Britain is now officially in a recession after suffering over six months of negative growth according to the Office for National Statistics. It is predicted that 50% of small- to medium- sized businesses in the UK will fail from the worsening economic conditions. Most small businesses do not have large amounts of cash so traditionally have used their loans and overdrafts to keep their businesses going. However, since the recession, these facilities are no longer readily available to them and many are now faced with the serious prospect of failure. To avoid this, some savvy business owners are learning where to cut their costs and how to better manage their cash from the experts at The Local Bookkeeper, a leading bookkeeping and management accounts firm. The qualified financial professionals at The Local Bookkeeper are applying their expert knowledge to the finances of businesses across the UK to steer them away from collapse and towards fast growth. They can achieve this by producing regular reports that are easy to understand to allow business owners to quickly identify what processes should to be introduced to improve their situation dramatically. They keep their clients up to date on any legislation changes and researches for any government help that they can apply for like the Enterprise Finance Guarantee Scheme that is designed to enable businesses to secure loans of between œ1,000 and œ1,000,000. Alex King, Managing Director of The Local Bookkeeper, tells us what we should be looking out for: ?Business owners should not use their profit or turnover as a key indicator of your businesses success, it is the management of their cash, how much they have to pay and how much is owed to them.? ?Our finance managers are working hard to devise strategies to show their clients how they can increase their income and decrease their outgoings from regular management accounts that will give them a breakdown of their finances. These reports make it easy to see where the effective cuts can be made and where business owners should be focusing their efforts to turnaround their finances and make sure they come out of the other side of this recession fighting fit.? ¯
Covid-19 (Coronavirus) Update
Coronavirus is having a huge impact on all sectors of business. Despite this, businesses are still having to manage their books, file VAT returns, run payrolls and most importantly their credit control processes. TFMC is continuing to provide our full range of services through this difficult time. For the latest information and support visit our Blog section or use our app with regular updates sent direct to your phone.