Startups & Small Businesses

Startups – What are the challenges?

Over the last few years there has been a shift from employment to self-employment and many businesses have incorporated into limited companies. There are many challenges facing startups from getting the right products and services to marketing your business in a crowded and competitive environment. to having the right finances in place. How can you succeed?

The financial challenge….

Accurate accounting records. 

There is a tendency to underestimate the value of accurate accounting records. When a business is successful this is often due the way financial information is gathered and accessible to the business owner. You need to ensure that you implement a cloud-based accounting system such as Xero from the outset. 

Claiming all your business expenses will often mean a reduction of up to 25% of your tax bill. And as your business grows you will need VAT records and PAYE records as well as records for your Personal Income. We can assist with setting up digital records very quickly so that you can extract financial information as and when required.

A positive cash flow. 

So many things can hinder a positive cashflow, lack of finance, poor credit control procedures or using suppliers that are too expensive. To keep a positive cash flow you also need to get your pricing right and ensure you make enough profits to cover your expenses. Above all make sure that you get paid on time and if in doubt get paid before you part with your products or do the work. We can help by helping you to get your pricing right and by ensuring that your accounting and credit control procedures are in place to manage your cash flow successfully.

The right finances in place. 

You may need capital to start your business or to expand. We can help you by assisting you in preparing your business plan, guide you when you need to make important financial decisions and assist should you need a loan from your bank or a grant.

If you need assistance with your Startup business, to fully understand the financial challenge and register your business with HMRC, please call the office on 020 8857 5781 and see how we can help.