Finance

Cashflow is King

This time last year, WePay reported that nearly half of business owners have been experiencing cash flow problems. While the state of the economy can bear some of the blame, the importance of cash flow is something that many business owners greatly underestimate. So what exactly is cash flow and why is it so important? A...

Accounting Ratios 101

In the world of accounting, ratios give and invaluable amount of information about your company and it’s fiscal well being. Accountants use financial ratio analysis on a regular basis. These analyses help to evaluate the financial performance by comparing financial ratios of a business over various periods of time to other businesses in the...

Don’t wait for stress tests

When you read the phrase “stress test”, what thoughts pop into your head? I’ll go ahead and assume that they aren’t very positive. Most people think that banks and businesses only undergo stress testing when they are on the brink of disaster, but stress test shouldn’t be a last resort of your financial plan. Stress...

What is involved in financial statement preparation?

It may not seem like it, but financial statements preparation takes a lot of work and is very important to the success of your business. Partners, investors, auditors, accountants, and managers all look to financial statements to give them a sign of the financial health of the company. There are four basic financial statements...

Why You Should Pay Attention to Bank Reconciliation

With a constant cashflow coming in and out of your business, it’s important to make sure that your bank balance matches your book balance. The tedious, but necessary, process is called bank reconciliation, or bank rec for short. Performing a bank reconciliation is a lot like balancing a checkbook, and you do it for...

Beware of Doubtful Debt Collectors

Accountants, being used to the concept of audited trust accounts, may be surprised to learn that debt collection agencies don’t actually use them. Many of them have an account which they call a trust account and label as such on the cheque book but that’s just little fiction that they share with the bank....

Debtor Finance is Back on Track!

Statistics released from DIFA media release showed that Debtor Finance or Factoring is back on track and growing rapidly in Australia. These findings show that business owners are taking advantage of this type of facility to grow their business. In Australia with the change in Government, new businesses are at their highest figures in...

Bond Loans for Christmas

Christmas can often be a stressful time involving a lot of expensive purchases. Organising decorations, presents for friends and family, food as well as the paying the normal household bills can place financial stress on many people at this time of the year. One way of ensuring a happy Christmas and avoiding financial hardships...

Why you May Need a Financial Planner

No one knows what the future holds. All an individual can do is be prepared for any eventuality. In order to deal with the uncertainties that life holds for us, we need to manage our finances in an orderly manner. You may be a civilised and well-organised person who earns well, pays taxes on...