Business Growth Ideas Archives - Page 5 of 5

News,May 2018

How to build a startup without any external finance

Here’s How you Build a Startup Without External Finance

George25/01/2021Accountants , Business Growth Ideas , Startup accountants

It’s never easy when you’re starting off with something new. Especially when you’ve got no backup. You always need help from successful entrepreneurs and experts to get the answer around ‘how to build a startup without external finance’. Make sure you’re extra careful with your decisions. Some expert advice goes a long way. One of the most important aspects of any startup is funding, definitely. Most people would go on for venture funding or external funding options most of the time. But do you want to find out who started off without any funding and are known as the conglomerates as of now? Microsoft, Dell, and Virgin are some of the leading examples that started off without any external funding. So how does an investor-free startup roll, you ask, and how exactly does it benefit you? You Get to Lead Like a Boss Here’s how some amazing startups came into being. Someone with a brilliant mind was already working for some big company. Until they realized they’ve got an amazing idea that needed serious work. They wanted to make independent decisions about things they were really passionate about. Then came the next question ‘ how to build a startup without external finance’. What About the Budget? The startup/business owners need to be extra careful of the decisions they would be taking. All the ideas may be creative and innovative but need some precautions especially when it comes to money matters. Imperfections in any business model eat up a lot of money, so you’ve got to make sure that your business model is sound and take as many expert hands as you may like. Make your Customers Feel Happy Nothing sells out more than customer satisfaction. You’ve got to make sure that you’ve got a sales team that makes the customer believe in whatever they want to believe. Trust us when we say this, there’s not one customer who dislikes the idea of high-quality services. Make sure you’re impressing them with high-quality products/services. There’s a long list of people that are amused by the idea of new and unorthodox ideas. You just need to make the idea more familiar to that bunch of people. Having a great idea is great, but you need a great team to make it even more successful. That not only includes a great marketing team, but also a great accounting team. They’ll help you discover all your answers to ‘ how to build a startup without any external finance’.Now how is an accountant relevant to this situation, you ask? An accountant for startups takes a brief look at your accounts. He communicates with you in numbers by understanding your goals in the language you love talking about. That’s how they align your goals with an effective business strategy that works out in the long run. Looking for a qualified accountant in Croydon? Get on a call with accountants in Croydon.

Plan Your Long-Term Financial Security with the Right Financial Advisor

George19/01/2021Accountants , Accounting Issues , Business Growth Ideas

Getting your financial goals with financial advisors may sound strange for some of you. You may consider them a luxury. But in simple terms, these individuals help you achieve your financial goals by telling you where and how to spend your money. Talk about long term financial security. Getting a professional hand involved in your financial affairs is not a bad thing at all. This will give you more confidence with where you are spending your money and give you more options to invest it. Here’s a guide for you to save more money with the right financial advisor by your side with absolute financial security. Determine Why You Need a Financial Advisor Financial advisors may prove to be a big help in case you are trying to devise your future plans. People usually misunderstand the role of financial advisors. You don’t have to necessarily require a financial advisor to achieve your investments and savings goals. You may need help if you are retiring or getting through a phase of divorce or encounter an unexpected death of a spouse. In situations like these, you may need someone to advise you on your financial decisions and work long term on your financial security. Types of Financial Advisors You will not find every other financial advisor specialized in your need. Different individuals offer different services. You can find a specialized advisor according to your need. Some deal with taxes, insurance and some work in estate planning or retirement planning. A lot of people encounter difficulties managing education financials and there are people who are specialists with these kinds of affairs. The thing is that you may want to go with one who knows about your worry and its solution well. Do Your Homework Don’t go in randomly and hire someone. Do your homework and find the right man for the right job. Put together some names. Ask around and make inquiries. You will find people with a good reputation and history. Talk to your family and friends and gather some recommendations. You can use the internet to search the location-based advisors near you. Check their History Make sure that you are going with an individual who has dealt with a similar kind of cases successfully in the past. Reputation plays a vital role in determining your success. You can check their history by going through their cases and consultation with some people who used their services. How to Find a Financial Advisor If you want an advisor on the matter relating to mortgages, protection insurance, investments and general financial planning, Personal Finance Society may prove to be a good platform. You can also explore the Chartered Institute for Securities and Investments (CISI) platform which is really good to find location-based advisors. To deal with your financial affairs and accounts you can explore our location-based search engine which will find you an expert under 30 seconds. Specialized advisors You will find plenty of specialists termed as ‘financial advisor’, ‘mortgage planner’, pension adviser’ or ‘financial planner’. Restricted advisors will focus only on only one area. Some may give advice on many areas. Look in the market to evaluate carefully.

How to Setup a Small Business without Applying for a Loan or Grant?

George14/01/2021Accounting Issues , Business Growth Ideas

Starting a new business needs a substantial amount of cash and backup amount. You may not be able to obtain this amount from the bank or in the form of grants. It really depends on your business and its risk factor. In that case, you will have to turn to alternate options. Funding for a startup business may sound like a task but you can approach it in a simpler way. We will see some alternate on how to get funding for startup business options that are better suited for your business Invoice finance Sometimes it takes longer for your invoice’s payments to clear. If these invoices are due from stable companies that are financially strong and secure then you can sell your invoices. You can do it through auction platforms. This way you can get some big percentages upfront. After that, you can get the full amount in exchange for the administration fee and interests. Overdraft If your business’s nature is cyclic and you have a cash flow that is constantly changing, you may need short-term startup funding. You can consider a bank overdraft facility. The bank can facilitate you by giving you the option to pay interest as you drawdown. Merchant Cash Advance A merchant cash advance can be a good alternative. You can take credit card payments and lend against your future revenue on a short-term basis. Peer-to-Peer Lending Peer-to-peer lending will enable you to lend money on better terms and interest rates. You can also get loans with high-risk factors involved in your business. Peer-to-peer lending is different from bank loans where people will grant you loans and you can get loans at a better rate than a bank. To secure the loan you will have to put the business information and key data of your company on the website. This trend is getting more popular due to its flexible nature and platforms like Zopa and lending works are getting famous in the UK. Asset Financing Asset financing lets you secure funding against any asset’s value you need to acquire. It can be equipment, real state, or any other asset. There are some specialists who work in this area and you can get to them. Also, a lot of banks have an asset finance facility. Equity Funding If you are willing to sell a stake in your business, then this option is for you. Equity funding comes in a variety of forms. Some may work individually or you can find a group. Business angels and venture capital funds and private equity houses are also different forms of the same thing. If you want cash at the early stages of your business, an angel investor might save you by giving smaller cash amounts. This will keep you going. Venture capitalists also come at the initial stage but they may be your second priority. You can get help from private equity in the later stages of your business when you prepare for stock market listing. They will come in larger amounts. Crowdfunding You can boost your business with crowdfunding. In crowdfunding, you extend shares or rewards in your business in exchange for funding. You can go to the crowdfunding or crowd cube to explore crowdfunding options. Require more assistance in funding for a startup business? Drop us a message!

Here’s Our 101 On How to Register an Overseas Company

George07/01/2021Accountants , Business Growth Ideas , Limited Company

If you’re looking forward to registering as an overseas company in the UK, we’ll take you through a step-by-step process to make sure you’re doing it right. You must register for the company of company house if you’re starting out to set up a new business in the UK. What’s the Eligibility Criteria? If you’ve already got a base in the UK, you can register for the business. This means that if you visit UK frequently for business purposes or you’ve already set up space, you can carry out business in the UK. Some firms can still not register as an overseas company. These include partnerships and unincorporated bodies. If you don’t have a base in the UK, you don’t need to register for the company’s house. Let’s say you’ve already invested in a property (we can consider this as setting up a base) make sure you’re filing the corporate taxes. What Forms Do You Need to Fill Out? Make sure you’re filling out form OSIN01. Make sure you send it out to the company’s house within 1 month from the time you started out on that particular business. If you’re worried about what address do you need to send it out to, don’t worry about that. The address is there on the form. You might end up paying 20 Euros as the registration fee with the form. For the ease of the taxpayers, HMRC gives you the option of paying it either through a paycheque or postal order. What if you Need to Change any Details on the Forms for your Company? Make sure you’re telling companies house within 14 days if there are any changes in your company details. These can include: Your decision to change the name of the company. Your decision to change the address of the company. What business your company does? Any changes in the roles of directors, or other authorized personnel. Your decision to work on changes in the company information. For example, you want to expand on the details of the accounting requirements or the powers of the secretaries or directors. Changes in company constitution on the form We hope the following information has helped you set up an overseas company in the UK. This was one popular question asked particularly by the business owners of the US, Africa, and Asia. Therefore, we’ve summarized all the relevant information we’ve received from all the channels.

What Tax Relief One Must Expect on Loans for Small Business?

George17/12/2020Business Growth Ideas , Personal Tax , Tax Issues

You always need help when you’re looking forward to investing in a new business prospect. But how much tax relief one must expect on all those loans for small businesses? Christmas is one of the most trending topics these days, and people are grabbing every opportunity to invest in a long-term plan. But what about the interest on these loans? Do you have to pay taxes and VAT on all these loans for small businesses too? HMRC doesn’t consider the capital element of loans for income tax relief purposes. If the loans are exclusively for business purposes, interest paid on loans would be a deductible revenue expense. Let’s say you’re looking forward to investing in the machinery for your small business. The machinery is counted as a revenue expense, therefore it’s allowable for income tax or corporation tax. The loan you ask for in the form of cash is deductible for tax. Especially if the business owner is to borrow the loan personally. He may opt to introduce the cash in the form of a loan. The person borrowing a specific amount should make sure that they’re not just figuring out the tax amount but also maintaining whatever amount is due to them. You must know what you aim to do with the cash you’re borrowing for a loan. If you’re aiming to buy capital, its always a good idea to go for the capital. Make sure you take care of this part. Also, note that the capital may not be qualified if Broadly, the loan will become non-qualifying if either the capital ceases to be used for a qualifying purpose or is deemed to be repaid. For example, Bob borrows £100,000, secured on his house, and lends this to his business. The loan is a qualifying loan, so he can initially claim tax relief on the interest payments. Unfortunately, the rules relating to the repayment of qualifying capital mean that each time a capital credit is made to the account it is deemed to be the repayment of a qualifying loan. Since the capital value of the loan is reduced every time a payment is made, credits totalling £50,000 per year will mean that all tax relief is lost within just two years. Re-borrowing shortly after making repayment is not a qualifying purpose so future relief is also lost. It is also worth noting that a business cannot claim a deduction for notional interest that might have been obtained if money had been invested rather than spent on (for example) repairs. Double counting is not permitted, so if interest receives relief under the qualifying loan rules, it cannot also be deducted against profits so as to give double tax relief. Restrictions under the Cash Basis Tax relief on loan interest is restricted where the ‘cash basis’ is used by a business to calculate taxable profits. Broadly, businesses using the cash basis are taxed on the basis of the cash that passes through their books, rather than being asked to undertake complex and time-consuming accruals calculations. Under the cash basis, bank and loan interest costs and financing costs, which include bank loan arrangement fees, are allowed up to an annual amount of £500. If a business has interest and finance costs of less than £500 then the split between business costs and any personal interest charges does not have to be calculated. Businesses should review annual business interest costs – if it is anticipated that these costs will be more than £500, it may be more appropriate for the business to opt out of the cash basis and obtain tax relief for all the business-related financing costs. Private Use of Assets Where a loan is used to buy an asset that is partly used for business and partly for private purposes, only the business proportion of the interest is generally tax-deductible. Commonly cars and other vehicles used in a business fall into this category. Note, however, that a deduction for finance costs is not allowable where a fixed-rate mileage deduction is claimed. Example Bob takes out a loan to buy a car and calculates that he uses it in the business 40% of the time. The interest on the loan he took out to buy the car is £500 during 2020/21. He can therefore deduct £200 (£500 x 40%) for loan interest in calculating his trading profits. Finally, interest paid on loans used to fund the business owner’s overdrawn current or capital account is generally not deductible for tax purposes.

Here are Top 3 Ways to Help you Ace Market Research

George03/12/2020Business Growth Ideas

Good market research is not a forgotten story for any successful business owner. It’s a success formula for any business owner. You’re already know how significant is it for any business. Try to work on market research. Here are the top 3 tips to pull your business out of a crisis Focus on Your Audience Psychographics and demographics play a very important role in determining what your audience actually wants. Make sure you understand what their problems are that you’re willing to solve. Know their age, gender, ethnicity, interests, etc. You must humanize your brand to ensure that it appeals to the audience. Humanize your brand to make it familiar to an audience. Remember how you chose a soap bar on a countertop just because it triggered all the happy emotions? That’s because it’s been branded like that. Your audience normally tells you what they expect from your brand. Simply send out a questionnaire to your target market and let them tell you what do they expect from your brand. Take Risks You can’t take risks as long as you get out of your comfort zone. It’s always a good idea to explore different target markets or advertising platforms. But make sure all your risks are calculated. As suggested, make sure you do a little research before jumping onto something. Maybe lookout for similar brands like yours on a new social media platform before jumping onto it. Measure their engagement and conversion rate. Third-party apps usually help. The audience is key. If you’re just starting out your business, make sure you do your audience right. The data never disappoints. It tells you whether an audience is ready for something new or not.

Finance that Helps Your Business Grow

George13/11/2020Business Growth Ideas

Every business needs finance for its growth. The right way of financing a business is crucial. Looking for new markets and the development of new products demand a lot of capital. Sometimes it seems that you don’t have any other option. You’d rather rely solely on banks. The idea might be a little too convenient. It’s always a better idea to avoid unnecessary debts and interests that burden your shoulder. Don’t mess up your business operations in order to fit in any other additional expenses. At times, we don’t even realize Financing your business needs the injection of additional costs. If you’re scaling, know that additional costs include resources that need doubling. Having a clear objective is really important. It’s hard not to indulge in the excitement of things. Here are some tips that’ll help you secure your business. Don’t Expect too Much Return Look for other alternatives. While you’re at it don’t expect too much return. But where do you get the funding from? Banks and other resources leave you struggling with more debts and repayments. The interest on your loan will hang you up for an extended period of time. The best way to go for financing a business is by getting a hand in the form of an investor. You can go with government grants and schemes also. Save Up When you are growing and expanding your operations, there’s a lot of strain on your business. Small businesses and startups use up their cash flows and get involved in unnecessary borrowing. This method grapples them with strict repayment conditions. They might have to face a cash flow squeeze. Either way, bad financial planning leads to a closed-end. Eventually, you will find yourself at a point where you won’t find an escape route. Have a Plan Barging in and gambling with your investment even with a good market plan and product might land you in trouble. A good financial plan is the main piece of the puzzle that completes the whole growth perspective. By giving more time and spending extra energy at this step helps you know your limits. Work out how much finances you need. Add some extra finances in initial calculations. You don’t want to stop here. Set a meeting with your creditors and financers and explain your plans for the whole year and the coming months. This gives them more confidence and your credit line will be secured for a definite period. Look for a Partner If you are planning to expand, the income you’re pouring in is very important. If you are lending, try to get the best deal and look out for flexible conditions. The best way for you is to partner up. Never pay for the expansion out of your own pocket or the existing cash flow. Never Give Up Control When you are growing, you may succumb to small offers. You might think that giving up ownership of the business lands you on a better deal. Just don’t do it. Venture deals often let you sacrifice equity, however, that’s not the case in factoring. If the company is growing, it’s in your best interest to have full control. That way you get the most out of it. Look for a Partner You can Trust You can find those factoring gurus who wield power and have great contacts. They can get you to be in touch with some financial potential experts and professionals. This gives you dual benefits where you get a valuable work partner with your deal. If you’re lucky enough and get a good factoring partner who knows what he is doing, he’ll provide you with valuable insight into your business, improving terms, and other areas. This will benefit your business and increase your sales potential.

Why Non-Finance Managers Need to Learn Finance?

George12/11/2020Accountants , Business Growth Ideas

Even if you’re not a finance guru, get your hands on the following skills to amp up your overall profile. This will help you polish your performance and profitability. So what if you don’t want to get into a rigorous course. Before figuring out how it works for you, let’s talk about the basics of a non-financial manager. What is a non-financial manager? How Important Is Financial Training For Non-Financial Managers? A non-financial manager is any manager other than a financial manager. This might include a sales manager, an operations manager, human resource manager, training manager, or factory manager. Finance is a very broad term. What list of managers must be interested in finances is the real question here. Any non-financial managers like the sales managers, operation managers, human resource managers, training managers, or key accounts managers top the list. These are people who might be interested in figuring out the finances. Why Would A Non-Finance Manager be Interested in Learning About Finance? These managers come across financial situations on regular basis. People make important decisions that have a long-term impact on the financial standing of a company. Any business can collapse if they don’t understand the grave importance of these decisions. Every manager must aspire to be a finance manager to make sure they never depend on anyone for long term big financial decisions. Where Do you Start Off? Now that we’ve understood the importance of knowing your finances, the next step is figuring out the skills that are crucial to take the first step to be a finance manager. A finance manager needs to have accounting skills, budgeting skills, and needs to be completely aware of the financial ration analysis, financial statements, and needs to make sure all important financial decisions are based on the financial statements. You become a business manager when you’ve got the necessary skillset. Why Do Big Companies Invest in Finance Training? Companies normally invest in training non-finance managers to make sure they give equal input in the financial decisions of a company. Let’s go a bit in-depth into what comprises of these financial decisions? Breaking it down, financial decisions include: Understanding of Transactions To understand the cash flow and the overall transactions. In-Depth Analysis Financial reports analysis that sticks out like a sore thumb. Budget Planning A lot of future planning to make sure non of the past mistakes are repeated. Evaluation of Company Profit Compare and figure out if any potential financial decision will smoothen out any bumps on the road. You’re a manager and you’re a pro at what you do. Go one step forward and understand your finances to make sure that you’re not lagging behind in the competition. Any skill will help you out anyway.

Expert Taxi Driver Accountants in Croydon

George25/05/2020Accountants , Accounting Issues , Business Growth Ideas

From the outside, the job of a taxi driver seems simple enough, which requires picking up passengers from taxi stations and dropping them off at their desired locations. However, it is far from it, and for being a taxi driver you need many skills to be good at your job and in this article, we will let you know of being a freelancer taxi driver to encountering all sorts of customers on your usual work day or night. Talk to our best accountants in Croydon at CruseBurke. You will get instant help about taxi driver accountants. Walk in the Park? Think Again! A self-employed taxi driver has the opportunity to meet people from different backgrounds, cultures, and ethnicity and this gives them an understanding of the particular area that they work in. However, dealing with such a diverse nature of customers can have its own challenges. First of all, you have to work on unsociable hours as well as sociable hours and that in itself is a challenge. At this hour, you will find some friendly customers, but on a late weekend night, a self-employed taxi driver could come across some difficult customers as well. However, a successful taxi driver is someone who can handle all sorts of passengers be it difficult or easy with a calm demeanor, and if you have it in you then you can become a successful taxi driver. Skills and Qualifications Required Being a Taxi Driver When it comes to skills, you need to have good driving skills – that’s a given. You need to have a good sense of direction to reach your destination in a cost-efficient manner and also knowledge of the fares who be helpful as well. In terms of qualification, you need to have a valid license driver. Age also matters as you have to be above the age of 21 to qualify as a taxi driver in the UK and have had your full driver’s license for over a year. Doing your Taxes as a self-employed Taxi Driver All in all, there are plenty of benefits of being a freelancer taxi driver, as you get to be your own boss, have flexible hours, and not to mention the freedom that comes with it make for a very exciting and attractive package. However, there is one downside to the whole gig and that is accounting. You are taken care of or relieved from this duty if you are a full-time employee. At CruseBurke, we have taxi driver accountants in Croydon, who understand that you do not have time to keep up with the accounting part of your business. The accounting part of the business requires you to keep all the financial records of your business and on top of that, you will need to pay a Self-Assessment tax return which is due at the end of each business year. All of this can distract you from your main line-of-work, but our taxi driver accountants in Croydon have got you covered. Not only that, but we will also give you advice on everything related to accounting to keep the business growing. Sound Accountancy advice from our Taxi Driver Accountants To keep your business afloat and keep it growing, you would need solid advice on tax and accountancy not once, but throughout the year. We are not most accountants who will forget about your after you pay us for your year-end accounts. Our expert taxi driver accountants in Croydon will guide you to keep your business to be run successfully and smoothly.