A key to success is a clear Business Vision - knowing in advance the type of business you are trying to create. This is about being able to visualise, & importantly document, what your business will be like in granular detail – when it is…
At The The 500 Group Group, we learned that one of the most powerful actions a business can take is to clearly define its Business Purpose! That is, why does the business exist? What is its reason for being? From the customer perspective, the products…
What is Real Time Accounting? Real Time Accounting is about recording your business financial transactions as they occur (or shortly thereafter). Today this is typically achieved by using online accounting packages such as Xero, QuickBooks, etc. This contrasts with the historical approach of waiting for…
Often when seeking finance from a Bank, clients are asked to prepare a cashflow forecast. Whilst most business owners will rightly seek assistance of their Accountant or Bookkeeper to prepare the forecasts, it is important to understand the process involved and to have input into…
Increasingly when businesses look for funding from a Bank they will be asked to provide three way Financial Forecasts. In the past, often a simple cashflow forecast would have been sufficient, however whilst a cashflow forecast can be helpful as a guide – its ability…
Often when lending against a business, a condition of approval set by the Banks will be that the business operate within and/or meet certain Financial Covenants. For business owners, unfamiliar with the concept Financial Covenants it can be a scary prospect! It can be hard…
To enjoy business success there are four critical questions that need to be answered:
When borrowing against a business, whilst the financial elements are clearly important, they are only part of the picture! In our last post we outlined the key criteria Banks use when faced with a request to lend against business assets and cashflow. However, meeting the criteria…
A question regularly asked by business owners is what do Banks need to lend against a business? Another common question is – what key criteria do I need to meet so that I can have my home removed from the Banks security arrangements? The answer…
Assessing and managing risk is a crucial part of managing a business, but finance risks are a critical risk that is often overlooked! When I talk about finance risks, I am not talking about affordability, but proactively managing the risks presented by the finance market…