Don’t blink you might miss it

Can you believe it, the first quarter of the financial year has passed and by gosh time has flown.

So, rather than waste any more time, click on the image above for a short video as to what we are discussing this month before you read on.

Watch the video here

Save me tax

We’ve previously shared the 32 ways to extract more value from your business whilst saving tax and recently introduced our “tax and growth discovery form” with a handful of clients as we gradually roll this out.

This form pulls out what matters the most to you in your business and helps identify where you are, where you want to be and then gives us the platform to see how best we get you there.

If you would like a copy of the form together with guidance as to how to complete this just click the button below.

Yes please, I’ll have a tax and growth discovery form

Make me more money

We keep mentioning the scary fact that only 1 in every 2,222 business owners exit their business when they want, with how much they want.

If you start planning ahead there now, get an understanding as to what your business is roughly worth if you sold it today and build out a road map to improve this, you will help beat the stats.

Yes please I would like a business valuation

Help me focus on what matters

Do you know who your top 10 customers are in terms of profitability?

Do you know what your top 10 supplier costs are?

Far too many business owners do not know the answers to the above two questions and when using cloud-based accounting software it is literally at your finger tips.

By then acting upon this information you can then start making decisions that increase the value of your business.

I don’t know but I would like to know

Improve my cash flow

It is interesting when you take a step back and reflect on how generations before us managed their cash and how times have changed; or have they?

A lot of the same problems remain but some of the old traditional methods have sadly been forgotten and whilst I am not suggesting we all go back to brown envelopes, jars or filling mattresses; the process is one where a lot can be learnt to make your current cash stretch further.

Head across to our website and read the blog whereby we share four tips around this that can be accessed here which clients of ours are already putting in place and it is literally changing their lives simply as a result of this same methodology.

Takeaways

  1. Ideally you need four plans in your business (all of which can drop out of the discovery form):
    • operational plan
    • financial plan
    • tax plan
    • retirement plan
  2. The day for planning your retirement was yesterday but today will have to do as tomorrow is too late
  3. Cash can go a lot further than you every imagined once you change the processes you use to manage it

Our wider impacts that you have contributed towards

Overall, we have now made over 2,119 “impacts” to date across 34 projects to date which for the month of March alone, including:

  • supporting young adult’s mental health
  • providing emergency relief support in Ukraine
  • 97 days of access to clean drinking water was provided
  • 4 days of housing being provided in Vietnam
  • helping fund business training programmes in Zimbabwe
  • 4 days of training in sustainable agriculture were given to villagers in Madagascar
  • 10 days of education were provided for children in the world

Plan for the end now (in a positive way)

Earn more, spend less or just get more i.e. time

We felt it only right to highlight again the fact that wages are going up and specifically the minimum and living wage is rising from 1 April 2022 for which you can find more information here.

This in itself present an opportunity to forecast what the year ahead might look like cost-wise and give you an opportunity to see how best you deal with this.

If you would like some assistance with preparing this forecast click here.

Setting up to sell/exit

We are having increasing numbers of conversations around business owners and have a fantastic white paper that we can share to:

  1. Help you set up successfully for sale
  2. Share why many people get it wrong
  3. Help show you how you could actually “grow” your own buyer

For a copy of this just click the link Selling/Exit Whitepaper Please

Family

We all know this but it still shocks us a little when we type the fact that we often spend more time with work colleagues than we do family.

Have you ever assessed the culture of your business though; factoring in those internal and external to it.

We did a fantastic exercise alongside a client of ours that ultimately led us to establish our values for which if you click the link below and we will happily share these with you.

Can I have a copy of the Tennick Accountants values

Takeaways

One of the biggest downfalls when it comes to running a business is the lack of planning when it comes to exiting it which subsequently results in only 1 in every 2,222 business owners exiting when they want, with how much they want.

Start planning ahead now to improve these statistics and we can help.

P.S. More information on our
client awards very soon …

Get more now

Are you getting what you need?

We are all getting more e-mails than ever and we are constantly looking at how we can add more value to our regular bulletins so have slightly tweaked the format for this month.

We are splitting the content into shorter and more “punchy” sections so you can jump into those which are of greatest interest value to you and will save you time looking for the “golden nuggets.”

Save me tax

Did you know there are three different elements to the tax advice and support that we provide and for which greater attention can be paid?

Click on the image below to find out more.

Make me more money

We have mentioned this before on a previous newsletter; with reference to inflation, but have you thought about this:

“Money left sat in your bank account is COSTING you money.”

Given the current rate of inflation, I don’t believe there are any banks currently paying interest in current accounts that exceed the current rate of inflation so; with it left sat there, as each month passes it worth less than the day it was put in.

What should you do? Speak with an IFA. Don’t have one? Get in touch with us by clicking here and we will contact you.

Help me focus on what matters

We started this end of month newsletter saying how a deluge of e-mails and content is meaning that people are struggling to see the woods for the trees.

The amount of information at people’s finger tips often leads to what is commonly known as “analysis paralysis” so basically you don’t know where to start, so don’t start.

We have some great overview reports that we are sharing for no cost up until the end of March for those on our bookkeeping package so let us know if you would like yours.

If we don’t do your bookkeeping, get in touch regardless and we’ll send you a template report based on demo data and a bit like Bullseye show you would could have won; or could still get in the future …

Yes please I’ll have a business overview report click here

Improve my cash flow

One of the most common issues we find whereby businesses could improve their cash flow is by changing the way in which they quote.

Whilst it is quite easy to factor in those costs directly attributable to a sale, it is more difficult when it comes to those overheads you incur regardless i.e. insurance, rent etc.

Quick tip

Go through your overheads for the past year and work out what these equate to based on the number of working hours there is in a year for you i.e. the hourly costs of these same overheads.

Start then applying this hourly overhead rate; with a mark-up to future quotes and see what difference this makes.

This is rough and ready; and not perfect, but is better than nothing and it will provide a great platform to build from.

Make sure you start with this gradually to get your confidence in adding it and in the calculation itself or just a few clients. We are here to help where needed.

Takeaways (everybody loves one, Indian would be my choice)

  1. Look at tax from one of three angles to think of it more proactively.
  2. Don’t have spare money in the bank costing you money, have it make you money.
  3. Draw from your figures what matters the most and we have a great report to help so get in touch for what this could look like.
  4. When it comes to improving cash flow; start with looking at how you quote for work. Then, take this a step further and monitor your REAL profitability per job thereafter.
P.S. More information on our
client awards very soon …

32 ways to extract value from your business

32 ways to extract value, tackle rising costs and reduce tax

Many business owners and individuals will now be faced with challenges in the year ahead including:

  • rise in living costs/subsequent rise in wages
  • rising inflation
  • increased taxes
  • repayment of government-backed loans
  • rising cost of debt

In this month’s bulletin we’re going to specifically focus on rising taxes and wages and some things for you to consider.

Tax (a quick fix)

There are 32 ways to extract value from your business; or at least this is what we have reduced it down to.

Want to do a quick tax health check on your business? Click here and we’ll send through a checklist for you to fill in.

Wages (and another way to save tax)

For many we are approaching the time when wage rises will be discussed and with the rising cost of inflation pay rises of 5% upwards may commonly be asked for by your team and that is just to maintain their standard of living rather than being seen as a pay rise.

There are ways to counter-act this in terms of providing your team with benefits they have not had previously whilst reducing tax at the same time.

Still not clicked the link above for that checklist and just want to drive straight in; then click here for our template 32 ways to tackle rising costs; whilst reducing tax.

P.S. More information on our
client awards very soon …

Marginal Gains

Forget January tax mayhem and focus on financial planning

As you all know we had a big push to make our January; and that of our client’s, so very different many others who might be scrambling around looking for paperwork and panicking over what tax is due and whether they can afford it.

One final comment on the note of tax returns; watch out for the change in penalty structure kicking in very soon whereby more information can be found here.

We want you to look forward towards the end of the current tax year so are thinking of 5 April 2022 and putting our efforts and thoughts into focusing how we better get money out of the business for YOU rather than focusing on pleasing the tax man this month.

We’ll soon be sharing some food for thought but if you want early access and want to be ahead of the game with this exercise then get in touch with your account manager today.

Operationally

So COVID is still lingering but there is; albeit limited, still some support out there with local councils expected to see the financial support come through imminently and more information can be found here.

Ignoring COVID for a minute, when was the last time you reviewed your suppliers and considered:

  1. What do you need to cut
  2. What do you need more from i.e. ask for early payment discount or even cash back
  3. What do you need to spend more on to generate more value

One client alone this week has taken step 2 and will save £000’s this year as a result of one single conversation!

Those business new years resolutions already suffering?

Be it individually; or as a business, we all need routine and accountability and I’m sure we can all relate to that from a fitness perspective.

Once you have both – BOOM!

Get in touch with your accountancy manager if you want help overcoming the January blues with some very quick and easy strategies to help you do so.

P.S. They do not involve meditation though I believe that also might be useful.

P.S. More information on our
client awards very soon …

Kick off the new year with a bang

Time to do something

We know that so many people were busy leading up to Christmas so many people might have missed what we first out prior to Christmas so we thought we would share again some key points for those sneaking in a bit of work time late December.

Yes I know we did say we wouldn’t send an end of month newsletter out but I sensed some might need this so scheduled this one in advance.

Operationally

Want to work less and achieve more in your business?

Head over here to take a read.

Financially

Improve your finances with our book recommendation again – ‘Profit First’ by Mike Michalowicz whereby he speaks about going back to basics.

We’ve summarised some of the key points if you want to take a look here.

Want to be a bit more proactive and hit 2022 with a bang?

Why not join those who have already committed and jump onto our workshops where we take the points above and convert them into actions to help you work less in your business and ultimately exit sooner and with more money.

I know what I’d be asking for off Santa but I am an accountant and a little bias.

I’d love to know more about the workshops

P.S. Don’t forget our office is closed from
24 December 2021 and we reopen on
Tuesday 4 January 2022

Merry Christmas

Time for reflection

Okay so neither this year nor this Christmas is perhaps going to turn out as we expected but that doesn’t stop us from taking time to reflect.

This month we thought we would merge our usual operational/financial newsletters we spread across the month and give you some things to think about going into a well-earned festive break all together given that a lot of people will be wrapping up soon for the Christmas.

Operationally

So it might feel like groundhog day with all of the recent announcements but operationally we must keep pushing to be stronger and more resilient and we have a fantastic blog on our website around the four pillars any successful business should have in place.

Head over here to take a read.

Financially

If any of you are after some reading over the Christmas, we fully recommend ‘Profit First’ by Mike Michalowicz whereby he speaks about going back to basics.

Whilst further lockdowns might be on the horizons; and the likelihood of further Government support remains uncertain, it does not stop an individual or business owner going back to basics to reduce wastage when it comes to finance and strengthen their overall cash flow position.

We’ve summarised some of the key points if you want to take a look here.

Want to be a bit more proactive and hit 2022 with a bang?

Why not join those who have already committed and jump onto our workshops where we take the points above and convert them into actions to help you work less in your business and ultimately exit sooner and with more money.

I know what I’d be asking for off Santa but I am an accountant and a little bias.

I’d love to know more about the workshops

P.S. The Client Awards will be back next year also …

Doing out bit for the environment

Overview

So the dark nights are well and truly here and snow has most definitely arrived so we thought off the back of COP 26 in Glasgow a perfect time to help business owners made a sustainable and long-lasting difference in their business whilst saving some tax.

Electric cars

So subject to cost, availability and delivery timescales, they are becoming a more and more topical conversation and we thought it worthwhile revisiting and thought it best to share some great tips around these which can be found here.

Don’t forget there are some great tax-breaks available too.

Utility bills

Another very topical area for the press at the minute; particularly with further businesses collapsing, is the utility sector.

For the majority of our business clients you should have now received a report with any potential savings from one of our partner organisations that you can then go and do as you please but ultimately save some money at no cost.

If you have not yet received this please contact your client account manager.

——————————————–

Christmas

Office opening hours

I know we are getting a little ahead here but I’m sure we are all hoping and praying for a more “normal” Christmas than last year so we will again be closing the office over Christmas.

Our the last working day will be Thursday 23rd December 2021 and we will reopen after the bank holiday on Tuesday 4 January 2022.

All payroll, bookkeeping and other client work will be coordinated around these and your own deadlines but if you have any questions or concerns as normal please contact your client account manager.

Stick or Twist?

The End Game

Following on from our monthly newsletter we’ve attached above an image some of you might have already seen.

This is following an exercise we do with independent financial advisors who are able to establish where you want to be, and how far off you are from this with regards to retirement.

Regardless of where you are already, the decisions you make today are already influencing what your retirement plans will look like.

Now; more than ever, is the time to decide which direction you take your business in.

‘Legacy First’ – what is this all about and what sort of legacy do you want to build?

Many of you would have heard; and it is certainly plastered all over our website, the importance we attach to building sustainable legacies.

Now that starts with yourselves as you all want to do something memorable for which yourself, family and friends would be proud of.

Think about when you do retire what this might look like.

Outside of normal day to day work we are donating to those in need and have thus far in the past month:

  • donated 20 meals to those in need
  • paid for 1 day of training for regenerative farming
  • paid for 12 days of education support for special needs children

For yourself it might be something as simple as wanting to spend more time with the family or that dream holiday.

Ready to take some action?

Why not start with our basic end game budget calculator below to see if you are on the right path then we could look to get that meeting set up with your independent financial advisor.

Get your end game calculator today

End of an era

So as many of you are already aware; furlough ends this month.

For many they will have already prepared but for some, we appreciate there might still have been a degree of uncertainty/hope that the Government might have something up their sleeve.

It certainly appears that unfortunately this is not the case and there is nothing to our knowledge in the pipeline.

If you remain concerned about this please do get in touch and schedule a call with your client account manager.

What else you might have missed?

  1. The Super Deduction Tax Relief came in earlier this year so don’t forget to take advantage of this in light of the pending budget announcements where we are expecting to start feeling more of a pinch again. More information about this can be found here.
  2. In case you missed it from April 2022 tax on dividend income will increase by 1.25% to help support the NHS and social care.
  3. The Autumn budget is currently scheduled for October 27th so we are expecting to find out a lot more then.

Again if you have any concerns regarding either of the above points or want to schedule in advance a call following the budget announcement schedule this with your client account manager there now.

Is it worth continuing in business in light of all of this?

Whilst you might think this a fairly blunt and negative question to ask, let us be honest, many people have felt that way at least at some point over the last 18 months or so.

So many have now though come out the other side and are even; in light of pending tax rises, repayment of Government-backed loans, fighting back and doing really well with some working towards an exit valuation figure they never before dreamed of that they would be over the moon with and which would see them nicely into retirement.

We will share more insights around exit strategies in our mid month newsletter next month but there is certainly lots to think about so please do get in touch if any of the above is something you want to discuss further.

"This is an outstanding team! Any business working with Tennick Accountants would reap the rewards and have a successful future!"

Carla Sleeth – Managing Director of Northern Installer’s Limited
 

Speak to the team about your goals and vision. We'll tell you how we can help you make them a reality.

Are you looking to work with a strategic accounting partner to help shape your business’s future? We’d love to hear from you