Unless you’ve got the mental arithmetic skills to rival Carol Vorderman, and a strange passion for working out percentages, taking care of company finances is probably your least favourite part of being a business owner. Taxes, budgets, interest rates on loans, payroll, delivery charges, stocktakes – the list of number-related tasks you face on a daily basis is far longer than you’re comfortable with.
And as your business continues growing, rather than celebrating your success, all you can think about is how your financial to-do list is also growing bigger every day.
But you don’t have to resign yourself to weekly all-nighters just to keep a handle on the rising pile of paperwork slowly taking over your desk.
We’re sharing five foolproof ways of simplifying your business finances so you can focus your energy on more enjoyable tasks instead.
#1: invest in accounting software
Online accounting software is designed to take care of the bulk of your account admin and management work, and there are lots of different options to choose from.
You’ll find it makes things like scheduling payments, keeping records up-to-date and staying on top of tax legislation much easier – and with prices becoming more affordable every day it’s definitely worth considering what type would fit in best with your business.
#2: outsource payroll administration
The bigger your business, the more employees you’ll have to look after – that means handling pay, pensions and holiday leave will soon become a time-consuming chore.
The good news is it’s a task that can easily be outsourced. Several companies offer global payroll services which take varying currencies into account, so even when your business starts to develop internationally they’ll ensure your staff are paid on time and correctly.
#3: work on debt management
It’s very rare for a startup not to have some form of debt. so don’t be disheartened looking at your loan repayments or credit history.
But if it has become a big problem – you’re struggling to pay basic outgoings like rent, for example –you can always look at putting a debt management plan in place. Some are free and most will leave you with only one monthly payment to worry about.
#4: set up calendar alerts
There’s nothing worse than midnight worries about whether a bill’s been paid or when it’s due to be taken out of your account – except, of course, for bank surcharges if you do happen to be late with a payment.
Get yourself organised and set up calendar alerts for every scheduled transaction or expense. It’s a small thing but it’ll give you peace of mind that nothing’s fallen through the cracks.
#5: have monthly reviews
Once you’ve got the software in place and outsourcing all figured out, you’ll hopefully be able to relax knowing your finances are in safe hands – but a monthly review is still essential.
Set aside an afternoon to quickly go through your business funds and double-check everything is going to plan. In that case, if anything should happen to go wrong with an account or payment, you’ll be able to spot it before it has chance to develop into a full-blown problem.
Take on board our four foolproof strategies for simplifying your business finances and you’ll be able to enjoy 2017 free from the stress of trying to deal with all your accounting tasks alone.