4 bad financial habits that impact your business

September 1, 2017

The end of financial year may have come and gone, but that is no excuse to dwindle on your bookkeeping duties!

In fact, as this is the start of a new financial year you should be motivated to start off the (financial) year on the right foot.

We have been in this business a long time, so we’ve collected some of the most common and most alarming financial mistakes we see small businesses making.

Bookkeepers in Melbourne

Not filing receipts

Not filing receipts is a classic rookie error. It’s very important to ensure you’re tracking every payment your business makes throughout each financial year.

There are now so many apps that enable quick and easy filing of receipts. By snapping a photo using your smartphone you can instantly convert a paper receipt into a digital one, and store it within the app.

So many businesses fall behind when it comes to tracking this information: they put it off, let it pile up and before they know it they’re in a mess come tax time, scurrying to play catch- ups.

Don’t be one of these businesses. Start today and stay organised.

Not making deadlines (and not sticking to them)

Deadlines are critical for every aspect of every business.

Financial reporting and bookkeeping is no different and it’s paramount that you set realistic, achievable deadlines for your financial goals and responsibilities – and stick to them.

Being on top of your businesses financial obligations and fulfilling them in a responsible and timely manner is by far and above the best way to manage your business. Missing deadlines is a bad financial habit you should break. And those late penalty fees sting.

Not getting the right basic bookkeeping training

No matter what task we have to do, it’s obvious that we’ll do it better when we know how to actually do it!

That’s the whole purpose of education and training, after all, to equip you for those tasks you are inexperienced in and are unsure how to handle.

Instead of second guessing yourself or “winging it”, take the responsible approach and train yourself and your staff in the correct procedures of how to perform your bookkeeping tasks correctly and accurately.

Outsource your bookkeeping to Maximum Business Solutions

If your business is quite small and you don’t have the staff or resources to handle your books accurately then outsource your bookkeeping to us today. We have a wealth of experience and knowledge at completing bookkeeping for small businesses.

Working seamlessly within your business, we can either:

  • Provide MYOB and Xero training that enables you and your staff to manage your own bookkeeping in the future
  • Manage your business’s entire bookkeeping needs on an ongoing basis

Not planning for the future – or learning from the past

A business that does not plan for the future will not succeed.

It is important to always be setting achievable goals that push your business to constantly be performing at its best.

If you set impossible (or non-specific) goals, you will never be able to accomplish them. Not setting any goals is just as bad. To succeed in business, you must have a clear idea what direction you want for your business, and it is the same with your business’ finances. Your business will only improve financially if you plan for it to improve and how you plan to improve it.

Book a bookkeeper in Melbourne

Hiring a bookkeeper to take on the responsibilities of your finances and bookkeeping tasks will make your business more profitable and successful.

It is by far the best way to minimise the risks of making those common bookkeeping errors that could cost your business hundreds or thousands. If you’re searching for a reliable bookkeeper in Melbourne to help your business reach financial clarity, you can’t go past the team at Maximum Business Solutions. Call us today or organise a consultation!