Bizpro Ltd - Virtual Assistants » Money http://ukvirtualassistant.co.uk Virtual Assistant helping you to work smarter Sun, 14 Mar 2010 22:01:55 +0000 en hourly 1 http://wordpress.org/?v=3.0.1 Bad debts http://ukvirtualassistant.co.uk/bad-debts/ http://ukvirtualassistant.co.uk/bad-debts/#comments Mon, 27 Jul 2009 09:00:12 +0000 Office http://www.bizpro-ltd.com/bizpro-blog/?p=224 Bad debts. Is it a taboo subject?

 

I guess sooner or later it must happen to every business. The trick is how you deal with it.

 

This year Bizpro has had more than it’s fair share of non payers. No less than 3 clients have ‘done the dirty’ on us this year so far, and whilst that doesn’t sound like much, to a small business it can be crippling. We’re lucky in that we have a ‘safety net’ to see us through the lean times, but even so, the point is it’s just not cricket!

 

If a client is having difficulty in meeting payment and they keep you informed, that’s one thing, and most suppliers, me included, tend to look more favourably on.

 

However, It’s quite another when they go completely quiet on you and ignore your calls in the hope you will go away. Truth is, it’s not going to go away. Ignoring your situation will only make things worse. I’m a lot more strict than I used to be. This is out of necessity. My payment terms have always been fairly generous for a small business at 30 days, although this will shortly be changing to 7 days. After this period is up, if I’ve not received payment they get just one reminder to pay within seven days – after that it’s straight to the filing a claim online. After all, I’ve provided the service, the client has had the benefit, the least they can do is pay for it on time. 

 

My advice to anyone struggling to get payment out of a client is not to put up with it! Don’t be afraid to talk money. Make your payment terms clear at the very start of any contract or relationship. Establish your boundaries, and stick to them. Remember, you’re worth it, and so is your business!

]]> http://ukvirtualassistant.co.uk/bad-debts/feed/ 0 The Budget – How will it affect small businesses? http://ukvirtualassistant.co.uk/the-budget-%e2%80%93-how-will-it-affect-small-businesses/ http://ukvirtualassistant.co.uk/the-budget-%e2%80%93-how-will-it-affect-small-businesses/#comments Wed, 26 Nov 2008 22:47:06 +0000 Kerry http://www.bizpro-ltd.com/bizpro-blog/?p=94 There seems to be one word on everyone’s lips at the moment; Budget. It’s something that affects us all, and this year we’ve been waiting with baited breath amid all the speculation, so here’s what BizBlog’s guest blogger, Phil Hendy of Moore Stephens Chartered Accountants based in Malmesbury has to say about it:

Chancellor Alistair Darling presented his Pre-Budget report on Monday 24 November 2008.
 
As anticipated there was a concentrated effort to introduce measures to protect and support businesses through the difficult and challenging economic climate. The measures are also intended to help individuals and those on lower incomes.
So, what are the main changes that affect small business in the short term?
  • Reduction in the rate of VAT from 17.5% to 15%. This is effective from 1 December 2008 and will revert on 1 January 2010.
  • Personal tax allowance to increase to £6,475 for the 2009/10 year.
  • Deferral of increase in lower rate of Corporation tax. Therefore the rate will remain at 21%.
  • Trading losses will now be able to carry back losses of up to £50k for three years.
  • The capital allowance regime on cars costing over £12k will be based on CO2 emissions from April 2009.
There are longer term affects, most notably the increase to national insurance, which will increase by 0.5% from April 2011.
 
In addition individuals earning in excess of £100k will start to find their tax burdens a lot more complex and expensive from April 2011.
 
The VAT issue is the one that will affect most businesses, not only from a cost position but from an administrative change. One area to be wary of are businesses using cash accounting. It is important that the rate at the date of supply is used, not the date of payment. This could make Vat returns, particularly for the first quarter of this a little more complex.
 
Anyone using manual or computerised book-keeping systems should ensure that they are updating at the appropriate rates. Sage have already issued guidance notes on how to amend their systems.
 
Loss making businesses should ensure that accounts are finalised and tax computations submitted as soon as possible after the year end to obtain repayments. In addition it would be worth considering a change in accounting date to increase the relief available.
 
Finally, an area that has been overlooked by some is the introduction of a Business Payment Support Service. This is intended to give help to businesses that are struggling to meet their liabilities in respect of all taxes. This will certainly be of benefit to most businesses in the current climate as it could help cash flow and budgeting.
 
Our detailed release, as well as other useful information, can be found here.
For further information or if you wish to discuss this further feel free to call me on   01666 823201   or email Phil@msmalmesbury.com .
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