Seven Bookkeeping Mistakes Made by Sole Traders

Seven Bookkeeping Mistakes Made by Sole Traders

Bookkeeping Mistakes Made by Sole Traders and Small Businesses   According to the smallbusiness.co.uk, six in ten small businesses fail within the first five years of opening their doors. Two key factors for this are poor financial management and lack of proper bookkeeping. The following seven bookkeeping mistakes are among the most common errors that cause small businesses to fail due to poor financial management. A few of them may surprise you   1. Combining Business and Personal Finances One of the golden rules of small business finance is to never combine business…Read more
Correct Petty Cash Procedures

Correct Petty Cash Procedures

How to use petty cash correctly When business owners have to purchase small items for their business, such as stamps or to reimburse a member of staff for small purchases or travel costs. The chances are they will use petty cash. The word petty means (minor or small). It's used world wide by most small business on a weekly basis, but, is it used correctly? I've worked for a fare few businesses over the years' where they have no clue how to use correct procedures. Even when it is a key element of…Read more
Freelance Nightmare — When the Customer Doesn’t Pay

Freelance Nightmare — When the Customer Doesn’t Pay

What to Do when your Customer doesn't Pay   It is a freelancer's worst nightmare. You've slaved for hours working on a project for a client, you've done a fabulous job, delivered on time, and then your customer doesn't pay their invoice. It could be that the client is completely avoiding you, or promising to pay by a certain date.  Time and time again, and always failing to make the payment. Worse still is the client has paid but with with a bogus cheque. In the world of freelancing, it does happen. Yes,…Read more
Self-Employment and Taxes – Do You Maximise Your Tax Deductions?

Self-Employment and Taxes – Do You Maximise Your Tax Deductions?

Tax deductions? Oh, the joys of HMRC!  It can be a real challenge to understand what is a tax deduction and what is not. Even the most well intentioned people are intimidated and afraid they’re going to make a mistake as there are so many grey areas. So, here’s how to maximise your tax deductions, legally in simplified terms. #1 - Understand the difference between a business expense and a capital expense Business expenses are expenses incurred doing business. They’re usually tax deductible and include things like rent, travel and contractors and employees.…Read more
Getting a firm grip on your Business Finance.

Getting a firm grip on your Business Finance.

Business Finance and Cash Flow must Do's   One, if not the essential element to running a successful small business is business finance and cash flow. I’m often flabbergasted by the number of sole-traders and freelancers who contact me requesting information on my bookkeeping service, who cannot tell me within a few minutes how much money they are owed, and in some cases have no idea what their payment terms are - due to the fact that they haven’t set any! To ensure that your business becomes cash happy and the cash is…Read more
Business Money Management

Business Money Management

Business Money Management: DIY or Hire a Professional? With the cut-off date for online self-assessment looming (31/01/2016) many small business owners are thinking about their business money management and submitting their tax returns. Whether you hire a professional to help you or not, you are not ever absolved of the personal, legal and financial responsibility of managing your business's money legally, ethically and correctly. So, how do you know whether or not you should do it yourself, or hire a professional? Let's go over the choices: DIY Doing it yourself means that you…Read more