You’ve finally got some time to sit back, put your feet up and think about nothing…But it’s a busy, high tech world. So your quiet moment quickly moves to active contemplation of your inbox, skips ahead to worry about next week’s meeting, then flips into full-out panic mode as you look at the year ahead.
The importance of an inventory management system often only becomes apparent to a business when it starts going through a number of ‘unexplained’ problems. In reality, they’re not unexplained. The problems start because the business owner does not have an efficient system for tracking inventory and materials on hand.
“Sorry! We can’t help you! Joe didn’t turn up for work today and we don’t know how to do his job.” Imagine what your customer would be thinking if this was your response! Unfortunately, it’s a far too common story for small businesses everywhere. But you can make sure this won’t happen.
There’s no shortage of advice on how to grow sales. But sales growth for profit? That’s something entirely different. Often sales advice focuses on the mechanism of how to sell, or exhorts you to sell more, grow bigger, and always be selling. But growing sales without growing profit at the same time is a waste of
John is a typical small business owner. He’s just had just had an annual meeting with his new accountant to sign his tax return. It was rude shock for him. Not that John had to pay more tax. In fact, he received a large positive tax return. But his joy at this quickly dissolved when his
Alice: Would you tell me, please, which way I ought to go from here? The Cheshire Cat: That depends a good deal on where you want to get to. Alice: I don’t much care where. The Cheshire Cat: Then it doesn’t much matter which way you go. Alice: …So long as I get somewhere. The
Only 39 percent of businesses make a profit. Make sure yours does. Why is it that only 39 percent of businesses make a profit over their lifetime? It’s such a low figure not because most business owners don’t work hard. Nor is it because of a lack of passion; and it’s usually not because
A tax break is NOT the answer. It won’t fix the underlying business issues that are threatening to derail your business. All companies face problems from time to time – the successful ones don’t try to apply a little pain relief to more serious chronic problems; they get to grips with the underlying business
Whether employees are going to help grow or cripple your business starts with your hiring policy and extends to their onboarding, training and development. As a business owner, you are ultimately responsible for the success – or otherwise – of the employee hiring and onboarding system you set up. Below we look at a few
Just because you receive a positive tax return doesn’t mean that your business is tracking well. In fact, your tax situation is only one small but important aspect of your business that a good accountant will help you assess. As business owner John found out to his cost recently… Meet typical business owner, John… John’s
Every business owner would like to make more profit, but many are held back by focusing on the wrong things. The secret to increasing your profit is: don’t focus on profit. Focus on the factors that drive profit. With that in mind, we take a look at the four best ways to grow a business profitably…
Like any other kind of new year resolution, the majority of resolutions for a new business year will not be successful. For many people, a new year is the chance to start over, to do new things, to improve. But initial excitement and momentum very quickly give way to previous bad habits, as soon as
The principles behind winning in business and winning in sport are similar in many ways Take tennis, for example. If you’ve ever watched a match on television, you’ll know that along with all the hitting, running and grunting there are a lot of numbers involved. And we’re not just talking about the score here. Each
When selecting a business structure for a small business, there is a cheap way and an expensive way. The cheap way is to do it right first time – by getting advice from an experienced professional. But the expensive way is commonly disguised as the ‘low-cost’ method. Make sure you consider the real costs of setting a
There is absolutely no point being more efficient and getting to your destination quicker if you are going the wrong way. This applies equally when following small business advice as it does in sporting events. Recently, a bunch of runners competing in a marathon in Venice were following the scooter that led the pack. They
Thomas Edison once said that “Genius is one percent inspiration and 99 percent perspiration”. Unfortunately, going from that inspirational idea to the finished product takes a lot more than hard work. Just like Edison, you also need to invest in a lot of research and development. And R&D doesn’t come cheap. Fortunately the Federal Government
Rapid and outstanding growth can be intoxicating for business owners. A start-up business experiencing rocketing sales can cause envious glances from others, who may wonder what they are doing wrong. Why is their own business growth so mediocre? Well, it’s important not to get swept along by it. Sustainable business growth is more important than simply rapid growth. If
“You need to work on your business, not just in your business.” Made popular by The E-Myth Revisited author Michael Gerber, it’s advice I’m sure you’ve heard dozens of times over the years (I certainly have). But despite being told over and over again, many small business owners still don’t seem to truly understand what it means. Let’s look at a
Planning a new start-up puts you in an exciting frame of mind that’s all about creating new beginnings. When you’re just starting out, thinking about the end is probably the last thing on your mind. What you need to realise is that a good business plan is a long-term plan, with both a start and
If you’re like most Australian business owners, your tax planning starts just before the end of the financial year. You probably contact your accountant at most twice per year: Once in the months leading up to the end of financial year: to plan for last minute taxation strategies to legitimately minimise or defer how much
For most businesses it takes considerable time, money, and hard work to win new customers. Yet I find some business owners literally throwing customers away by not coming to grips with why the business is losing customers in the first place. A little more attention to why businesses lose customers and what you can do to retain them would
Is your business making the most of its intangible assets? Intellectual property or IP refers to the products of your intellectual sweat and creative effort. It can encompass the new software you have developed, the catchy name of your business or your secret recipe that rivals the “11 secret herbs and spices”. It is easy
How safe are your business assets? I’m sure you’ve got plenty of protection for your physical assets—buildings, IT equipment, furniture, cars, etc. They’re probably locked up, protected by security systems, and possibly even insured. And if something does happen to them, they can be replaced relatively easily with minimal disruption or cost to your business. But what
Before you take the first step on your entrepreneurial journey by starting a new business, you need to know the difference between ‘profit’ and ‘cash flow’. At first it might seem like they measure the same thing—the financial health of your business. After all, for both it’s a case of the more you have, the