5 Tips for Small Business Money Management in 2020
As a small business owner you are constantly dealing with unexpected problems that require your immediate attention. One of the most important matters on the top of your list is your business finances. Here are five easy tips to help you keep your company's finances in check:
1. Keep you business and personal expenses separate
Don't complicate your life by mixing everything together. At the end you will have to take the time to separate it anyway, so why make more work for yourself? Keep the business and personal expenses in separate checkbooks and credit cards. You'll be glad when it comes time to do your accounting and taxes.
2. Invest in technology
Technology is your friend and it can be your best assistant. It takes time to set up a new system but once its in place, you can spend less time doing administrative work and focus on running and growing your business.
3. Pay your bills on time
This includes your taxes. Even the smallest delay can result in unnecessary penalty fees. And even worse - it reflects negatively in your records when you are trying to apply for funds.
4. Review your business expenses
Make sure you are sticking to your operational budget. And look for new places to cut expenses. Going paperless, turning off lights, and lowering the thermostat, are just a few easy steps to saving money. Money that is better invested in Marketing, Advertising, and other efforts that increase revenue and grow our business.
5. Lease equipment
Cashflow is crucial to the survival of your business. So paying up front in full for equipment doesn't make sense. Instead, making small monthly payments and using the money produced by the equipment to pay for itself, is a much better move. Plus with leased equipment you can upgrade periodically and maintain an advantage over the competition.
If cashflow is a problem and the bank can't provide you with additional funds, we can help. Its good to be prepared, you can have a business line of credit in reserve just in case you need access to money quickly. The application is simple and you don't have to submit all the paperwork required by the bank. With no application fees, no points, and no expense to you until you use the funds. Then your principle and interest are prorated for the term most convenient for you. Plus there are no prepayment penalties!
For information on obtaining an Unsecured Revolving Business Line of Credit take a look at the blog in this website or contact:
VP Business Development
Brickell Capital Finance