When Does a Business Fail?
Each and every day, new businesses begin, and old businesses fall to the wayside. We’ve all heard stories of big companies filing bankruptcy, going out with a bang, as well as small companies disappearing in the middle of a night, with more of a whimper than a scream. How does this happen? Is it a lack of customer satisfaction? Is it failure to deliver on time? Is it bad products, marketing, or employees? Maybe it’s a combination of them all? Or…what if a business stopped working simply because it ran out of money? That’s the real signal, the amount of [Read More]
Tax Planning: it’s never to early to start
Tax Planning is Here to Stay Around this time of year, we at SP Solutions find ourselves reminding our current and prospective clients just how important it is to conduct tax planning. It is a necessity! It is crucial for a business owner/manager/director to be financially well organised. From our point of view: tax planning is invaluable Tax planning allows you to anticipate what your taxable income will be for the financial year therefore allowing you to determine your tax liability in advance. The knock on effect of having such information is that you have the ability to plan ahead [Read More]
How to Double Profit without Doubling Debt
One of the greatest daily struggles of a small business owner is having to walk the fine line between paying the bills and investing in future growth. Many times, business owners look at their sales charts and see profit going up, but they don’t see their cash flow situation getting any better. They are making more money, but still not having any more to spend! So how does that happen? Well, what we have is a problem not necessarily with overspending, but with cash flow management. In order to grow, a business needs to be able to spend more cash, [Read More]
How to create a pricing strategy
‘To successfully price a product or a service for your target market, you have to know your numbers“. Its a given that setting your price is one of the hardest decisions that all consultants and business owners have to make. You have to ‘know your numbers’. You have to know your labour and material costs, your fixed and variable costs and your desired margin. Once you know your numbers you then need to take a deep breath and come up with a price and understand that most of the time, the price you come up with will be wrong. If [Read More]
Your numbers are screaming at you, are you listening?
Your numbers are trying to tell you something. When was the last time you had a good look at your numbers? Was it when you had a meeting with your Accountant last year, was it when you had to get your numbers ready to give to your bank, or when you sat down with your book keeper last month? Your financials are vital to get you bank finance, and they are vital to keep you out of trouble with the tax office. But the most important aspect of financial statements(Profit & Loss Statement and Balance Sheet) is to give you [Read More]
How to Double Profit without Doubling Debt
One of the greatest daily struggles of a small business owner is having to walk the fine line between paying the bills and investing in future growth. Many times, business owners look at their sales charts and see profit going up, but they don’t see their cash flow situation getting any better. They are making more money, but still not having any more to spend! So how does that happen? Well, what we have is a problem not necessarily with overspending, but with cash flow management. In order to grow, a business needs to be able to spend more cash, [Read More]
