Your Money Machine

Recap of the issues we discussed during Season 3 and the highlighting some of the main challenges for businesses today in preparing for 2021.

The key issues that affect the capital requirements of your business and what capital items on your balance sheet need to be financed.

Are you sure you’re ready for exponential growth? Getting your mindset right to transition from business owner to CEO.Are you prepared to give up some control and trust others to help you build? As well as ensuring all your systems and standard operating procedures have been documented and are in place, you will need to ensure your financial reporting provides you with the feedback you need to run your business.

Many years ago before I qualified as an accountant, I trained to fly Helicopters in the Royal Navy. One of the training exercises my instructor put me through was to fly into a cloud so we lost all external references, get me to pull my helmet visor down with the cover on, so I couldn’t see the instruments, and then have me to tell him what I thought he was doing with the aircraft! Even though I know the laws of physics prevented the helicopter we were flying from going upside down, I could have sworn from the feeling inside the cabin, that’s exactly what he was doing. In fact he was flying the aircraft so well that he could simulate the feeling of being inverted and without the visual inputs or access to the flight instruments I was completely taken in. Similarly with your business, if you’re not seeing the outside world and not reading the dials from your financial reports you won’t be able to tell if your business is going in the right direction.

You could be flying upside down for all you know!

Income ratios provide a key insight to your business and offer a comparison to others in the same line of business. Ratios can reveal inconsistencies and efficiencies which then allows you to work on specific areas of your business to produce the maximum return for your efforts.

Having relevant and timely income ratios will be the result of producing regular and accurate financial reports–Profit and Loss, Balance Sheet and Cash flow. The key is to have the information contained in these reports kept up to date and relevant so you can, at any time, spot any valiance in your ratios and act quickly to either correct or profit from the changes in your business.

At the end of the day, Ratios are a tool for understanding your business. And without using these tools, you may as well be flying blind.

Your business is Your Money Machine. In this show we take a look under the hood of your business engine and show you how to fine tune your operations. Get ready for lift off as we add rocket fuel to your engine.

Your business is Your Money Machine. In this show we take a look under the hood of your business engine and show you how to fine tune your operations. Get ready for lift off as we add rocket fuel to your engine.

Most companies deal with many customers. Inevitably, some customers are more profitable than others—and you can’t make sound business decisions without knowing which is which. Understanding which customers are most profitable, gives you the basis for marketing, inventory and pricing strategies.

Your business is Your Money Machine. In this show we take a look under the hood of your business engine and show you how to fine tune your operations. Get ready for lift off as we add rocket fuel to your engine.

Your business is Your Money Machine. In this show we take a look under the hood of your business engine and show you how to fine tune your operations. Get ready for lift off as we add rocket fuel to your engine.

Your business is Your Money Machine. In this show we take a look under the hood of your business engine and show you how to fine tune your operations. Get ready for lift off as we add rocket fuel to your engine.