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

How to get paid revisited

getting paid

Getting paid is a blog theme that I come back to on a fairly regular basis because I often come across service providers who are finding it difficult to get paid. There are clearly two sides to this particular coin – us and the client. We can be as much, or more, to blame as our customers for not getting paid, because of the way we think and act.

Firstly, as Brits we are sometimes embarrassed to talk to clients about fees and payment. Some business owners hide behind hourly rates, which means there is no upfront agreement about exactly what the client will be expected to pay. This means it is highly likely there will be disagreement and therefore delay in payment. Not only that, but disagreement about fees can leave a bad taste in everyone’s mouth.

Secondly, many service providers are slow to invoice, which means clients receive bills quite a long time after they have had the service. This sends a message to the client that the supplier is probably pretty well off and so doesn’t need the cash quickly (or the invoice would have been sent more promptly). Consequently it is more likely that payment will need to be chased.

Other suppliers do not make it clear what their payment terms are. Now, it is in clients interests to delay payment as long as they can (especially at the moment when many businesses are finding cash flow difficult) so if you are not clear on payment terms you cannot be surprised when payments don’t come through. Make sure your letter of engagement clearly states what your payment terms are and re-iterate these terms on your invoice.

Further to payment terms ask yourself the question ‘Am I a bank?’ If the answer is no (as I expect it is for anyone reading this blog) only give credit if it is absolutely necessary – and then ensure there is some allowance for interest in the price you are quoting! Otherwise, make your payment terms ‘payment on receipt of invoice’. You probably won’t get paid immediately but at least you can chase earlier.

I know business owners who don’t like chasing for payment, even if they have agreed a fixed price, invoiced promptly and have clear payment terms, because they think their good clients will think badly of them. This, in my opinion, is the worst ‘sin’ of all. Firstly, GOOD clients pay as agreed in the contract – a good client is not one who bitches about the agreed price and then fails to pay promptly. Secondly, we are business people who should expect to be paid for a good job done, so there is nothing to be coy about when it comes to asking for what you are legally and morally entitled to!

So, to recap:

1.  Agree clearly with your client the exact terms of the engagement both in terms of job to be done and fee to be paid.

2.  Bill as soon as the job is complete.

3.  Be clear on your payment terms and give as little credit as possible.

4.  Be professional! If money is owed to you do not be coy about chasing for it.

Fiona 🙂

Are you your own worst enemy?

I talk to many self-employed Chartered Management Accountants up and down the country who are not quite achieving the success they deserve.

As with many business owners one of their key problems is a lack of confidence, not in their abilities as accountants. This means they have difficulty in determining the value they bring to their clients. As a consequence they take on work which is below their qualifications and experience, because it is easier to ‘sell’ lower level work if you don’t understand the value to clients of more challenging projects.

It is then very easy to get onto the tread mill of having to take on lots of low value clients/projects just to pay the bills. Because all their time is taken up servicing clients, rather than developing their business, they don’t have time to go after higher value work. This then means they find it very difficult to break out of the rut they have dug for themselves.

Another problem is that, even if they are trying to go after higher level projects, they are not clear enough on what their ‘perfect’ client looks like. To the ‘perfect’ client the work professionals can do for them is of real value. They want the service and are prepared to pay an appropriate fee for it.

Other clients may have been told they need the service but it has less value to them because they do not get why it is important to them. These clients will view a professional’s fees as a cost and are much more likely to want the service at a cut down fee. In this situation the management accountant (in this scenario) may still be in the position of doing a large number of hours for a relatively low rate and have the same problem as detailed above.

They have become their own worst enemy!

The key to understanding the value you can bring to customers is to talk to them! I know this sounds obvious but we are often put off from talking to our clients because we are afraid they will tell us something we don’t want to hear. However, it is more likely they will tell us something we DO want to hear!

If you don’t have any ‘perfect’ clients you will still have introducers and other business professionals with whom you can talk to chrystalise your value proposition.

Although this blog has focused largely on accountants the same problems can be found with other professional service providers and the solutions are the same:

– Have confidence in yourself and your abilities

– Understand the value your clients realise from what you do and charge accordingly

– Concentrate on projects in which you have particular expertise

– Identify your perfect clients and market to them

Become your best friend and give yourself the best chance of running the business you deserve

Fiona 🙂

Oo La La!


You may have picked up from the local press or from my LinkedIn updates that I was part of a group who cycled to Paris at the end of May.

Well I am here to report that the ride was a great success both in terms of the fun we had doing the challenge, and in terms of the money raised for some great causes.

Under the Rotary banner (although only a couple of the riders were Rotary members) our aim is to get as many defibrillators in Wells as we can and we also want to support Reaching the Unreached (an orphan education project).

We think that when all the donations are totted up that we will have raised over £8,000 for our two key causes.

Starting at Wells Cathedral our first day took us through Longleat and via Warminster to Salisbury. Day 2 from Salisbury to Portsmouth was lovely but navigating through Southampton was a bit of a challenge.

Following an overnight on the ferry to Le Havre our longest day on the bike took us to Evreux – 72 miles. Fortunately day four was a half day ride to Vernon giving us the opportunity to visit Monet’s Water Gardens at Giverny. The final day saw us ride into Paris and reach Notre Dame just as the heavens opened!

If you would like to support us go to:

https://www.justgiving.com/crowdfunding/wellsrotaryclub?

Fiona 🙂

To Party or Not to Party? – that is the question?

This is a question many business owners have been asking themselves this Christmas. With the country in recession and business difficult, is it appropriate to have a staff Christmas party?

In my opinion the answer is a resounding YES!

In fact, the traditional Christmas party is more important than ever as a morale booster and a general ‘thank you’ to staff. When times are hard businesses find they have to cut back on increases in staff salaries and perks. This can leave staff feeling demoralised. A party – and I don’t mean an expensive, swanky one – can help staff look favourably on the company they work for. More than that, not having a party when you have always had one in the past, can leave staff feeling negative.

If money is tight don’t forgo the usual celebration – just look for a way of doing it cheaper. Staff are not generally interested in how much money you spend; they are more interested in the gesture. If you usually pay for everyone to have a meal and drinks in a restaurant, how about this year sharing the cost so staff pay for their food and you pay for the wine – or vice versa? Or you could cut out the middle man altogether and have a party at your house or business premises. Or how about getting them involved in how the budget is spent? Whatever you decide, explain the need for doing something less extravagant than usual and you will have your staff on your side.

Whatever you decide to do, DO SOMETHING and show your staff you are not using the recession as an excuse to play Scrooge.

For any Somerset business owner in the Wells area who works on their own don’t forget the Billy No Mates Christmas Bash. It’s great fun and gives you the opportunity to have a Christmas party even if you work on your own. To find out more or to book just click on the Eventbrite link below.

https://www.eventbrite.com/e/billy-no-mates-christmas-bash-2017-tickets-38799276681?aff=eac2

Do you show business confidence?

A business’s confidence is key to its success.

A confident business does not have to apologise for its existence – it can just get on with providing a great product or service.

In an owner/managed business the level of business confidence conveyed is directly related to the confidence you as the owner have in yourself and your business proposition. Even a business which offers great service and is well respected by its customers can be undermined, if you continually doubt yourself.

So how do you keep your confidence levels boosted?

Firstly, make sure you have a great product/service, which you can easily describe to third parties. If you sell a service, productising elements of your service can make it easier for potential customers to understand what you do.

Talk to your customers so you are clear why they buy from you. Although this might be hard at first, it will enable you to talk confidently to prospective clients about the effectiveness of what you do.

Whilst you are talking to your customers, ask them for testimonials. Not only can you use them in your marketing, they will also boost your confidence.

If you know where you want your business to go, you can confidently decide what you need to do to get you there. So, have a robust, regularly updated business plan. Alongside this, try to build a great business skills base. There are many facets to even small businesses, so the more you know about each of them the more effective, and confident, you will be.

Be part of a strong business network. Business networks are a fundamental part of raising the profile of your business and finding support locally. Regular contact with other business owners, many of whom face similar problems to yours, will help make running your business less lonely too.

Finally, think about how you are presenting yourself. If you are well prepared, wear the right clothes for the right occasion, and think about your body language, you will be best able to express yourself confidently.

If you want a little more help with your business confidence download my free guide to confidence on my website
fionabevanfinancialmanagement.co.uk/tools

Start as you mean to go on!

screen-shot-2017-04-25-at-13-39-04Small 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 🙂

And the spectacle continues!

screen-shot-2016-10-03-at-15-10-40I know I have gone on a bit (or a lot) about the events in Rio but I have just been blown away by the team GB success.

I promise this article is the last time I will mention the Olympics – well at least for another four years – but I have been just so inspired by them.

I loved watching the different sports and was stunned when we came 2nd and beat China in the medals table.

The Paralympics has been even better!

Who could fail to be moved by the armless Egyptian table tennis player who held the paddle between his teeth and threw the ball up with his feet?

The tenacity of such athletes who are taking part in sports on a global stage is incredible. In the case of the table tennis player he had no expectation that he would medal – it was enough for him to take part.

Whether they were born with their disability or became disabled later in life due to illness or accident, every athlete’s story was truly inspirational.

So is there anything the Paralympics can teach business people which might help us to thrive?

Firstly, I think we can learn to be more positive. We all have bad days and times when it seems the world is against us. But let’s face it we don’t have to face the problems and prejudice a lot of disabled people have to put up with on a daily basis. If they can flourish with all that is stacked against them – I am sure we can!

Secondly, I think we can learn to be more focussed on our goals. We often don’t achieve what we want because we simply aren’t focussed enough. We allow ourselves to be sidetracked by less important things.

Finally, following the lead of Chumbawumba, I think we can learn to get back up again when we get knocked down. Many paralympians have been knocked down pretty hard (sometimes literally) but have had the mental strength to not only get back up again but to thrive.

Business is challenging and we will all suffer setbacks. The key to getting over these setbacks is to be positive, focussed and to pick ourselves up each time we are knocked down.