A financial health check-up for your business
It’s important to give your business a regular financial health check-up, just like it’s important to have a regular health check-up yourself. When you do, you can hopefully nip any problems in the bud. And if you don’t discover any problems, it gives you peace of mind.
A business financial health check-up is especially important if you’ve been affected by COVID-19 and the downturn in the economy. There aren’t many businesses that haven’t been affected in some way.
Where to start
The best place to start a financial health check is to ensure that your books are accurate and up to date. If you have accurate and up-to-date financial information, you’ll be able to make use it as the basis for your business decision-making.
Here are 3 key things to check:
Your revenue analysis should include your actual revenue as well as your accounts receivable. Are your clients paying you on time? If not, what can you do about it?
Your expense analysis should include your actual expenses as well as your accounts payable. Is your cash flow sufficient to enable you to pay all your bills on time? If not, what can you do about it? For example, can you reduce your expenses, increase your revenue, or both?
Are you meeting all your legal compliance obligations, such as paying GST, PAYG withholding tax and the superannuation guarantee if you have staff? There can be heavy penalties if you neglect any of these obligations.
How we can help
At Scorpion Bookkeeping, we can help you to do a financial check-up for your business by ensuring that all your financial information is up to date. We currently have a diverse range of clients in South Australia, Victoria and New South Wales.
We can also help you to implement Xero software to help you with your bookkeeping and provide you with ongoing bookkeeping support services. We are a Xero-certified partner.
Contact us today for a free, no-obligation consultation to find out how we can help your business!