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A Guide: How to Stop Wasting Money in Business

StrategyDriven Managing Your Business Article | A Guide: How to Stop Wasting Money in BusinessTurning over a profit isn’t the only important task that you face as a business owner. You also need to consolidate this money that you make, which is why you need to avoiding wasting it at all costs.

It’s going to mean making use of all resources afforded to you, it’s going to mean making smarter investment choices, and it’s going to mean honing in on your mistakes — it’ll all be worth it in the end, though, when you’ve got a heap of cash to invest into the growth of your business.

To unearth all the things you can do to stop wasting so much money in business, be sure to read on.

Minimize your tax bill

Nobody likes the tax man, but unfortunately, he’s never going to go away. There are, however, ways to minimize the bill slapped on your desk every year.

To minimize your tax bill, you should:

  • Keep a track of your business expenses (receipts, invoices, vehicle mileage, etc.) and then seek to claim for them
  • Tap into the Annual Investment Allowance (AIA)
  • Research and make use of tax reliefs (such as the creative industry relief)
  • Pay your tax bill as early as you can

Invest in good website design

Marketing, especially digital marketing, is essential in the world of business. By not running advertising campaigns, quite simply, you won’t spread your company’s message or attract new customers.

As important as marketing campaigns are, however, they need not cost you an awful lot. More to the point, they need not cost you as much as you are no doubt currently shelling out on them. When you choose to invest your money on good website design instead of advertising, you’ll be sure to find yourself saving thousands in the long run. This is because you’ll have a platform that can act as a constant source of important information; your website can spread your message at all times, meaning you won’t have to constantly spend your money on spreading it yourself.

To ensure that your website does everything a marketing campaign can do and more, you have to align yourself with a web design company like Plego Technologies. They will make sure that your website works well in both a practical and aesthetic sense.

Turn off and unplug your devices

Even when they’re not being used, if they’re still plugged in and turned on, the various devices that you use in your office could be costing you an arm and a leg. They will be using up what is known as ‘vampire energy,’ which means they will be draining your electricity bill for no reason whatsoever.

Before you leave your office of an evening, you and your employees have to go around and make sure everything is turned off and unplugged. Other important forms of action you should be taking in this instance include:

  • Tweaking your power settings so as to ensure your devices shut themselves down or go into hibernation mode whenever they’re not being used
  • Resolving to never leave your desktop computers and laptops on their screen savers — believe it or not, doing this is worse than leaving your monitors and screens to go black
  • Never forgetting the peripherals (your printer and speakers, for instance), as they can suck up a lot of ‘vampire energy’ too

Take the above advice, stop wasting so much money, and put the cash you save to good use!

What Do You Need to Get a Payday Loan: A List of the Requirements

StrategyDriven Managing Your Finances Article | What Do You Need to Get a Payday Loan: A List of the RequirementsIf you’re in a financial bind and need a little cash before your next paycheck, a payday loan may be just what you need.

Payday loans, also known as a cash advance, are gaining in popularity as a fast way to get quick cash for an emergency situation. Even so, many people don’t understand how this type of loan works and what you need to get a payday loan.

So if you are thinking about getting a payday loan and are unsure of what you need to get one, keep reading to learn about what do you need to get a payday loan and how much money you can borrow now.

What Are Payday Loans?

Let’s start by explaining what payday loans are and how to utilize them best.

Simply put, a payday loan is a short-term loan that is intended to be repaid in full with your next paycheck. These loans are usually for a small amount between $300 and $1,000. They are a popular loan option for those with no credit or a bad credit score.

Note that the cost of a payday loan can be very high, which is why it is so important to pay them off with your next paycheck. The costs can rise exponentially with each pay period that passes without paying the balance in full.

It’s good to know all the benefits and risks of payday loans so you can make an educated choice that’s in your best interest.

What Do You Need to Get a Payday Loan

Many states regulate payday loans differently resulting in different qualification requirements depending on where you live. But typically, you only need to meet a handful of criteria.

You must be at least 18 years old and you will need a valid government identification, your Social Security number, proof of income (pay stub) and an active checking account. If you are applying in a payday loan store, you will need a personal check. If you are filling out an application online, you must enter your email address.

When you get a payday loan, you must submit a personal check for the entire balance to be paid on the date of your next payday.

Even if you meet the above requirements, you can be denied a loan for a number of reasons. For example, you may not earn enough to borrow money. Most lenders want you to earn at least $500 per month.

The lender also considers are the length of time you have been at your job and how recently you opened your checking account.

They may also reject your applications if you have a recent bankruptcy or bounced checks. And most companies will not issue you a loan if you already have an outstanding loan.

How Much Money Can I Borrow?

The amount of money you can borrow also varies state by state and in how each state regulates loans. Most states limit how much can be borrowed, which usually falls between $300 and $1,000.

Lenders determine the amount you can borrow the same as other lending institutions assess risk for other loan products. Payday lenders take into account your income and expenses along with your lending history to determine an amount they know you can reasonably expect to pay back.

The Bottom Line

So what do you need to get a payday loan? Not much, really. You must be at least 18 and meet the handful of requirements listed above.

Before you get a payday loan, make sure you will make enough on your next check to repay the full balance while also meeting your other obligations. If you are unable to repay the loan for a few more pay periods, the resulting interest gains could result in a debt trap for you.

Payday loans are best used when you need emergency funds, and you have more than enough to repay the loan with your next paycheck.

Keep browsing our site for more valuable and helpful articles.

Protecting Your Personal Finances When Starting a Tech Business

StrategyDriven Starting Your Business Article | Protecting Your Personal Finances When Starting a Tech BusinessAre you finally ready to build your dream of starting your own tech business? If so, you may be concerned about how your business will impact on the personal and family finances that you are responsible for. However, there are many ways that you can help to both protect your business and your family at the same time when starting your tech company, and this guide will provide an FAQ to help you.

How can you finance your business?

If you are thinking about starting your tech business, then you may be worried about how to get the right amount of capital if you do not have the full amount in personal savings. However, there are many ways to finance a business without dipping into your savings. These include finding funding from the government or a business awards scheme which can provide you with the funding that you need to research and produce your innovation.

You may also be able to find an angel investor through attending networking events or create a crowdfunding campaign where the public can help to contribute towards your business on websites such as Kickstarter. You should also look into getting loans from your friends and family as these will help to support you without the interest of bank loans.

How can you keep business and personal finances separate?

Many new businesswomen are concerned about their ability to both support their family and create their business from scratch, even though it is possible to do so. To keep your personal and business finance separate, you should create separate personal and business bank accounts, enabling you to keep track of your expenditure for both, know how much profit you are making in a glance, as well as how much money you have to re-invest into your business easily, and allow you to fill out tax returns quickly.

You should also set yourself a business budget and a personal salary to enable you to split your money into reinvestment and family funds and to ensure that you have enough money for both of your purposes. This will stop you from exceeding the amount of expenditure that you can afford. You should also consider employing a financial advisor who can help to separate your expenditure and advise you on how to manage your finances more effectively.

What should you do if you are struggling financially?

If you do find that you are struggling to manage your personal finances successfully, you should consider taking out a personal Quick Loan, such as those provided by Cash Lady between £100 and £2000. This can help you to deal with any unexpected expenses that you have at the same time as building up your business which you have failed to budget for, as well as helping you to balance your personal and business finances more effectively until you are able to manage these and repay the loan that you have taken out.

 

“Can I Deduct That?” 8 Must-Know Tax Deductions for Small Businesses

StrategyDriven Managing Your Finances Article |Tax Deductions for Small Businesses|"Can I Deduct That?" 8 Must-Know Tax Deductions for Small BusinessesThere are over 32 million small businesses operating in the US.

That’s a lot of people working hard to sell their products/services and, hopefully, turn a profit!

Let’s face it, money is the lifeblood of any business. It’s a competitive world. With insufficient capital to hand, it won’t be operational for long.

For that reason, it’s vital that small businesses squeeze as much money as possible from operations.

Tax deductions constitute one essential method of doing exactly that.

After all, paying a hefty tax bill is rarely pleasant. For small businesses trying to maximize their profits, it can even mean the difference between success and failure. Are you looking for ways to save money on your business’ tax bill this financial year?

Keep reading to find out 8 must-know tax deductions for small businesses.

1. Business Supplies

Let’s start with the basics:
You can deduct from your tax bill all of the expenditure on essential business supplies.
It might not seem like much. However, any owner knows how much these necessary fees can stack up. For boot-strapping start-ups, every little bit counts!

Look around you. It’s possible to claim for almost anything you’ve bought for the purpose of doing business. Stationary (pens, pencils, paper, staples…), printers, cleaning materials, desks, chairs, sofas, whiteboards, projectors…The list goes on.

You can deduct any and all of them.

2. Travel Expenses

Business travel isn’t cheap.

It’s also essential for many companies. Business travel is commonly a vital aspect of creating leads, meeting with investors, attending conferences, generating interest, and so on.

There is all manner of opportunities to travel for business purposes.

Nicely, almost all of it can be claimed for. Often, entertainment costs can be claimed for too.

All of those flight tickets, bus tickets, train fares and so on are all deductible. Likewise, certain related expenses such as meal costs, room service, dry cleaning and so on can be claimed.

Of course, keeping a solid record of each transaction is important. Equally, certain limitations apply too. You can’t claim for absolutely everything! You must understand your tax obligations in full to be successful in any tax preparation.

3. Personal Vehicle Expenses

Many small business owners use their personal car for work purposes.

The money spent on this process is often tax-deductible. Note that only the business side of things can be claimed for! It’s crucial to separate the business from personal usage.

Granted that’s possible, then you can claim for everything from mileage to parking fees. It’s often tricky to ascertain true mileage for a trip. Be sure to record mileage by referring to the odometer, or a GPS system.

Don’t forget to deduct expenses for insurance and maintenance costs too. Owning a vehicle isn’t cheap. Using it for work can only exacerbate that. Be sure to leverage the tax deductions available!

4. Necessary Overheads

Look at what you fork out every month to keep your business operational:

Rental commitments, utility payments, internet costs, and phone usage are all crucial costs. They’re all unavoidable expenses. You couldn’t do business if you didn’t pay for them all.

For that reason, it’s possible to deduct it all from your tax bill! This can make a big difference at the end of the financial year. Again, accurate record-keeping throughout the year is essential.

5. Software & Equipment Costs

Almost every business has specific demands.

Industry-specific equipment and software is often a necessary expense. Likewise, updates and new installs are vital to staying up to speed.

These costs represent another worthwhile deduction on your tax bill. You can claim for each and every one of them, up to a certain amount of money. That means your actual computers, and all computer software can be claimed for.
Other essential equipment (such as equipment for manufacturing) can also be deducted under this bracket.

6. Your Home Office

Most people think of business and conjure images of swanky corporate offices in the city.
And, of course, that’s often accurate.

However, many small businesses are operated straight out of the family home. If that’s your set up, then you have the benefit of claiming for the costs of your home office.

That said, it must be wholly business-related. You can’t work from your kitchen and claim it’s your office! Instead, a designated space from which you operate is required.

Tick that box, and say hello to deductions for internet, insurance, rent, phone bills…and so on. Likewise, furniture and supplies can be claimed for too.

7. Outsourced Professional Services

It’s rare for someone to actually enjoy the tax process!

Consequently, many business owners opt to outsource the process. All bookkeeping and tax returns are completed by a professional.

Nicely, their fee can be deducted from your tax bill at the end of the year. Even better, it’ll be their job to work it out and complete the forms for you!

It doesn’t stop there. You might work with lawyers and consultants as well. It’s possible to claim for the money you’ve paid them too.

8. The Interest Payments on Debt

If you’ve gone into business, then chances are you’ve taken on debt to fund it.

Leverage, in the form of bank loans, is often an essential means of getting it up and running. After all, almost every business needs upfront investment to become a success. This start-up capital is used for all sorts of reasons. It can amount to a significant sum.

The burden of debt is rarely fun. However, it’s possible to claim for some of it.

Unfortunately, the loan itself is off-limits. But the interest payments are entirely tax-deductible.

Final Thoughts on Tax Deductions for Small Businesses

There you have it: 8 essential tax deductions for small businesses to know about.

Millions of small businesses are currently operational in the US. It’s guaranteed that profit maximization is a priority for every single one of them.

Indeed, the ability to cut expenses and turn a profit is vital to remain in business. Cutting costs wherever possible often comes into it. Tax deductions are an easy and essential method of doing exactly that.
Hopefully, this post has highlighted the main sources of tax deduction out there.

Get That Business Budget Down

StrategyDriven Budget Management Article |Budget|Get That Business Budget DownHaving a business budget is something that most businesses actually ignore. They know there’s a margin to stay close to, but there’s not really a definitive figure that they have to try and meet. So it’s so easy for the budget to get completely out of control, leading to stress and financial turmoil along the way. It’s one of the main reasons why so many businesses go into administration, even those that you think will go on forever. And it all starts with basic budget management that so many businesses seem to be ignoring. So, we’re going to try and help you out, and see if we can get your business budget down. There will no doubt be so many different areas that you need to work on and make some cuts to, and it won’t mean that quality is reduced either. Half of the time, businesses are cautious as to cutting a budget, because it can often mean a knock on effect. But we’re going to avoid all of that, and give you some simple tips that should help you to get that budget down.

Your Office Budget

So there will be multiple different things that you’ll have purchased for your office over the years, that will now be helping to make your business run as a well oiled machine. Technology is the main part in that, then your employees. So with technology, it’s definitely easy for it to drain your budget each month, simply because it’s harder to manage. It might be so much cheaper for you to visit websites such as www.24hourtek.com, and see if you could benefit from using some of their services. By outsourcing your IT management, you’re not only going to save your business money in the long run, but you’ll be doing it by saving some man power. From software updates to server management, there are companies who will do it for you all in the background!

When Marketing Starts To Add Up

Marketing is one of the biggest budgets that a business seems to have, especially as it begins to grow and evolve. There becomes more of a need to market new products and services, and to keep your business in the race. But when a marketing bill starts to add up, it really does add up. So rather than outsourcing everything you do, simply because you don’t understand it, think about keeping some of it inhouse. The more you understand marketing, the easier it will be to actually manage it in house, and even do it more effectively than if it was to be outsourced.

The Areas You Want To Avoid

There are definitely some areas that you want to try and avoid cuts, and that’s with your employee wages and benefits. So many companies don’t get their employees to sign a contract, and they then use this as a way of being able to cut pay. But the last thing your company should want, is a bad reputation based around employees and the management of them, so always avoid this area when making cuts!