Wishing everyone a healthy and prosperous 2014 from Oak Bookkeeping Services

Expanding my business network

This is a one-off request as normally I use this page just for blogging about what I hope are interesting and useful business aspects.   I am trying to expand my twitter and Facebook presence and would appreciate people liking or following me on either.

The links are 

Twitter: https://twitter.com/OakBookkeeping

Facebook: https://www.facebook.com/OakBookkeepingServices

Please note you can also follow my blog posts by adding your email in the box on the top right.

Thank you in advance.

Liz

Money makes the world go round

Although we may not always use hard cash those words are still as true as when Liza Minnelli sang them in Cabaret.   It's said that more companies go out of business from lack of ready cash than from lack of sales, although without the sales the business isn't going to go anywhere anyway.

It's ok being asset rich but if you cannot convert this to ready cash when required then you have a problem. Looking at it simply if you think about buying stock on thirty days payment then selling - at a profit - but also on thirty days payment. When it comes to paying the supplier it looks as if you have done well but you have not yet received any payment so have no money to pay the supplier.  Your supplier stops your credit and you can't get any more supplies, your purchaser eventually pays but is not coming back to you as you couldn't guarantee their next order. End result you go out of business.

This is why a cash flow forecast is important to any business and is simple to create.  Start off with your projected sales, list your fixed and variable overheads, deduct one from the other. Link this with the cash in your bank and bring the balance forward to the next month.  The varied costs will change and the sales will probably not come in exactly to the date payment is expected but if you allow for this then you will be prepared for anything that happens. 

Keeping track as to whether your actual figures vary to your forecasted is important. Allow for seasonal adjustments.  This will always be an on-going project but it is one of the most important tasks necessary to stay in business.

If you have any questions on this please contact me on liz@oakbookkeepingservices.co.uk

www.oakbookkeepingservices.co.uk 
Adding value to your business.    Based in Reading, Berkshire.

Income over £50K and receiving child benefit? Only a few days left to register

If you earn over £50,000 and have received Child Benefit Payments since 7 January then you must register for Self Assessment by 5 October 2013 to pay the charge.

To find out if you're liable, what this means to you and what you need to do see the link http://www.hmrc.gov.uk/childbenefitcharge/   for more information.

RTI still a learning curve

http://oakbookkeepingservices.co.uk/         An independent bookkeeper in Reading.

 From accountancylive.com: http://bit.ly/19d3aTJ    

This update advises that SME's are still trying to get to grips with RTI.  After setting up a new client's payroll this month I have to agree.  The Payroll run once I had obtained all relevant information was no problem as expected however when I came to do the RTI part that's when the fun started. 

This was the first time I had set up a new client halfway through the tax year so expected a few problems.  Thankfully a couple of hours later after much to-ing and fro-ing it was all up and running with HMRC finally happy.  

Can't wait to see what the next query on RTI is going to be.  Unfortunately like most things you don't know what you don't know till you need to know it. 

I could never be a luddite

www.oakbookkeepingservices.co.uk    Your independent bookkeeper in Reading

Having worked in accounts since the early days of computers I wonder now how we coped without them.  The first accounting system I ever used was with an Olivetti ‘machine’ that looked like a giant typewriter.

Now everyone has a computer of some sort whether it’s a desktop, laptop, notebook, tablet or smartphone. We all use them for keeping in touch with friends, colleagues and acquaintances. 

With a love of travel I’ve always subscribed to different travel companies which has always helped me decide where to visit next. The web has also helped me with two of my hobbies geo-caching and genealogy. But it’s now that I am self-employed that it has come into it’s own.

LinkedIn and Twitter regularly keep me updated with accounting events in the news as well as well as new rulings by the HMRC etc.  The Institute of Certified Bookkeepers (ICB) which is the professional body I have qualified with and other accounting bodies all have websites and forums that help me keep on top of new rulings and allow me to discuss any queries I have.  If we didn’t have computers I would be tripping over the pile of books I’d need instead. 

Being able to send information and ‘paperwork’ such as payslips, direct to a client in an instant makes my life easier and no longer can they say ‘I didn’t get the invoice’. In fact in most cases I would say the computer has improved my life greatly.

 Now if I could stop those emails telling me it’s 100 days to go till Christmas……….

You know you've made it when......

You know you've made it when your trademark is used in a generic term. 

How many of us Hoover rather than vacuum or Sellotape presents instead of using sticky tape.  That post it note we used rather than the sticky note.  All of these are trademarks that have come into general use over the years. 

The number of times I have asked for a Coke in a pub (ok not too often as its more likely to be a glass of wine) but get given a Pepsi.  If I was to ask for a specific beer by name the barman would likely say they haven't got it would you prefer xx brand. Almost did 4 there but didn't want to use another  brand name.  With Coke that never happens.  

We all Google rather than search on the web. I was surprised when googling what words were now used that are still brand names. 

That item that needs Bubble-wrapped before FedEx-ing to a client.  The kids play with a Lilo in the water before playing with their Frisbee. 

There are many more that are slowly becoming generic.  I wonder what words we will have in ten years time that are only just trademarking now.