Business Health Checks are Critical for Small Business: Btom Chartered Accountants
Did you know that your business can make a profit and still go broke?
The health of a business should not just be measured by its profit.
A successful business can still go broke if it does not manage its cashflow.
For many years the small business sector was able to reap the benefits of the booming economy like their large counterparts. Planning, budgets and detailed analysis of their figures was considered a waste of time so long as the money coming in was significantly higher than the money going out.
In the current economic climate there is urgent need for a change in attitude.
You should be asking yourself questions such as:
- Does my bank account reflect my profit?
- Do I expect to collect my cash before my obligations fall due?
- What is my break-even point?
- Will I be able to meet my commitments in the next month, in 3 months, in 12 months?
- Can I pay my tax obligations on time?
- Am I holding too much stock?
Even if your business is in good shape it is worth giving it a regular Business Health Check.
Business Health Checks do not have to be a costly exercise nor very time consuming. It should include the following:
- Assessment of your current financial position
- Profit and cashflow projection for the next 12 months
- Best and worst case scenarios for your business
Btom Chartered Accountants is offering ‘Health checks’ at a cost of $440+gst* (normally $770) for all Pyrmont Village readers. Call us for a no obligation chat on how we can help you uncover the possible causes of your financial difficulties and show you what impact your decisions will have on the future of your business.
*Conditions apply . This offer will be valid until 30 May 2009.
Btom Chartered Accountants