STORY BY KAT PICKFORD |
How can you help a business with cash
flow issues?
Being proactive and running with a cash
flow forecast will help stop cash flow
issues in the first place. However, if a
client comes to us with cash flow issues,
we can help put together a plan of how
to get them back in the black and stay
there. Often it starts with tight cash flow
management and running a weekly rolling
cash flow, ensuring that debtors are
actively chased, contacting suppliers and
extending payment terms, reviewing and
reducing expenses etc.
What are your top 5 tips for people to
consider when planning for the future?
1 Figure out want you want personally
from life, i.e. more free time, more
money, travel the world etc.
2 Write it down – don’t just talk about it,
but write up a road map, e.g. 10-year
goals, 5-year goals etc., and what steps
you need to take to achieve the goals.
3 Involve a third party with your planning
to get an outside perspective, such as
mentor, coach, friend, colleague, boss.
4 Take action every month and review and
update the plan.
5 Surround yourself with positive people
that help you achieve your goals.
What advice would you give to someone
wanting to start a business?
Make sure you have done your research,
have a plan, have initial capital, have
crunched the numbers and have seriously
thought about what it takes to start a
business.
What are some good financial strategies
to follow…whether personally or for
business?
Business:
1 Have a rolling budget and cash flow
forecast.
2 Have a savings account for things like
tax, GST, holiday pay, ‘what if’ money
etc.
3 Have a good advisor who is running and
analysing monthly management reports
SUSIE WILLIAMS
with recommendations.
4 Review your expenses annually to see
where you can make savings – small
changes can have a dramatic effect to
your bottom line.
5 Review/increase your charge-out rates
annually.
6 Pay off personal debt before business
debt.
7 Have good debtor payment/chasing
practices.
8 Have reliable up-to-date financial data.
9 Have a good bookkeeper.
Personal:
1 Have a simple personal budget.
2 Separate spending money from bills
money – run different bank accounts.
3 Pay as many things monthly via direct
debit, i.e. rates, insurance etc.
4 Join KiwiSaver.
5 Have a savings account with a weekly
amount deposited by automatic
payment.
6 Ask for a pay rise and have a good
answer ready on why you deserve one.
7 Review your expenses annually to see
if you can make any savings.
If you didn’t have a business, why else
might an accountant be useful?
As a life mentor/coach. Every accounting
firm is different of course; however,
here at Sass we also provide training
around leadership, HR, Microsoft Word
and Excel, Xero, understanding your
numbers and marketing.
What services would you recommend for
personal budgeting and financial advice?
I believe there is a free budgeting service
that everyone can access – you can email
[email protected]. The best tool for
budgeting is Microsoft Excel! Create a
simple spreadsheet of your money coming
in and expenses going out. You can even
download free templates via Microsoft
Excel.
If you need some financial business advice,
give the kno wledgeable ‘sassy’ ladies at
Sass a call on 577 7128.
Your
Success
is Our
Business
Ready to take
YOUR
BUSINESS
TO THE
NEXT LEVEL?
We’ll help you make
the right moves
We are passionate about your
success and we understand
that to be successful in business
you need to achieve both
personal and business goals.
So our approach is holistic,
innovative and proactive.
We want you to win.
We want what you
want: a great life!
Level 4, Rangitane House
2 Main Street, Blenheim
Ph: 03 577 7128
Email: [email protected]
www.sass.nz