ships are generally more than equipped and prepared to handle storms, you can expect that adjustments of any kind, such as the date of arrival of your cargo, would be at the minimum. Since shipments traveling by sea are put into a well-planned space, the item or equipment is safe from any damage.

Cost-effectiveness

Since most ships can carry huge equipment, sea freight services are usually the most economical choice. Similarly, you may have items delivered at a generally lower cost compared to delivery by air.

Also, the well-oiled operations of a sea freight forwarder will make sure that your cargo arrives on schedule. This punctuality will enable you to prepare warehousing requirements for your shipment or even deliver it by the just-in-time principle, minimizing costs incurred.

Since most sea forwarders are well-organized, inaccuracies in details like location are very few and far between. Relevant legal documents like the Bill of Lading are kept accurate as well.

Since clients of sea freight forwarders can receive proper guidance from freight staff, any problems or budding issues are dealt with immediately, lessening possible costly damages.

Environmental-soundness

Items or equipment delivered by bulk is the most environmentally sound solution. Instead of bringing partial parts of equipment, a big ship can carry the whole lot of it in a single trip; this is similar to delivering items in bulk. Resources required may be significantly lessened for one trip instead of many. Though a large ship requires a bigger operation, traveling thousands of miles at sea for one time is not only the most economical solution, but also leaves a smaller carbon footprint.

W. Edwards Deming, an American engineer, has defined quality to be a product or service that is not dependent on the supplier. He further said that quality is what the customer is willing to pay for. In a forwarding business, freight service is said to be of high quality or of excellent service depending on how systematic and conscientious the company or organization is. Making a profit is not enough. A company must be responsible enough, socially, and environmentally, to thrive.

 

Bookkeeping sometimes takes a backseat when running a business. Business owners know the importance of accounting but often tend to allow the process of bookkeeping to fall by the wayside. You may be surprised to know that bookkeeping, no matter how insignificant it may seem, is actually something that should take precedence if you are looking to run a successful business. In today’s article, we look at exactly why this is so and how quality bookkeeping can be more impactful than you may think. Read on to find out more!

Bookkeeping Helps With Budgeting

Budgeting is something that is incredibly important when running a business. For this reason alone, bookkeeping is an essential process as it allows business owners to examine data relating to business finances and financial resources. Since bookkeeping is the process of keeping your company’s financial transactions in an organised manner, it is the first gateway to planning a proper budget for your business.

Financial Analysis and Management

If you own a business, we are sure that you have a great deal of interest in how your company is performing financially. Of course, without accurate data or records, it is impossible for business owners to analyse financial data. Being able to generate a balance sheet and income statement can truly go a long way when it comes to monitoring your business and ensuring that it is on track. Keeping an eye on cash flow is also equally important when running a business. This is where bookkeeping comes into play. A bookkeeper’s job is to record all transactions that occur in the business, ensuring that business owners have accurate data to analyse or pass on to their accounting team. Without this data, businesses may end up landing themselves in a poor financial situation that could in some cases even end in bankruptcy.

3. Prepare Your Taxes On Time

Every business has to file a tax return on an annual basis. It is not uncommon for business owners to start scrambling or running around looking for paperwork and information a week or two prior to tax due dates. If this sounds familiar, chances are your business would highly benefit from the help of a bookkeeper. Bookkeeping is a process that can ensure that your financial information is not just ready but also organised and ready to be sent off to the ATO. Instead of panicking and scrambling around, quality bookkeeping can ensure that all your tax and financial information is organised in a central system.

4. Lessen The Pain of Potential Audits

If you own a business, you also run the risk of being audited. Whilst this is something that certainly no one looks forward to, it is always wise that your business is prepared for the possibility of it happening. Having your bookkeeping organised is one of the best ways to prepare yourself for this as it ensures that all of your business’ financial information is organised in one location and easily accessible if needed. This can be very helpful during an audit as it can help you avoid any potential penalties or late fees.

5. Attract New Investors

If you are actively looking for people to invest in your business, bookkeeping should be at the top of your priority list. Investors want to know that their investment in your business is going to prove to be valuable in the future. One of the ways they do this is by quantifying the value of your investment. This is a process that involves them analysing your cash flow statement, income statement and various other financial statements that present the value of your business. Quality bookkeeping will ensure that potential investors have access to up to date financial records at all times, thus increasing the chances of them having confidence in your business and investing in it.

_________

Quality bookkeeping is an impactful process that allows your business to organise and keep track of its financial health at all times. We hope that this article has given you insight into just a few benefits that quality bookkeeping can offer your business.