Financial tips for business owners

  1. Issue invoices and receipts for all sales.
  2. Record all revenue received.
  3. Write down all your expenses.
  4. Open a dedicated bank account for your business.
  5. Look for ways to cut costs especially overheads like fuel etc.
  6. Keep records in dedicated box files.
  7. Have written contracts for key expenses like rent, employment etc.
  8. Use a cash register for your shop.
  9. Pay yourself a salary and keep personal matters separate from the business.
  10. Compute monthly profits/losses and also your assets/liabilities to check how the business is doing.
  11. Get insurance like motor comprehensive if you have delivery vehicles.
  12. File tax returns in time to avoid penalties.
  13. Invest surplus funds to grow the business.
  14. Put in place controls to safeguard your cash and assets. For example cash should be banked daily.
  15. If you don’t run the business full time do random stock and cash counts to make sure no one is cheating you.
  16. Look for ways to grow revenues. Like sell different products to different people in different places.
  17. Hire an accountant to organise your finances.
  18. Partner with people or institutions which can provide funding for expansion.
  19. Invest in an accounting system.
  20. Limit credit and follow up for payment.

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