One of the primary factors that worry business owners in 2023 is their finances and cash flow. As we enter a recession, businesses are feeling the squeeze just like anywhere else. It can sometimes seem that there is nothing you can do to protect your business from unforeseen financial hardship. However, there are small changes you can make when it comes to the operations of your business that can help you massively when it comes to financial planning. The internet is also a great tool which can help you when it comes to running your business. Here are all the ways in which you can keep on top of your business finances using online tools.
Mobile Banking
Getting mobile banking for your separate business bank account is one of the best ways you can keep on top of your company’s finances. Being able to see incomings and outgoings in real-time whilst on the go is essential for any modern business. Mobile banking apps will often give you notifications when there is a spend or deposit into the account, which will help you keep on track. Because we carry our phones with us all the time, this is one of the best ways you can track your business expenditure and make sure your account’s balance is even wherever you are in the world.
Financial Budgeting Software
There are many pieces of software available that will assist you with budgeting for your business. These will track your average incomings, outgoings and profit and make goals for you based on these numbers. There are many free options out there which are amazing ways for you to track your company’s budget, bills, spending and credit score. This can really streamline your budgeting plan for your company and help you manage your spending all in one place.
Accounting Methods
Accounting can be one of the best ways to keep on track of your business’ finances. However, this can be difficult even if you hire a business accountant. There are now many excellent free software programmes available which can really help you or your accountant manage all of the accounting responsibilities. They can assist with the production of accounting reports, scheduled transactions, and double-entry bookkeeping. This can make managing your payroll and other statement responsibilities much easier to manage.
Financial Forecasting Software
There is also software available which can help you project your company’s growth. This can be extremely useful when it comes to making informed decisions about certain investments or risks your company might take. Financial forecasting software is extremely intelligent and can accurately predict future revenues and costs across many different types of enterprises. Different types of software can also give you different results- there is software for you whether you want broader, long-term results or more in-depth short-term results. This can be a very smart thing to introduce to your company.
Digitise Receipts
One of the best things you can do to track your business’ outgoings and incomings is to keep all of your receipts, however, this can take up a lot of space and it can be hard to organise. However, digitising your receipts is one of the best ways you can make your receipt-saving experience much better. Scanning copies of your receipts and making them into PDFs will make a digital backup of your receipts. Naming each PDF accurately and organising them into digital folders can streamline your financial documentation plan by a large margin. It is also a good idea in case anything happens to your business receipts that are out of your control (like a flood or fire.)
Debt Calculators
Unfortunately, some business owners find themselves in debt. However, there are many online tools that you can use to manage your debt and create a plan for how you are going to tackle it. For example, there are many tools which can break down your debt and explain how you will need to pay it back. It can also give you advice when it comes to paying off your debts. There are also many other online tools which can help you come up with a debt consolidation plan, such as an IVA calculator. Make sure you are making use of these if you need help paying off any company debts.
Business Credit Software
Your business’ credit score can be incredibly significant when it comes to your financial planning. Your business’ credit score is calculated using a lot of different factors, and it can impact whether you get good business loans or not. It can affect the contracts your suppliers and clients end up negotiating with you. However, business credit score software can not only let you know the exact number of your credit score but can also give you good tips on how you can raise this number. Knowing your credit score is one of the best ways you can help your company’s finances in 2023.
Payroll Software
Keeping on top of your payroll is one of the best things you can do when it comes to protecting your company’s finances. Payroll software can help streamline the process you can do and make it an automated process. It will calculate how much each employee is owed and sort it out for you- this is one of the best things you can do for your company’s safety. Paying your bills late and not paying your employees on time can be devastating for your company’s finances.
It will be important to keep a close eye on your business’ finances going into 2023. The projected instability of the economy will make it more difficult to make solid plans. Making sure you are closely tracking your business’ outgoings and incomings will make it so much easier for you to look after your business through times of financial hardship. Having software that helps you with this will allow you to make informed decisions about your company’s financial situation, for example, whether you need to enter a company voluntary arrangement or restructure your budget. Having a close eye on your finances will be a massive help during a potential recession, which is very likely in 2023.
