Hello fellow pros!
I hope business is going well for everyone and you're enjoying living the dream! We all know how important finances are and keeping them in tip-top shape is the lifeline of your business' success! I'm going to share my top 3 finance tips that have been essential to our success.
1. Hire experts you can trust.
As a business owner you have to know when to call in the expert especially when it comes to finances. Carefully hire your team of advisers you can trust and are knowledgeable, preferably by referral. This starts with a Tax CPA (familiar with your industry), Accountant/Bookkeeper, Financial Adviser & Attorney (available just in case you need them). You don't have to spend a fortune to hire the best, try setting up a fixed price agreement with an accounting firm and make sure you introduce everyone. Get organized with QuickBooks, ReceiptBank and other helpful apps. Make sure you maximize deductions & tax savings and keep track of expenses religiously.
2. Get paid ASAP.
Set up systems that make sure your invoices go out immediately after project completion or are available to collect payment on the spot. Getting paid for the work you do in a timely matter is one of the most important things you should focus on. This will help keep good cash flow and make sure you have funds to complete more projects. Make a habit to review A/R & accounting weekly and send out reminders if needed.
3. Financing & Capital
During growth access to capital can make or break your business. Make sure not only your business finances are in good shape but also your personal finances. If you're just starting out you need to be willing to share all aspects of your financial life as an open book with potential investors. After all if you're not willing to back your business' liabilities why would a bank or investor do so? Look into financing through SBA, local credit unions & smaller banks and make sure to weigh all options. Outsource aspects of your business you don't need full-time employees for but are crucial to your success like marketing/social media consultants, graphic designers, business coaches & mentors.
Ultimately your success depends on knowing and understanding your personal and business financial resources and assembling the right team of advisers and support from other entrepreneurs willing to help you!
What's your BEST piece of advice when it comes to small business finances that helped you turn that dream of yours into a money making machine?
Use your local property appraiser's website to try and narrow down the possible addresses for the job you are quoting.
For instance, if you have a quote for "Brad B.", you can go to the property appraiser's website, and do a search for "B*, Brad". The asterisk after the last name's initial tells the search engine to return everything that starts with a B and has more letters, so it might return "Behr, Brad" as well as "Bishop, Brad".
Sometimes you will get fortunate and there will only be a few results and you can guesstimate which house it is based on the quote details. This isn't surefire, and won't work for renters (since their names wouldn't be in the public records), but has helped me quite a few times as a lawn care pro to see if it is a house I want or not based on real data rather than the customer's completely inaccurate measurement of their lot size and grass height!