Business Basics Series Part 2: Webinar Recordings & Blogs
These resources provide a guide to key subjects such as tax, pricing and all things numbers.
Jo Tomlinson is a qualified Management Accountant, certified QuickBooks Advanced ProAdvisor, Making Tax Digital ProAdvisor and 1 of only 11 Certified QuickBooks Trainers’ that work on behalf of QuickBooks, training accountants across the UK.
Get access to Business Basics Series Part 1: Webinar Recordings & Blogs here.
For each of the subjects below, we have a webinar recording and companion blog available.
Business Basics Webinar Series
Making Tax Digital is the government’s plan to move UK taxpayer’s records from spreadsheets and paper, to a fully digital system. It already applies to VAT-registered businesses and will soon apply to Income Tax records for self-employed individuals and landlords.
Gaining access to outside investment means you don’t have to give up on your dream. So how do you prove to any potential investor that your business model is worth investing in. What information will they need from you? What timescales are involved and what are the likely costs/cash flow implications.
It is really important to have up to date numbers. Those representing the trading to date can really help any stakeholder to understand the business. But we can no longer influence what has already happened, so the key to successful decision making is in forecasting.
Understanding how much your business is worth is really important if you are looking for equity investment, or if you are looking to sell some or all of your business. You don’t want to insult a potential investor by going in too high, but equally, you want to get what your business is worth.
Selling a business or shares in a business is serious stuff and the price tag can be high, so it’s not surprising that the due diligence process undertaken by the legal representatives and finance professionals on both the buyers and sellers’ sides can feel somewhat invasive. So, what kind of information is likely to be requested, what are the timescales involved, payment terms and other expectation, plus the tax implications on the sale of shares?
Having a business partner can seriously benefit a business. Capitalizing on two or more sets of skills and experience, as well as having another pair of hands to contribute to the day to day running of the business. But not all business partners are the same, some want a silent role, whilst others are more hands on. So, choosing the right business partner is crucial.
To truly understand profitability, we need to look at it more frequently and in more detail. Analysing which aspects of your business make what level of profit and understanding what drives profit allows business owners to make good strategic decisions to improve it.
Projects can be anything from taking on a new person, or launching a new product, to building a manufacturing site, or acquiring a business to merge with the current one. How you evaluate each project can vary depending on size and complexity. But undertaking the exercise leads to better decision making and control.
Often business owners will inject cash into a business where they are a Director. This could be when the business is starting out, or to help with cash flow along the way. But how are these cash injections accounted for, and when can they be withdrawn?
Some business owners will use their bank balance as the barometer of how well their business is performing. However, this gives no visibility of any upcoming liabilities or monies owed.