#4 – Business Tips – Running the Business – By Pat Hoey
This is the fourth of a six-part series of tips about starting up and running a business by Pat Hoey
#4 – Running the Business
- Set aside weekly time to work ON the business, and not just always IN it. So time for invoicing, paying accounts, following up debtors, organising job workload and schedule work timelines, etc
- Know your key financial numbers – monthly income, direct costs, wages costs, profit, bank balance, debtors, ATO owing, etc
- Set monthly income targets, and know what your minimum monthly income is to be, to pay for monthly expenses and finance repayments
- Set up second bank account to put aside wages tax, employee’s super, and some GST (and business profits tax).
- Pay super monthly – and avoid getting behind and paying late – as will result is extra super and penalties, and loss of a tax deduction.
- Pay yourself a set weekly amount, to live off that, and keep rest in the business
- Have a business ideas and projects list – and focus on 3 things at a time
- How will you have an adequate work/life balance?
By Pat Hoey