Take time to reflect on your systems and processes; is your business running as efficiently as it should be?
Keeping your books can seem daunting but it is an essential part of running your business. Youll want to know how much money you have in the bank, what you are owed and which costs to budget for.
Whether you operate as a sole trader or a limited company, open a separate business bank account.Mixing personal and business expenses complicates matters so try to put solely business transactions through your business bank account. Dont forget to account for business costs incurred before you start trading, some might be tax deductible.
Monitor your cashflow and update your forecast regularly; keep track of your sales, debtors and manage the timing of your business expenses to maximise tax efficiencies.
Costs incurred wholly and exclusively for business purposes are normally tax deductible., A reasonable proportion of other costs which relate solely to your business can also be claimed (e.g. use of home as office).Is your business claiming all the tax reliefs it is entitled to and are you drawing profits from your business tax efficiently?
Technology has created huge potential for cost savings and efficiencies, go paperless and store your records up in the cloud.Keeping on top of your digital accounting as you go will help you make faster and better-informed business decisions during the year and will result in a more efficient end of year accounting process.
Speak to Alex or Chloe on 01223 810100 about cloud-based accounting systems all geared up to capture your business transactions effortlessly.You’ll always have your latest financial results to hand and will be instantaneously ‘Making Tax Digital’ compliant.
Let CKLG Accountants take the strain giving you back the time to do what you do best!
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