What can we do?

As I was out walking this morning reflecting on what a lovely day it was (hence the piccie below) I got to thinking about what an exceptional world we live in – and how much we take it for granted.

I was reminded of the words of the TV advertisement from the WWF. We are the first generation who understands the destructive effect we are having on our planet – and the last who may be able to do anything to stop it!

That is quite a profound statement, and one that makes most of us feel powerless. When big businesses fail to change the way they are acting, what can small businesses do to affect anything?

Well, I guess, we can do our bit.

There are millions of small businesses and together we have a voice. By changing the way we run our businesses we can do our bit to influence opinion – and benefit from reduced costs and increased profits.

Some small businesses I know have started to offset the carbon emissions they are responsible for, so that any negative impacts their businesses may have on the environment are offset by positive ones. In doing so, they have attracted customers who are also mindful of their environmental impact.

Others have moved away from travelling long distances to meetings – which others have also travelled to get to – and moved to online meeting tools such as Zoom. Travel costs are saved, as well as a good chunk of time. 

Where travel is unavoidable some business owners are moving towards public transport – which can often be cheaper and more convenient than using the car – or walking or cycling.

In the office, many small businesses are looking at having online document management systems so that printing is kept to a minimum. This saves paper, ink and time – not to mention office space.

In changing our habits we will also start to influence larger businesses because they will want to sell us the services we use –  and will start to see reductions in sales of those we don’t.

I am in the process of doing an environmental audit of my business to try to minimise the negative impact Bevan Financial Management has on the environment – perhaps you would like to do the same for your business? 

Worst case? We just save some money! Best Case? We save our world!

Fiona

Start as you mean to go on!

Small businesses are the mainstay of the UK economy. Forget the large companies – small businesses are where it is at!

The UK is a nation of entrepreneurs and we brits are great at taking the plunge into business ownership – whether it is a self employed professionals or as small business owners employing staff.

However, for many entrepreneurs taking the plunge is not the hardest part – it is running a successful company in the longer term that provides the stress.

The problem here is that the prospective entrepreneur has often not done their homework.

In particular:

  1. They have an idea they are sure is going to work, but have not done a full business plan to explore whether it can be converted into a successful business.
  2. They have not consulted appropriate professionals to ensure their company is set up in the best way.
  3. They don’t align their personal and business goals. They soon find their business running their lives rather than them running their businesses.
  4. They don’t finance their business sufficiently from the outset, which means they can never afford to do jobs properly. Marketing in particular often suffers in this scenario.
  5. Because they haven’t planned properly they don’t fully appreciate the risks involved in setting up their business until it is too late.

Starting your own business is a BIG step. If it fails you may not just lose your livelihood but also your house (and your family if you have had to work very long hours).

It makes sense to give your business the best possible chance of succeeding.

To help I have written a guide on starting your own business which can be downloaded for free from my website www.fionabevanfinancialmanagement.co.uk

I have tried to cover all the issues you will need to think about before taking the plunge as well as some of the things which might trip you up.

Enjoy!

Fiona 🙂

Making networking fun!

Networking is a part of modern business life. As an employee we often have to network within, and outside, the businesses we work in to build relationships that facilitate our jobs.

For business owners networking is even more important, because it is the main way we meet other business people. These may become suppliers, customers or strategic introducers who will (hopefully) refer customers to us. 

Whatever the circumstances networking is the start of building, and then maintaining,  important relationships.

Most networking is done over refreshments of some description and involves a roomful of people, many of them trying to sell to people they have only just met. 

Good networkers know that networking is not about selling – it is about starting a conversation that might, at sometime in the future, lead to business. But there will always be people at a networking event who have not got the memo!

Recently there has been a move away from networking indoors to more outdoors based meetings. For me these are much more fun and are more likely to attact people I will have something in common with.

I love walking and cycling, so networking I can do whilst walking or cycling, with people who like walking and cycling is always going to be a great way to start building profitable business relationships.

Conversations come much more easily when you are not sitting face to face or standing in small groups. It is also easy to move around the group to talk to different people without any awkwardness.

Of course, if there is a coffee and cake stop along the way so much the better!

The best networking event I ever went to was organised by NRG and Raising the Baa. It involved groups of us herding sheep and trying to get them into pens. Some of us were designated as ‘sheep dogs’ and some as ‘farmers’ directing the dogs. It was the BEST fun!

So, if you have the opportunity to try an outdoors networking event – and you love the outdoors – I would really recommend giving it a go. It’s networking, whilst getting fresh air and exercise, with a change of scene from our usual business day. 

What’s not to like!

Fiona

It’s time to get personal

The new year is often the time for resolutions which by this time in the year have often fallen by the way side. Even the resolution to start planning for the next year can be a goal that is never fulfilled. But planning for the future is a key part of making sure that you are in control of your business and your life and not the other way around.

Do you have a clear idea of what you want to achieve personally over the next 20 years? In 2039 when you look back, what goals would you like to have ticked off and what resources do you need to put into place to achieve these goals?

These are questions a good goal based financial planner helps you to get clearly defined.

But why is it important to know the answers to these questions?

Anyone who reads my blog regularly will know that I am passionate about planning and believe that it is much more likely that we will achieve the results we want, if we have a plan in place. This applies equally to personal goals and to business goals. And they are interlinked. It is unlikely that success meeting a business goal will be meaningful unless personal goals are also met. In fact, I believe our personal hopes and desires should provide the backdrop to our business goals – especially where we are business owners. After all, how is a business successful if it does not reflect the owner’s personal values and fit with their life plan?

I have discovered, by working with my goal based financial planner Andrew Stinchcomb, that there are key things I want to achieve in my life. Some of these things have always been clear to me – others have come to light through discussions with Andrew and my husband, Jeff. The key outcome has been that we now have a clear idea of what we need resource-wise (and this inevitably means money) to make our dreams a reality.

It’s funny what comes out in the wash in our discussions. A while back Jeff and I had a light bulb moment. We had always talked about taking a year out when our boys leave home to travel around Europe in a camper van. It was originally a pretty lose idea and more of a dream than something we thought we might really do. However, this idea crystallised into a key goal during our discussions – such that, should it not happen, I would feel really bereft. Andrew gave us a clear idea of how much per month we needed to save and invest wisely to make it happen.

As my business is my only source of income, I therefore had, and still have, a very clear picture of what I need to accomplish business-wise, in terms of number of clients and levels of income. This has made it much easier for me to identify good opportunities as they are presented to me and to motivate myself. I know what I will be sacrificing if I don’t push myself.

So take a look at your life goals and ask yourself “Is my business providing to route to these goals?”.

🙂

Fiona 

Your destiny is in your hands

As we all get back into the swing of work after the Christmas break it is a good time to look forward to what the new year may have in store for us.

Many businesses will find this year a real challenge. There is a lot of uncertainty around what will happen with regards to Brexit and this uncertainty has already lead to reducing sales and profits for many.

It is interesting that often the unknown has a more detrimental impact on the economy than actual problems. You only have to look at how the pound has plummeted, along with the stock markets, over the last year to see that this is the case – even though we have not left the EU yet.

The economyis driven by confidence and that confidence is fragile. The press frosters negative feelings about the future – because bad news sells papers – and suddenly everyone is in a spin,  confidence collapses and, guess what, the economy suffers. It’s bad news, just as the papers warned!

As business owners we have to be careful that we don’t get caught up in a spiral of negativity. Negativity prevents business growth because good decisions are postponed. Investment in the future is delayed as outcomes become, apparently, more uncertain.

The fact isthat good, focussed, businesses should not be afraid of the future because economic downturns tend to favour them, as less well managed businesses fall out of the market place.

The key to success over the coming months will be to focus on making your business as efficient and effective as possible. This is always the case but less so when the economy is bouyant.

If you need to invest for the future growth of your business don’t put off doing so; but before committing make sure that you have a robust business case for the investment. Be in charge of your own fate.

Many companiescut back on marketing and training, but these are the very things that will help your business to thrive when your competitors are floundering.

Above all makesure that you have updated your business plan and built in some ‘what/if’ scenarios. That way you will be clear on the goals you have for the coming year and what you need to do to achieve them. There is no reason why you shouldn’t reach your pot of gold!

So here it is – Merry Christmas

I was looking through my December posts from previous years for inspiration and thought it was worth revisiting some of the themes. Once again the immortal words of Slade burst out of the speakers of shops once again as they have since 1973. 

Whether they make you smile or shiver will often depend on your frame of mind at the time you hear them – or how often you have already heard them in any one day. I have often wondered how shop workers stop themselves running and screaming from their shops when the constant blaring of Christmas pap gets to much for them!

It is unfortunately a sign of the times that Christmas permeates much of everyday life for so long before the big day itself. I think it detracts from the spirit and excitement of yuletide. Whether you are a Grinch or an elf Christmas will affect your business and, in some cases, drive you up the wall.

Some people go absolutely barmy over decorating their space, love secret santas and are generally pretty unbearable from the beginning of November until New Year. As a business owner it can be difficult to strike a balance between allowing staff to have fun and ensuring that business is not too disrupted.  Even when you strike a balance with your staff doing business at this time of year can be a challenge.

It is very difficult to get any type of decision from potential customers in the run down to Christmas. On the other hand Christmas is often set as the arbitary date for the completion of projects – leading to huge pressures on teams.

Customers will often use the Christmas period as an excuse for not paying invoices, citing Christmas close down and staff holidays as the reason. Normal payment systems often do not kick back in until the 2nd or 3rd week of January. The result can be cash flow problems unless you plan to avoid them.

So, unsurprisingly, it is all about planning for a positive Christmas and making sure that you take control of any challenging situations before they cause you a real problem.

Fiona 🙂

Have a merry Christmas!

Screen Shot 2014-12-04 at 08.18.22

This post is a follow on from my previous one at the end of November.

As a business owner the festive period can be a challenge.

Our families have a set of agendas for Christmas we are expected to fall in with, and at the same time we are trying to ensure that our business does not struggle because of the reduced working days at the end of December.

However, with a little planning it can be possible to keep everyone happy.

Firstly, it is important to manage your business issues.

A key part of this is managing customer expectations of what can be accomplished before Christmas. If you are a service provider you may often be set Christmas deadlines for projects you are working on. This deadline is generally arbitary and there is no business reason why a deadline of 24th December, or 31st December, is necessary. So make sure you have the conversation with your client from the outset to find out what their ‘real’ deadline is. This will take the pressure off you without inconveniencing your client.

One aspect of the Christmas shut down is that companies, particularly large ones, use it as an excuse for not paying their suppliers. If you have invoices which are due for payment just before the holiday period make sure you contact your customers to ensure you are on the last payment run before they shut down. If payment is due over the holiday period see if you can persuade them to pay you a little earlier, so it will hit your bank over the three working days after Christmas.

If you plan to shut down your business over the festive period make sure all your customers are well aware of the fact in advance, so they can contact you if there is anything they need before you close.

For many business owners it is possible to take a break from their business completely. If you fall into this category I would definitely advise you to do – you will return to work refreshed and raring to go in the new year. In any case, most businesses find their customers are on holiday anyway and so taking the break has very little negative impact on the business.

If you do have to work try to compress the work you have to do into as small a time as possible to maximise the time you can have off.

Secondly, it is important to manage your family’s expectations.

If you have to work, make sure your family are aware of your committments so that they plan key events at times you are available to participate. Do not overcommit yourself or you will find the Christmas period very stressful indeed.

If you have staff it is also important that you balance their needs for a break with their families with your own. Many business owners will allow their staff to have a break over the whole Christmas period and then fill any gaps themselves. This means their staff are happy but their own family is not so happy. Your need for a break is as important as your staff’s – as long as you adopt a fair approach to who can take holiday, on which days, you should prevent any big problems.

Fiona 🙂

Happy Christmas?


Christmas can be a very hectic time of year and can be particularly challenging for business women with families.

Now, I am sure there are families where the menfolk take on their fair share of the Christmas chores, but I would venture to say that they are the exception rather the rule. Most of the writing of cards, buying and wrapping of presents, the catering and family organising tends to fall on the shoulders of the girls – it’s our traditional role which doesn’t seem to have changed with our entry into the workplace.

This means that Christmas often becomes a juggling act between business and family obligations – often meaning stress rather than fun is the result.

Until a couple of years ago I found it difficult to get the balance right, and two years in a row was actually ill over the Christmas period as a result. It is one of those inexplicable phenomina that as soon as you relax after a period of hectic activity that your body sees it as an opportunity to be ill!

So I decided I had to pace myself to survive and enjoy Christmas again.

Firstly, I try to buy Christmas presents throughout the year – this not only helps with the pacing thing but also helps to spread the cost.

Secondly, I cut myself a little slack and don’t put pressure on myself to provide a ‘perfect’ Christmas. Just because Nigella and Delia have the time and skills to produce endless quantities of delicious Christmas fare, does not mean that we mere mortals have to emulate them. I don’t see the point in spending hours in the kitchen preparing food which my family will demolish in 5 minutes!

Finally, I close the office on the same day the boys are home from university. This means I can spend some quality time with the family. I give my clients plenty of notice so we can cover any issues in good time and, in any case, most of them are winding down too.

So, in parting, I would just like to say this, give yourself a break and enjoy the festive season.

MERRY CHRISTMAS – and a happy 2019 too.

Fiona 🙂

Of Course

Last month I had a fantastic breakthrough!

I have loved running the series of workshops up and down the country for accountants in practice but have got to the stage that I have to take a break – because it is very difficult to market courses around the country in the post GDPR environment.

I was getting quite discouraged until I had a chat with my good friend Alison. She is a business coach and has delivered quite a lot of training over the years. She suggested developing an on-line group of courses.

So I decided that’s what I am going to do. I will use the course material I have already developed, along with new quizzes and other fun learning aids. Furthermore, I will also develop a series of courses for business owners to help them master their finances.

Well, much of October was spent investigating on-line platforms and training tools – along with putting together the first 3 courses (hopefully the first of many).

It’s been hard work but a lot of fun!

What I have found exciting is that I have been able to make use of quite a lot of material that was in my back catelogue. Not only have I been able to make use of material I gathered for my books but, in the past, I have had some great opportunities to gather  material in other mediums that I can use now.

For example, I have been interviewed by Alan Philpott of Glastonbury FM for their Packed Lunch programme. Alan sent me all the interviews and I have been able to use extracts to liven up my courses.

Similarly, when I ran my first day workshop last September on How to Build a Management Accounting Business for CIMA members in practice, my great friend Angie Cussell videoed it for me. This turns out to have been a great decision. I have been able to use snippets of video in the courses to bring them alive.

As I mentioned, last month Alison got me started on the whole journey but other people have also helped me to develop the course concept.

David Ringsell put me in touch with Qintil which is the platform the courses will be hosted and Sam Easen got me started using the Easygenerator tool to create the courses.

Several people have been Beta testers and given me feedback on any changes I should make to ensure the courses are as good as I can make them – including hubby Jeff.

Trevor Lever and Andrew Stinchcomb have also helped me to crystalise how the whole venture might be promoted.

So it’s been a team effort, for which I am very grateful. In fact most of the best things that have happened in my business have been as a result of the great peeps I have around me – thank you all!!

 

Fiona 🙂

Collecting the cash

Piggy Bank

In these turbulent times it is more important than ever to be on top of cash collection. However, many small business owners find it a real challenge to chase customers who are late paying.

A phrase we hear often is, They’re a really good customer, so I don’t want to annoy them by chasing for payment”. Let’s just analyse that sentence for a minute. Why are these customers good for your business? Because they allow you to do lots of work for free? Surely, a good customer is one who appreciates your efforts and is happy to pay because they value you. If you have done the work you agreed with your customer, to the level they expected, why should they not pay the agreed price in the agreed time period?

So don’t be shy about collecting YOUR money.

Other problems we see regularly are:

              Not setting payment terms up front

If you have not agreed when the customer should pay BEFORE the work is done, you will struggle to collect the money in a reasonable time frame. Make sure your terms of engagement/purchase confirmation clearly state when you expect to be paid.

              Setting unnecessarily long payment terms

Don’t assume that you have to offer customers 30 or 60 day payment terms. Start from a position of offering zero payment terms and only offer extended terms if there is a commercial advantage in doing so. Bear in mind that even if you offer 30 day terms you will most probably be paid later than that. As you don’t know the financial position of all your customers the only safe money is the money in your bank account.

              Not sending invoices out promptly

If you do not send out your invoices as soon as the work is complete, you automatically build a lag before you receive payment. Invoicing is a chore, but regular invoicing is vital to achieving financial stability.

The most common reason small businesses fail is because they run out of cash.

The most common reason they run out of cash is because they do not collect the money they are owed quickly enough, or allow debts to go bad.

Make sure you business succeeds by being cash collection savvy.

🙂 Fiona