Please note, this article is applicable to self-employed people only. If you trade through a Limited company you cannot claim this grant. However, you may know people for whom this may be relevant. Here at Kirkwood Wilson, we want to keep you fully updated on all coronavirus support schemes.
The UK Government has extended the support available under the Self-Employment Income Support Scheme (SEISS) for self-employed people affected by coronavirus (COVID-19). A third grant will cover the period from 1 November 2020 to 29 January 2021. If you’re eligible, you’ll be able to claim the third grant at any time from 4 December 2020 to 29 January 2021.
The rules on who is eligible to claim are different to those for the previous SEISS grants. However, you still need to have submitted a Self Assessment tax return for the tax year 2018 to 2019 showing self-employment income in order to claim (unless one of the existing exceptions applies).
This article informs you all about claiming the third grant. A fourth grant will also be available from February 2021 to April 2021. We’ll tell you more about that nearer the time, including how much it will be and the rules for claiming.
How much is the third grant?
The third grant will be based on 80% of three months’ average trading profits, paid out in a single taxable instalment capped at £7,500.
Am I eligible to claim?
To make a claim for the third grant, you must meet a number of conditions, and make an honest assessment about whether you reasonably believe your trading profits will be significantly reduced due to coronavirus.
As previously, the third grant will also be subject to Income Tax and self-employed National Insurance and must also be reported on 2020 to 2021 Self Assessment tax returns.
As before, to make a claim for the third grant, you must:
- Be self-employed or a member of a partnership. You cannot claim the grant if you trade through a limited company or a trust
- Have traded in both the tax years 2018 to 2019 and 2019 to 2020.
- Either be currently trading but are impacted by reduced demand, or have been previously trading but are temporarily unable to do so due to coronavirus
- Declare that you intend to continue to trade, or restart trading, and reasonably believe that the impact on your business will cause a significant reduction in trading profits
- Only claim if the reduction in profits is caused by reduced business activity, capacity or demand, or inability to trade due to coronavirus. Reduction in profits due to increased costs (such as having to buy masks) does not make a business eligible for the third SEISS grant.
When deciding whether the reduction is significant, you’ll need to consider your wider business circumstances.
HMRC expects you to make an honest assessment about whether you reasonably believe that your trading profits will be significantly reduced compared to what you would otherwise expect to achieve during this period.
Your business must have been impacted on or after 1 November 2020, and you must keep evidence that shows how your business has been impacted by coronavirus, resulting in reduced activity, capacity or demand, or a temporary inability to trade.
How do I claim?
If you’re eligible for the third grant, you can claim on GOV.UK at any time from 4 December 2020 to 29 January 2021, by searching ‘Self-Employment Income Support Scheme Grant Extension’.
Making a claim online is easy using your Government Gateway account. You can do it on a smartphone and it only takes five minutes. If you’re unable to claim online, or feel you would like more support, you can call the HMRC helpline on 0800 024 1222. It may take longer to complete your claim over the phone.
You don’t need to work out your grant, HMRC will do that for you. Once you’ve submitted your claim (confirming that you meet the eligibility criteria) HMRC will use the information in your previous tax returns to calculate the grant you’re entitled to. They will then pay the money directly into your bank account within six working days.
As always, if you need any help at all, please don’t hesitate to get in touch and contact our Tax Department on 01704 546000, and we will help wherever we can. Please be aware though that you must make this claim yourself, we are unable to do this for you.
Introduced in April 2020, there is a new requirement for UK residents to report and pay capital gains tax (CGT) on disposals of UK residential properties. This is a new requirement for UK residents as non-residents have had an obligation to pay this since 2015. In our latest article, the team at Kirkwood Wilson provide some guidance on reporting disposals to HMRC, specifically through their online system.
More information on the CGT 30-day reporting period
As of the 6th April 2020, HMRC introduced new rules regarding the reporting of CGT, Capital Gains Tax. These new rules were regarding the disposals of UK residential property and required both UK and non-UK residents to comply. As of the 6th April 2020, any gains of residential properties should be reported within 30 days.
As part of these new rules, individuals are required to register for their own Government Gateway account and set up an online account.
UK residents are now required to report gains on UK residential property, only in circumstances where tax is due. This can include:
A deemed disposal
A gift of a residential property
Or a disposal of a principal private residence that does not qualify for full relief.
It is important to note that the requirements for non-residents are wider and apply even where no tax is due.
On 19 August 2020, HMRC upgraded the system to allow gains on second and subsequent disposals to be reported online.
Previously the system could only be used for the first disposal in any tax year and subsequent disposals had to be reported on a paper return.
The system now also allows capacitors (those holding power of attorney) and personal representatives to report gains.
HMRC and CGT 30-day reporting
As stated by HMRC, due to coronavirus (Covid-19), they did not issue late penalties to any transactions completed between 6 April and 30 June 2020, provided the gain was reported and any tax due paid by 31 July 2020. Anyone who completes the sale of a property from 1 July 2020 onwards has 30 calendar days to report and pay the tax due.
Transactions completed from 1 July 2020 will receive a late filing penalty if they are not reported within 30 calendar days. Interest will be charged if the tax remains unpaid after 30 days for all transactions from 6 April 2020.
Kirkwood Wilson and financial advice
So, to sum up, any gains of residential properties since 6.4.20 should be reported within 30 days.
Here at Kirkwood Wilson, we are happy to help with any financial worries or concerns. If the announcement of the 30-day CGT reporting has confused you or is something you require some support with, do not hesitate to get in touch with us.
Here at Kirkwood Wilson, we are passionate about staying up to date with the latest accounting software. We are always on the lookout for new technologies that can help our clients to achieve their accounting goals. Read on to find out more about Futrli and how connecting it to your Receipt Bank app can help you to improve your financial records.
What is Futrli?
Futrli is an accounting app for the UK market that was formerly known as CrunchBoards. This app allows you to create financial forecasts and reports based on either financial or non-financial data. Here at Kirkwood Wilson Accountants, we advocate Futrli for medium to large businesses that often require much more extensive reporting on their budgets, KPIs and cash flow.
Through Futrli, business owners can receive both their financial and non-financial KPIs, with the ability to generate 3-way forecasts across a 10-year period. This is part of what makes Futrli such a popular accounting app in the UK. Not only this, but Futrli can also provide you with multiple “what if” scenarios for different circumstances. So you always have an idea of how things will play out for your business.
Find out more about Futrli by reading our blog post, ‘What is the Futrli app and how can it help you?’.
What is the Receipt Bank app?
Receipt Bank is a UK accounting app that claims to be “the #1 remote working tool for accountants and bookkeepers”. This accounting app works to connect business accountants with their clients by capturing receipts and data in an instant. You simply need to snap a picture of any receipts relating to your business, and the Receipt Bank app does the rest. It extracts the data to remove any of the key details that the accountant will need, and stores this securely on a cloud-based system. This means that your data is only accessible by approved parties.
Here at Kirkwood Wilson, one of the reasons we love the Receipt Bank app so much is that it can seamlessly integrate with the leading accounting, payroll and payment software. This means that Receipt Bank fits seamlessly into a complete end-to-end solution that will meet your business needs.
How Receipt Bank works
The Receipt Bank app is a great way to capture, store and keep track of all of your business receipts, bills, invoices and bank statements to share with your accounting team. You simply need to use your phone to take a photo of the bill, receipt, invoice or bank statement and then upload to the Receipt Bank app from anywhere on-the-go. What will you do with the extra time saved by scrapping time-consuming financial admin?
Connecting Receipt Bank with your Futrli app
Whilst Futrli turns your bookkeeping data into daily insights, Receipt Bank is a secure way to upload and store all forms of business transaction data. Coupled with Futrli’s prediction and planning software, Receipt Bank can assist in helping you make the right decisions to keep your business growing. To connect, you simply need to integrate your Receipt Bank app with the Futrli app in your account settings.
Speak to Kirkwood Wilson to find out how accounting apps can help you
We believe that accounting should be made simple for our clients. This is why we are constantly on the lookout for new and exciting accounting apps that will help you to make the process easier, whilst we do the hard work! This way, we can continue to deliver you our excellent service, whilst also saving you time to focus on the bigger picture – growing your business.
If you want advice on the best accounting apps or how we can help you to get your accounts in order, get in touch with us today. We are always on hand to help you with any of your accounting queries.
Here at Kirkwood Wilson, we are passionate about keeping up to date with all the latest accounting technology. We are always on the lookout for new technologies and apps that can help us to help our clients in the best way possible. Here, we explore the features and benefits of the Futrli app and explain why we are such big fans of it.
What is the Futrli app?
Before we get started on the finer details of the Futrli app, we thought we should explain exactly what it is. Futrli, pronounced “future-lee” and formerly known as CrunchBoards, can be best described as a piece of financial forecasting software.
The app allows users to create financial forecasts and reports based on either their financial or non-financial data. These can be created either from a pure starting point or using the helpful templates that Futrli provides within the app.
Futrli is perfect for those medium to large businesses that require extensive reporting on their budget, KPIs and cash flow.
Why did the app go from CrunchBoards to Futrli?
For those who are more familiar with this app when it was known as CrunchBoards, it might be worth explaining why the app underwent a rebranding and overhaul.
Futrli’s co-founder, Amy Harris, has stated that the company wanted to focus more on accountant-delivered advisory services. Futrli didn’t want to be known as just another “number-crunching” app. Rather, they wanted to provide a customisable experience for each accounting firm and their clients.
What data can be exported from the Futrli app?
Through the use of Futrli, businesses can receive KPIs, both in the financial and non-financial sense, as well as data from various date periods, whether transactional or cumulative. One aspect of Futrli that makes it so popular with businesses is the ability to receive 3-way forecasts across a 10-year period.
Not only that, but the app can also provide you with multiple “what if” scenarios for various different circumstances. For example, say you knew that you needed to reinvest some money elsewhere, you’d be able to receive a forecast for this particular scenario which would give you an idea of how this would play out for you and your business financially.
How Futrli works alongside other accounting apps
Here at Kirkwood Wilson, we are big advocates of digital accounting and work with several accounting apps, such as Xero and Receipt Bank. This is to ensure our clients receive the best services and can access their financial information with ease.
Futrli can be easily integrated with other accounting software, such as Xero. Through this integration, financial data can be automatically updated, which means that users no longer need to manually enter the data themselves.
This integration is ever-more effective as forecasting can come directly from the previous year’s financial data, providing more of an accurate forecast.
Kirkwood Wilson and Futrli
With many users of Futrli labelling this app as a “clever” and “innovative” way to visualise your money flow, we just had to get in on the accounting action – so to speak!
We believe that accounting should be made easy for our clients. We always want to ensure that our clients receive the best services possible, which means we are always on the lookout for new and exciting apps to make these processes easier.
If you want some advice or help with your accounts, then get in touch with us today. We are always happy to help!
In May 2020 the UK government launched a roadmap and campaign advocating that office workers should return to the office. Yet we are now being advised to work from home ‘if we can’. Guidance for returning to work is now rather conflicting.
Here at Kirkwood Wilson Accountants, we believe that having a ‘return to workplace’ plan (for whenever reason it is needed – of course) is important. As remote working is the new normal, we’ve detailed some ideas about how to make your return to workplace plan inclusive for all.
Return to the workplace
As of 22 September, the government made a U-turn with its statement regarding returning to the office. Michael Gove made a statement that if it is possible to work from home, people should. This could leave you understandably confused about the right steps to take for your employees. The question is whether you should continue with your return to work plan or put it on hold.
At Kirkwood Wilson accountants in Ormskirk, we’re here to provide peace of mind during these worrying times and have some guidance for completing your return to workplace plan. Additionally, if you’re worried about the state your business is travelling in, we are always here to offer a friendly face and a helping hand with your business worries.
What your return to workplace plan should involve
As the health and safety risks from Covid-19 are primarily concerned with person-to-person contact in the office, there are a lot of considerations for employers regarding the virus entering the building and spreading to staff members.
At Kirkwood Wilson, we recommend that your return to workplace plan should involve the following:
- Risk assessments
- Consider your employees’ wants and needs
- Continuously update policies and practice.
Return to workplace plan – risk assessments
Risk assessments, risk assessments, risk assessments. The words on everyone’s lips when the UK gradually started lifting restrictions. You must consider health and safety measures aiming to mitigate risks and also reduce uncertainty amongst employees. Once the risk assessment has been completed, you must share it with members of your team to familiarise themselves with the measures you have put in place.
We recommend the following when carrying out your risk assessment and assigning preventative measures:
- Cleaning protocols – Table cleaning procedures should be put in place, as well as consideration about the main touchpoint areas within the office.
- Social distancing procedures – You could have markers on the floor detailing how the workforce travels around the office.
- Hand sanitiser, hygiene stations – Hygiene and washing hands regularly are some of the most important things to stop the virus from spreading.
- Protect your bubble – Minimise non-workers from entering the office environment.
Return to workplace plan – Consider your employees’ wants and needs
As many employees were told to shield due to health reasons when we first went into lockdown, as an employer it is important to consider your employees’ worries. If you have been continuing to work from home throughout the pandemic, it might be worthwhile including more flexible working.
We recommend considering the following:
- Keep a record of your staff work patterns for 21 days
- Consider how many people should be in the workplace at any given time
- Adjust working hours and break times.
Return to workplace plan – Continuously update policies
When government guidelines change, it is important to familiarise yourself with new rules. As new measures are introduced for businesses and day-to-day life regularly, at times it can be overwhelming.
Here at Kirkwood Wilson Accountants, we’re here for you if you need professional business advice or a helping hand planning your finances.
If you’re interested in hearing more about our services, simply get in touch today and the team will be more than happy to help. Call us on 01704 546000 or contact us.
In your personal life, having someone around that you can confide in and talk to during difficult times is incredibly important. You might have not thought about it before but this is similar in regards to businesses. When you’re undergoing testing times with your finances and business processes, having a support base, like your accountants, on hand to listen and advise can provide great peace of mind and some relief from some of your stresses. Read on to hear how, at Kirkwood Wilson, our accountants are always on hand to support you during the difficult times and the good.
How a certified accountant can support you in testing times
Over the past few months, the Covid-19 pandemic hit businesses in unimaginable ways. With many businesses being forced shut, with no cash flow, it has been a crucial period of time for accountants to support their clients.
Here at Kirkwood Wilson, Accountants in Ormskirk, we specialise in digital accounting and during the Covid pandemic, with many forced to work remotely, we have supported each and every one of our clients.
Here are our top reasons how certified accountants, specifically Kirkwood Wilson Accountants, can support you during testing times:
- Help you to understand governmental business support packages
- Bring you up-to-date with digital accounting software
- Advice on cash flow management
- Point you in the right direction for gaining finance
- Support you by having a general chat and listening to your worries.
1. Help you understand governmental business support packages
It has recently been announced that GDP tumbled 20.4% in April to June 2020, with the UK now in a recession. To limit the burden on the economy during Covid-19, the UK government put in place a number of business support measures, such as; the job retention scheme, deferral of VAT payments, and more.
During testing times like the Coronavirus pandemic, as a business owner or manager trying to keep on track with the schemes, managing workload, and trying to maintain business, is rather a handful. So here at Kirkwood Wilson Accountants in Ormskirk, we’ve been helping our clients every step of the way advising on financial steps to take.
2. Bringing you up-to-date with digital accounting software
If you didn’t already know, Kirkwood Wilson Accountants specialises in digital accounting. As digitising your business is now more important than ever, Kirkwood Wilson are on hand to help streamline your bookkeeping processes and get stuck right into the world of digital.
3. Advice on cash flow management
Keeping the cash ticking in has been one of the biggest worries for businesses over the past few months. As business survival is the top priority for most and ultimately cash flow being king, at Kirkwood Wilson, we’ve been supporting our clients as much as possible to feel more in-control of their finances. Whether that is cash flow forecasting or advice on possible finance options, we’ve been on hand to help with any worries!
4. Point you in the right direction for gaining finance
By applying for R&D tax credits, grants and other finance offerings, this could be crucial to survival. Here at Kirkwood Wilson, we are up-to-date and always aware of best practice and ways you can claim back. We are more than happy to talk you through anything!
5. Support you by having a general chat and listen to your worries
Having accountants you can trust, and are there for you on a rainy day, can provide you with security and peace of mind. The team at Kirkwood Wilson are here to listen to any and every worry you might have and offer you advice to point you in the right direction.
Get in-touch today via our contact form or on 01704 546 000 if you require a local accountants in Ormskirk to help your business during these testing times.
Whether your business suffered catastrophic effects as a result of the economic and social changes wrought by COVID-19, or you are simply looking for a little reassurance and a nudge back onto the right path, there are some key areas that you can address to get your business – and yourself – back to some sense of normality. Here are some of the things we would recommend:
Before you can successfully get your business back on track, you need to make sure you have the energy and mindset to focus – that means making sure you’re at your best. The months of lockdown affected many people in different ways, but increased levels of anxiety were reported throughout as an extremely common experience.
Anxiety itself can be helpful; a low level of fear ensures that we take action to protect ourselves and our loved ones. Panic, however, has a detrimental effect; it causes us to lose focus, become immobilised and unable to make decisions, and results in poor judgement.
Some of the most effective steps you can take in looking after yourself and keeping your anxiety levels in check will not only ensure you are well-prepared to deal with your work life, but will make you feel much better all round:
- Self-reflection – Take some time each day to consider how the day has impacted you and to think about your responses to the events that occurred. Self-awareness can help us to recognise our fears and nip them in the bud so that we can refocus our energy
- Find the positive – Whilst we can’t control events, we can control how we choose to perceive them. Look for the good in situations and where your reaction to an event is automatically negative, take some time to work out whether there might be an opportunity there rather than a threat. If you have had a bad day, focus on one thing that you are grateful for
- Eat well – Healthy eating not only helps to build your immune system but will also give you more energy and help you to concentrate
- Take time out – It is down to you to find your own way to create a sense of calm and allow yourself the head space for clear judgement. Some great ways to give yourself downtime for reflection are:
– Exercise – Whether it is walking your dog, ten minutes of sit-ups, or an hour of cardio, this can be a great way to relieve stress and promote those feel-good hormones
– Contact with others – Try to make time to engage with those who make you smile or laugh, the people in your life who are supportive and have similar interests. Whether a quick message, a video call or a socially distanced coffee, a chat with someone you care about will give you a boost
– Relaxation – We each have our own preferences for powering down. Yours might be a long, hot bath, a cuppa in the garden or some meditation; whichever one allows you to exhale, make the time for it.
Just as with self care, whilst some level of concern about the future of your business is both healthy and helpful, panic is not. Now is not the time for knee-jerk reactions; dramatic changes in direction, for some businesses, have been both necessary and fruitful – but decisions should be taken objectively and with a clear mind.
We have found ourselves launched very suddenly into a low-touch economy, where person-to-person engagement has been minimised, payments are contactless, purchases are delivered to our doorstep and video calls have become the norm.
These changes are widely considered to have been inevitable – COVID 19 has simply accelerated them greatly. There are some things you can do, with this in mind, to ensure the future of your business:
- Look at your customers’ needs – What are your customers struggling with? What are their challenges? If you can find that out – through listening to them, asking them questions or engaging on social media – you can adjust your offering to gain some competitive advantage. It doesn’t necessarily mean a product change, it might be as simple as taking card payments rather than cash; being able to support them with finance or staged payments to spread their financial outlay; or supporting them with advice on your specific area of knowledge or expertise through an online chat platform.
- Consider your long-term objectives – Does your strategy still work in light of COVID 19? Review what you set out to achieve within the next 6-12 months. If your marketplace has changed so dramatically that you need to steer in a new direction, look at your options and set some alternative strategic goals and break these down into tactics and then bite-sized actions. If your long-term goals are achievable but not within the time frame you set, then review your plans for the coming year; perhaps hold off on larger investments, or look at reducing overhead costs in line with a more realistic projection. If you are lucky enough to be in a position of opportunity, then now is the time to get ahead; experienced and highly skilled personnel have become available as a result of the unfortunate staff cuts some businesses have had to make – you might scoop up someone who can take your business to the next level.
- Give yourself a break – The past 6 months have been extremely challenging. Whether you have been at the heart of sudden demand for your service or whether your business levels nosedived, the pressure will have taken its toll. Both you and your team deserve some collective recognition for what you have achieved together, as well as some down time.
COVID-19 has created very sudden and unforeseen challenges; some of those leading to opportunity, some leading to the collapse of both businesses and peoples’ lives. Most of us have spent the time somewhere in between, trying to make the best of things and waiting for the economic and social landscape to improve.
As things stand, this may be as normal as we get for a while, so if you are looking for financial support or business advice, we can help with that. Ease a little of your load and talk to us – you never know, it might be one more step back to normality for you and your business.
Anyone who’s been running a business for long enough will tell you that making tough decisions is often something that comes with the territory. But the recent coronavirus crisis has caused more worry and stress for many business owners than ever before.
As we start to resurface from lockdown and as our businesses start to return to some sort of normality, the ‘new normal’ as this is being commonly nicknamed, many people will face difficult decisions, perhaps ones that they have been putting off for years. Read our latest article discussing some of the difficult business decisions that may have to be considered during this unusual time and how Kirkwood Wilson can help you.
Time for a change?
As the Coronavirus pandemic has completely rewritten most of our standard everyday work lives, the enforced break from our day to day business lives will have caused many people to question whether there is opportunity to change the ways things are done.
Will we travel quite so much? Will we arrange meetings or connect remotely? Will we spend more time at home? Will more of our business be conducted online? Is our website up to standard? How many people do we need in our team? Is every member of the team contributing?
Many business owners during this time will find themselves accessing all aspects of their business and considering the potential for changing some of their processes, whether they like it or not.
Advice from Kirkwood Wilson
It can feel overwhelming to be faced with so many difficult decisions, particularly since many of these decisions are time sensitive and can make the difference between survival or failure.
For this reason, here at Kirkwood Wilson, we see our role with our clients as developing into an even more advisory service. With sophisticated software, we can help you look into the future, planning a number of ‘what if’ scenarios to ensure that you have considered all avenues.
We can help with the difficult decisions regarding staffing levels and offer advice in terms of ‘future proofing’ your business.
Perhaps most importantly, we can listen to what you want the future to look like and how you would like the business to work for you. If you would like a chat about this, we are offering a number of free time slots to provide more in-depth information and advice on whatever you feel you need guidance on.
To learn more about this service, get in touch with us today and learn more about how we can help you and help to guide you through these difficult times.
Having a supportive accountant on hand to listen to any of your worries goes a long way. Most importantly, since all of our lives have turned upside down in the last few months with the impact of Covid-19, knowing you have the support and guidance of your accountant on hand is really important. Read on to find out why we, at Kirkwood Accountants, believe having a personal relationship with your accountant is so important.
Importance of having a supportive, personal accountant
As ultimately, the job of a personal accountant is to ensure you have accurate financial statements and receive advice on methods to save money and increase revenue. Having a close relationship with your accountant will help relieve any financial worries or stresses you may have.
As businesses from a wide variety of industries have seen significant impacts to normal operations, accountants like us at Kirkwood Wilson have been able to work very closely with our clients during these unprecedented times.
With government schemes, like the furlough scheme, business rates relief and VAT payments deferral scheme, having a local, personal accountant that you have a close relationship with gives you that ease-of-mind that you’re doing everything by the book whilst getting the most return.
At Kirkwood Wilson, an accountants based in the North-West, we have maintained very close relationships with our clients during the past few months and look in immense detail at everything that has happened.
Reasons why you should stay close to your accountant
During the coronavirus pandemic, we made sure we kept in touch with our clients and we strongly believe that this close relationship benefited them in many ways:
- We had a firm pulse on government schemes and announcements, meaning we were able to advise accordingly and accurately
- We are always on hand to help people and businesses to make positive decisions
- We are always available to listen to any concerns and provide financial advice.
1. Firm pulse on government schemes and announcements
With an unprecedented array of government schemes and business announcements being introduced, it is difficult to know which scheme applies to your business and which does not. With the Bounce Back Loan Scheme and Coronavirus Business Interruption loan scheme both applying to different business types, it can be difficult to know which one is best for your circumstances.
Our team of accountants understand you and your businesses situation and can effectively do the hard work for you. By having a close/personal relationship with your accountant, we’ll always try and do as much as we can to support you during these uncertain times.
2. Support you to make positive decisions
Having a personal relationship with your accountant enables you both to work efficiently together and talk through the next steps your business needs to take. Choosing a local accountant, who gets to know your business and industry well, can be so much more than just managing your books.
3. Always on-hand to listen to any concerns
Finally, having a close relationship to your accountant will only become more and more important over the coming months. With talks about a second wave and other concerns, talking with your accountant can help provide you with ease of mind and come up with a plan and forecast for future action.
Personal accounting specialists – Kirkwood Wilson
At Kirkwood Wilson Accountants, we aren’t just your local accountants, but are here to support you every step of the way through these unprecedented times.
If you fancy a chat or to understand more about how we forge close relationships with clients, contact us today.
Here at Kirkwood Wilson, we’re a ‘glass half-full’ bunch. We focus on the positives, regardless of what life might throw at us or our clients, we always search for every positive where we can. However, since the outbreak of Covid-19, there’s no denying that we’re living in unprecedented times. Factor in Britain’s departure from the EU and the future for many UK businesses is looking a little scary.
The importance of planning
Now, more than ever, it’s imperative to plan for the future of your business. We’re not suggesting that we get out a crystal ball – no one can know exactly what’s around the corner – but what we can do is plan for most eventualities.
There are 2 main considerations for this:
- Business continuation
- Cash flow.
By now, with the nudge-along from Covid-19, a lot of businesses have taken a large part of their operations into the cloud, which we’re very proud to say we’ve helped many clients get stuck into the digital world. This means that for a lot of businesses, say hypothetically if a total lockdown were imposed again, some of these businesses could continue as normal (or as much as possible) throughout this next period. Apps and digital accounting software have enabled so many people to be unleashed from the power of paper – hurrah!
The importance of cash flow management
The other important consideration is cash flow. It’s one of the things that we, as accountants, live for (and go on and on about – a lot).
Think of cash flow as a lovely plant. Get it right and your business will flourish. Get it wrong and your once lovely plant will wither and die – how dramatic! Your business grows, you grow. You’re happy, we’re happy!
In the most basic sense, you need to make sure that you have more money coming in that you have going out. This is the crucial point of cash flow management. Understanding how your cash flow is doing can help prevent issues like buying in too much stock, general overspends, and long payment terms. By getting on top of your outgoings means you will naturally have more money available should the worst happen.
Here are some of the positives of staying on top of your cash flow:
- You will be able to make informed decisions about your business
- There will be funds available if you encounter any unexpected glitches (like say, a pandemic!)
- You will naturally feel more in control of your finances, which in turn will make you happier and more positive
- You will be able to spot any issues in cash flow, i.e. when you might have cash in abundance or when cash might be a bit tight.
Good cash flow management will help you future-proof your business, making it crucial for helping you to nurture your business.
How WE can help YOU
At Kirkwood Wilson, we help our clients take back control of their business. We don’t just work for you, we work with you and help you thrive. We are providing cash flow forecasts more and more, enabling business owners to put the right plans in place for them (taking away all guessing and not just what they can afford today).
We want to help businesses better manage their cash flow – do you need help? We want to help people grow, raise their ambitions and realise their potential. It’s what we do, it’s what we’re good at, and it’s what we’re passionate about.
Don’t look at where you’ve been, look at where you’re going, and we’ll help you every step of the way. Get in touch with us today to learn more about how we can help you.