Good planning is important for both startups and established businesses, and a financial plan is no exception.
As a new business owner, you have probably never had to produce a financial plan, so it can definitely be a daunting prospect. However, investing a little time and effort in making a financial plan for your new business can save you a lot of money and pain down the line.
So to help you get your financial plan right we asked Robin Booth of Brixx.com to outline the 6 steps to develop a coherent, holistic financial plan of your business. (more…)
When you’re trying to work out how well your business is doing, one of the most powerful tools in your financial arsenal is your profit and loss account (P&L).
This is a simple set of figures that will give you a summary of what your business has spent and sold, normally in a 12 month period.
Crucially, a P&L statement will tell you how much profit or loss your business has made so it’s useful to have a good grasp of it.
Here’s an overview of Profit & Loss Accounts for a small business owner.
Financial reports are standardised measures of a business’ financial health. They are a necessity for publicly traded companies, but this does not mean that they are only useful for large organisations.
If you know what to look out for, these financial reports are great tools for businesses of all sizes. (more…)