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Investors and Shareholders - Complete Controller

When we dream of owning our own business, many of us likely daydream that we can afford to open and operate our business without any help or outside capital. The truth is, unless the business we are starting has low overhead or we have a huge chunk of savings to put towards opening our business, we will need to drum up capital to start and operate our business until the profits cover operations 100%.

There are several choices for financing your small business, but the choice that gains the most startup capital is investors and shareholders. These are those who put money into your business that will get back their investment through profits, but once their initial capital is paid back, they will continue to get a piece of the revenue. This share in the revenues means these shareholders also share the risks and therefore need to be kept informed. Here are six ways (besides profits) to keep your investors and shareholders content while you grow. Check out America's Best Bookkeepers

Communication is Key

Communication is key to any relationship you have in your life, whether business or personal. Your shareholders will want to see tangible results; however, while your business is building and growing, you will need strong communication with your investors. Keep them up-to-date on growth and changes in projections. Even if there are downturns in the business, don’t hide this from your investors and shareholders. They need to know the truth. This communication, specifically when it comes to downturns, could create more capital if investing more will spark growth and revenue.

The bottom line: Treat your investors and shareholders like anyone else who has a vested interest in you and communicate openly and often.

Actively Listen to Concerns

In the world of business investment and this day and age, it is rare to have “silent partners” who put money in your business and stay out of the operations. Most investors and shareholders will want a say in the object of their investment. As a business owner, you should take their input and ideas seriously and actively listen to their concerns and ideas. Active listening means you are heavily considering what is being said and integrating it into your business decision making process.

The bottom line: Though some ideas or desires may be unreasonable, most serious investors and shareholders are business savvy and have the experience that you, as a new business owner, have yet to know or experience. Remember, they have a stake in the business’s success, so every idea or suggestion they give you is with the business’s best interest at heart. Check out America's Best Bookkeepers

Manage Their Expectations

Before you communicate effectively along the way or actively listen to your investor and shareholder’s ideas, you must manage their expectations. If you have a well-written business plan, the business expectations should be handled for the most part. However, you should make sure the expectations are set at a range of high expectations to lower ones. While confidence will never be gained by presenting worst-case scenarios, setting their expectations in the middle on the lower end will give you space for some lesser desired results.

The bottom line: We all set expectations on every aspect of life in our personal and business lives. It is important that as a business owner, you set reasonable expectations for your investors and shareholders.

Show Strong Leadership

Investors and shareholders in a business are generally confident and strong leaders in their sphere of influence. When someone invests in your business, they aren’t just investing in operations and startup costs. They are investing in you. While profit projections and business potential may have heavily influenced their decision, seeing you as a strong leader and your potential is likely what had them yelling, “take my money!”

The bottom line: The investors and shareholders aren’t the only reason you should show strong leadership. Your staff and customers need to see you as a strong leader to get the most successful results for your business. Check out America's Best Bookkeepers

Set Service Goals

Before you even have your grand opening, you should discuss and set service level goals and expectations when your business starts. These service level goals and expectations may need to be adjusted. It would be best if you met with your investors and shareholders to discuss what these service levels should be, and an agreement should be drawn up and put under contract.

The bottom line: Service level agreements are standard practice in businesses that have investors and shareholders. The advantage to the shareholder is that they will know that you are striving to meet this goal and give them peace of mind. As an owner, the advantage to you is that an investor can’t move the line or push for higher service levels, which protects you and your staff from unreasonable goals.

Understand Your Investors

The best thing you can do for your investors and shareholders is to understand they are people just like you. They are not on some other plane because they have money to invest in your business or maybe more business savvy from experience. They are a person that is looking to make solid investments and who wants to see success and growth.

The bottom line is that investors and shareholders are not any different from you, so don’t treat them as though they are. Use the golden rule with some business modifications, treat and inform your investors like you want to be treated or informed.

Check out America's Best Bookkeepers About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity. Check out America's Best Bookkeepers
Digital Marketing - Complete Controller

The success of any company, no matter the size, lies in its profitability. How to reach profitability will depend on what stage the business has achieved. The plan of attack will be different for a business at start-up from a business that has been around for many years. Regardless, every small business has a greater chance of growth, depending on how much effort gets put into making a profit. In this digital marketing and social media era, a small business owner can maximize their sales and marketing strategies with little to no cost, no matter what stage of maturity the business has achieved. Here are some ways to maximize profits through digital marketing. Check out America's Best Bookkeepers

Audience

Before launching any successful digital marketing campaign, you must determine who your target audience is to purchase your product or services. The factors you need to consider are age, gender, and region. Some products and services don’t have specific targets that fall in all three of those areas. For example, those in need of a plumber won’t need to be a particular age-range or gender, but they will need to be in the same area of the plumber they hire. While feminine products will have a specific gender and age range, the region won’t have any impact. Knowing your target audience will ensure that your digital marketing reaches those people with the most potential to bring business your way. Check out America's Best Bookkeepers

Content

Once your audience is determined, it’s time to build content. Content can be anything from Tweets of 160 characters or less to keyword-heavy blog posts on your website. The most crucial factor to remember is that the purpose of content is to drive people to your product or services. When composing posts or ads, keywords are the primary focus. Also, adding eye-catching visuals when possible can boost the effectiveness of your content. It needs to be thoughtful as far as how it will positively impact your business and other goals like shareability.

Social Media Platforms

When it comes to marketing, people might think more is more, but that is not necessarily true. If you are a business with a large and well-funded marketing department, you can afford to post on every social media platform that exists. But small to mid-sized businesses must be more thoughtful and choose a few platforms on which to work. The fab four to focus on would be Facebook, Instagram, Twitter, and YouTube. Other sites to consider would be Snapchat and Pinterest. Both of those had a substantial market share among social media platforms a few years ago, but they have tapered off in popularity. The four mentioned have remained strong, with no signs of slowing down any time soon. Therefore, they are where you should focus your primary digital marketing strategies. Check out America's Best Bookkeepers

Emailing

Emailing is still a strong contender when it comes to digital marketing. Some services will assist you in launching email campaigns, but you still have to understand your target customer. A successful email marketing strategy will drive customers in and not away. If a customer subscribes through your website or business page, they expect to have occasional updates, not daily inbox stuffing emails they will delete. Most customers are comfortable with weekly or biweekly emails featuring relevant content.

Conclusion

Every business has its success measured by profits. To create success, you must focus on digital marketing strategies. Focus on your audience, content, social media platforms, and other digital marketing options such as email, and you will see your business grow. Most effective digital marketing efforts cost little to no money thus protecting profits while making them expand.

 

Check out America's Best Bookkeepers About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity. Check out America's Best Bookkeepers

Business Communication Connection People Concept
Hiring a good accountant or bookkeeper is your secret weapon for faster growth and they can truly add real value to your business. Besides helping you to manage your accounts, they will help you grow your company with better financial decision making, employ legal tricks to minimize your tax bills, reduce accounting errors and save you a lot of time on admin.

Most MNCs (Multinational Corporations) have in-house accounting teams usually working around the clock all year to ensure that taxes and other corporate debt(s) are paid on time, salaries and bonuses are being disbursed, profit potential is evaluated, financial reports are created and balanced-out, and the growth is managed successfully. It is the job of a good accountant/bookkeeper to get things moving in the right direction, resolve all financial discrepancies, and make sensible monetary projections year-round.

On the contrary, small-scale businesses, are also now looking to hire the services of professional accountants because they know they can only grab a significant market share and survive in the competitive market if their financial equation is favorable. It doesn’t matter whether you’re in the initial phases of business creation or have an established business, the need for hiring a pro-level accountant never dies. Your accountant and/or bookkeeper is the backbone of your business and, undoubtedly, your secret weapon for faster growth. Any small-scale business with a sound game plan and business execution strategy can expect to reach the top in no time if the business has a good accountant to look after its financial operations.

Planning and Forecasting Your Cash Flow

Planning and forecasting prior to decision-making makes sense but, once you start to take a ride on the sinking boat, it isn’t helpful at all. Businesses—small or large, almost always strive to achieve a perfect balance in cash flow, especially when they structure the operations of business on a DIY accounting model. The influx and outflow of cash have to be maintained properly or else the lack of effective financial management can be fatal to the future of your business. On the other hand, a good accountant and bookkeeper can make your business move in the right direction and help you achieve faster growth. A professional accountant with superior bookkeeping services will help you in better financial decision-making which will allow you to succeed in a very short span of time.

Reduction in Taxes and Financial Discrepancies

Professional accountants and bookeepers have superior accounting knowledge, skills, and experience which helps them to stay on the top of cash flow, taxation rules and regulations. They know the tricks to handle tax-related issues and help you reduce them, up to a great extent. Hiring a good accountant is more of a need than a desire because, without them, you cannot expect to achieve faster growth or strategic goals. The theory of tax reduction is quite simple, the more relief you can claim, the more you save, the faster you grow.

Sharpen Your Focus

Obviously, hiring a professional bookkeeper allows you to focus on the core business operations, which ultimately sharpens your focus. Small-scale businesses usually do everything on their own—from conceptualization of ideas to business establishment to managing their finances. However, little do they know, they can help their business to achieve faster growth if they define a way to manage their finances well. For that, a good accountant or a professional bookkeeper seems like a fair choice as they help you with better decision-making, reduce accounting errors, and find financial discrepancies.

Compare Your Numbers with Industry Benchmarks

It is the duty of a good accountant to let their clients know about their current financial standing and what financial decisions they have to make if they expect to achieve faster growth and success. KPIs (Key Performance Indicators) are a good starting point to know whether you are performing better or worse and what possible measures you can take in order to keep the financial equation favorable. Comparing your numbers with industry-specific benchmarks helps accountants sketch a clear picture of your financial standing for suitable measures.

Check out America's Best Bookkeepers

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual accounting, providing services to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks file and critical financial documents in an efficient and secure environment. Complete Controller’s team of  US based accounting professionals are certified QuickBooksTMProAdvisor’s providing bookkeeping and controller services including training, full or partial-service bookkeeping, cash-flow management, budgeting and forecasting, vendor and receivables management, process and controls advisement, and customized reporting. Offering flat rate pricing, Complete Controller is the most cost effective expert accounting solution for business, family office, trusts, and households of any size or complexity.

U.S. currency in a bull market.
We have put together the most tactful ways to use your acquired funds and obtain complete benefits of rapid growth and development of your small business.

1. Innovation of Current Products or Services

Invest your funds to innovate the products/services of your company to attract new customers and commit the old ones. Know what your potential customers expect from you. Be honest and loyal to your customers. If you are successful in satisfying your customers, they will definitely come back to buy your product/services. They will refer friends and family members, too. 

2. Participate in Trade Shows

Invest your new funding to participate in trade shows. This is a great strategy to utilize funds. Trade shows usually attract customers by grasping their attention. Select carefully where and when to market your product in a trade show.

3. Expand your Market

Invest money into reaching new markets. Make your product available to new customers by opening new stores at outreach stations or even pop-up shops.

4. Market the Product

Use strategies to market your product. Use advertisement through television commercials, billboards, banners, and social media like Facebook and Twitter to target people of all ages which will eventually bring in more capital.

5. Conquer a Niche Market

A niche market is the targeted and focused portion of the market where other businesses are failing to fulfill customer needs. Focus and invest here to win the battle in the niche market.

6. Payoff Debts

Invest your new funds in order to payoff debts. The less the debt, the higher the credit scores. The money saved from monthly interest rates can be utilized in fulfilling other business requirements. Keep an eye on your bookkeeping records for paying off the debt.

7. Modernize Equipment

Use funds to replace broken equipment as soon as possible to avoid delaying orders and services. With better equipment, your orders will be completed on-time, resulting in an increase in the trust and quality of your company. This will give a much needed boost to your business.

8. Beef Up Technology

Investing in the right technology provides you with critical insights of customers and possible prospects. It will provide protection from a hacking disaster due to data loss that may cripple your business. Invest in CRM (customer relationship management) software to keep track of potential customers and purchasing history. The customer is your most valuable asset for your small business and, by targeting this asset efficiently, sales will be increased. CRM is an online accessible software. An investment in a subscription fee of such software will give a great boost to your small business.

9. Franchising

Franchising gives a fast boost to your small business. It is a method to expand your market/business. The product is distributed more widely to meet the increased demand of customers. Before franchising, a market analysis should be done. Know what the customers’ demands are and what the regulatory requirements are.  These will need to be analyzed thoroughly before franchising.  Franchising will help in capital expansion, quick market penetration, and ultimate growth of the business.

10.  Exporting

Boosting your business by exporting your product is one of the crucial methods for growing a business. Invest your money and time wisely to reach international customers. First of all, search the top three international markets where your product or service will gain maximum profit. Make an accurate analysis of the market conditions in these three countries. Also, determine the pros and cons of marketing your product in these markets. Prioritize these three countries, according to your previous findings. Now, start the business in the most favorable country. Don’t move to the second one until at least six months have passed.

Bottom Line

With new funds, there are so many options out there on how to use them.  Be wise and calculative of your decisions so that you create the best possible circumstances for your growing business.

Check out America's Best Bookkeepers
About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual accounting, providing services to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks file and critical financial documents in an efficient and secure environment. Complete Controller’s team of  US based accounting professionals are certified QuickBooksTMProAdvisor’s providing bookkeeping and controller services including training, full or partial-service bookkeeping, cash-flow management, budgeting and forecasting, vendor and receivables management, process and controls advisement, and customized reporting. Offering flat rate pricing, Complete Controller is the most cost effective expert accounting solution for business, family office, trusts, and households of any size or complexity.

debt free concept - text in vintage letterpress wood type on a digital tablet with coffee and pastry
Business debt is taken by an entrepreneur to use in funding huge purchases that they would not be able to afford under normal conditions. A debt arrangement means that the borrower is given money under the condition that borrowed money will be paid back at later dates. The majority of the time, this is paid back with high interests. There can be different types of loans. Debt can be issued either to an individual borrower or to a business. 

A service company is also a business, however it provides services instead of physical goods or products. There are various categories of service companies. An accounting firm, which performs audits of other companies, prepares income tax returns, and provides bookkeeping services to another company, is a good example of a ‘service company’.

Impacts of Debt on your Service Company

Bankers and lenders will be more than interested to provide loans with interest to your service company. They will ask for your personal guarantee of a debt. This debt will work like a handcuff for you. Even if your service company fails, the lenders have all rights to receive the money back for the loan from you, personally and legally. A few of these lenders who give away loans to small sized businesses will take payments from your business checking accounts.

On a big scale, if a service company is growing fast and a small loan is taken with a low interest rate, it is not necessarily a bad thing to do. An affordable debt is a good choice in certain cases when running a service company. But, consider all pros and cons before the initiation of a loan taking process.

Grow your Service Company Debt-Free

  • Reduce expenses.
  • Do not mix your personal finances with your business account. Start paying for the things you need, not want.
  • Sacrifice the fast track for slow growth. Many entrepreneurs want to grow their businesses by leaps and bounds in no time. A small service company will grow more slowly without debt, but a debt-free business is still a better option.
  • Never miss a chance to pick customers who give gross margins to your service company.
  • Know the exact cost of the services you provide to your customers. Never compromise on the price or your company will either dissolve or will go into debt.
  • Keep a strong handle on your business bookkeeping.
  • Business operations must be routinely carried out for all companies including service companies. Keep all accounting statements up to date and know where you stand at all times.
  • Use your budget wisely.
  • Never spend all of your gross and profit margins. Fix a percentage of 30-40% of gross margin and 10% profit margin. Only spend in this range from gross margins. Do not distribute profit all at once among shareholders. You will need much of the cash to fund the growth of your service company.
  • Stay sharp with your business situation. Use accounting software to keep an up to date accounting system.
  • Credit cards should be minimally used in small-sized businesses as the loans will pile up quickly.
  • Do not select your prices out of fear of going into debt. Know the actual cost of the services you provide and price accordingly. Overpricing may become a cause of losing customers.
  • Company leaders must be efficient, smart, and confident in sales, good at interpretation of accounting statements and fair to their employees. Such a service company will grow successfully.

Conclusion

Bigger is not always better. A debt-free and profitable service company is better. Service company owners must keep the debt financing option as the last priority and when it is actually needed. Debts halt the growth of small businesses. A service company ideally needs no debt to get started. Without debt, the growth of the business may possibly be slower but it will still be profitable. Using valuable strategies and techniques will grow your service company debt free. 

Check out America's Best Bookkeepers
About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual accounting, providing services to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks file and critical financial documents in an efficient and secure environment. Complete Controller’s team of  US based accounting professionals are certified QuickBooksTMProAdvisor’s providing bookkeeping and controller services including training, full or partial-service bookkeeping, cash-flow management, budgeting and forecasting, vendor and receivables management, process and controls advisement, and customized reporting. Offering flat rate pricing, Complete Controller is the most cost effective expert accounting solution for business, family office, trusts, and households of any size or complexity.

 

 

 

 

Human Hand Drawing Leadership Concepts
How do you feel when you see your company’s progress and all of the profits you receive after a lot of hard work? Let me tell you one thing, profits are one of the main elements that affect your company’s progress.

In order to maintain your company’s progress, key performance indicators (KPI) help you assess your business’ success and build strategies in achieving your goals. As a business owner, you must keep track of your KPIs, as they affect your company’s progress.

We have listed seven of the most important KPIs for small business owners that can help you identify your business progress.

1. Gross Profit

The main element for every business is its profit. If your business is spending more on suppliers and netting less in sales from customers, then it is high time to change the strategy of your business. To find out your company’s profit margin, multiply your gross profit by 100; divide it with your sales.

 It is extremely important to keep track of this KPI as it will tell you how much profit you are generating contrary to the amount paid to suppliers. If your business’ profit margin is increasing, then continue with your strategy. However, if you see a decrease, it means that you need to reduce your company’s extra costs like utilities or wages or increase the cost of goods.

2. Flow In and Flow Out

This is one of the most important key performance indicators for small businesses. Flow in and out helps business owners assess whether their sales and margins are appropriate or not. The first step is to estimate your sales for each week and month. Once you have an idea of what your sales history looks like, estimate your payment timings and likely costs. Generally, this process covers 12 months which is why it is also called Cash Flow Forecast. It also helps in tax preparation, new purchases, or identifying any cash surpluses. For example, if you plan to purchase any equipment for your business, you add the cost into your forecast. The new statistic will tell you whether purchasing the equipment will help your business in profits or not.

 3. Revenue Ratio

A company’s revenue depends on the company’s profit or sales growth. If your business income or sale is increasing, it is obvious that revenue rate is also increasing. To ensure your company is progressing well, make sure to check the difference between the revenue growth rates of the present year from the previous year.

4. Inventory Gross

Inventory gross tells the company how much inventory it has sold over time. It is important to keep track of your inventory, as it will help you plan any adjustments, if needed. 

5. Funnel Analysis

Funnel analysis allows you to see how users move through a series of steps. It is a great way to keep track of where users are dropping out – known as the funnel drop off rate. It tracks the number of visitors who left the conversion process (funnel). The conversion process depends on what type of business you run. Examples of conversion could be a shopping cart, subscriptions, and more. Once you identify where customers are dropping out, make strategies to boost your sales. In this technology age, many businesses rely on the internet as a sales tool, due to which, funnel drop off rate has become a key performance indicator to track.

6. Accounts Payable Rate

If you want your business to continue operating, make sure that you have paid all of your suppliers. Accounts payable measures the cost given to suppliers. For most business owners, it is hard to track all of their financial transactions. To make your life easier and ensure there are no errors in your company’s accounts, it is wise to hire someone to overlook your bookkeeping. This key performance indicator will help you identify whether you have to reduce the spending on suppliers to boost the company’s future profits.

 7 .Market Share

The purpose of this KPI is to access a company’s success and position in the market. How is your business performing compared to your competitors? This is the only KPI that needs regular tracking. If you do not know how your company’s progress looks like compared to others, then it is impossible to make any changes in the strategies and policies.

Check out America's Best Bookkeepers
About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual accounting, providing services to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks file and critical financial documents in an efficient and secure environment. Complete Controller’s team of  US based accounting professionals are certified QuickBooksTMProAdvisor’s providing bookkeeping and controller services including training, full or partial-service bookkeeping, cash-flow management, budgeting and forecasting, vendor and receivables management, process and controls advisement, and customized reporting. Offering flat rate pricing, Complete Controller is the most cost effective expert accounting solution for business, family office, trusts, and households of any size or complexity.

 

 

Adult man with beard and tattoo working in carpenter workshop using power tools
An Independent Contractor is a person in business who provides services to another person or a business, but is not an employee of the business firm. The independent contractor may also be called a freelancer. Independent contractors can be consultants, agents, professionals or technical staff.

When a business-oriented person or firm provides services to other individuals or companies, this is called a contractor business. It can be a short-term contract between the two parties or this contractor business can be made on longer terms, growing and long-lasting. The contracting entity is called a contractor.

Benefits of a contractor business:

Contractor businesses are a necessity, not only in the economy, but also to many offices and homes.

Building a contractor business is a great career opportunity. It is important to establish a formal business unit that will grow your business before getting clients. With a firm plan in place, you will be able to focus on providing services, not covered up with concerning legal issues. 

Strategies for a long-lasting contractor business:

  • There should be a well-managed system in place for managing business operations, bookkeeping and all business activities. If there is no effective system in place, then important tasks can be overlooked. If there is a well-established system, you can focus on growing your contractor business.
  • Once the business is established, start working on internal assessments. Carry out regular business operations. Carry out, from internal business assessment programs to reaching out to customers and knowing their satisfaction levels about your business. Work on getting a high rating for your business.
  • Social media websites and tools are an easy way to assess customers’ expectations and demands. Surveys can be conducted to know the rating of your business.  It’s also a great way to market your services.
  • Take the time to talk to your employees as well as customers. A proper liaison ensures better outcomes in the long run.
  • Always respond to your customers. Take time to response, if needed, but make sure to respond as much as possible. Responding doesn’t have to mean being on the phone all day. There can be various other ways such as complaint boxes, email accounts, social media activities, and personal meetings with the clients.
  • Clients that give a huge margin must be dealt with personally to ensure their satisfaction with your services.  Treat them well and they will keep coming back for more of your services.
  • Promote your services with marketing techniques. It does attract more and new customers. However, it also attracts and sustains your current customers.
  • Facebook is an easy and inexpensive way to reach customers by creating a registered Facebook page. Facebook is used by billions of people around the world. Using the tools on Facebook can allow your marketing post to reach millions.
  • Attract more financing. Business financing can be found through personal funding, debts, investors and other options. As an entrepreneur, it is your duty to decide which option is best for you. 
  • New entrepreneurs always need assistance throughout their year-round business operations. Take advice and study their pros and cons. Sometimes you will need to hire a consultant on such matters such as bookkeeping.
  • Hire people who are capable and interested in your contractor business.
  • Keep a close eye on your business bookkeeping. Your finances must never get out of hand. Expenses must be supervised and rationalized.
  • Even though you are a contractor business, you should be audit-ready which means an up to date accounting system.
  • Outsource the business. Make contracts with other firms to grow your business. For example, contract with another accounting firm for all of your accounting and tax filing.
  • Always know the actual costs of your services and make your profits accordingly. Prices that are too high can make your customers turn away and prices that are too low will make the business go into a loss. The prices must be profit yielding but services must be according to customer’s demands.

Conclusion

A contractor business is a great opportunity, not only for the individual entrepreneur, but also for the economy as a whole. Entrepreneurs/large corporations continually take advantage of contractor businesses as their needs expand. For running a growing and long lasting contractor business, entrepreneurs must be aware of the best business practices. You can adopt strategies to keep growing your contractor business and ensure that it will take you well into the future.

Check out America's Best Bookkeepers
About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual accounting, providing services to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks file and critical financial documents in an efficient and secure environment. Complete Controller’s team of  US based accounting professionals are certified QuickBooksTMProAdvisor’s providing bookkeeping and controller services including training, full or partial-service bookkeeping, cash-flow management, budgeting and forecasting, vendor and receivables management, process and controls advisement, and customized reporting. Offering flat rate pricing, Complete Controller is the most cost effective expert accounting solution for business, family office, trusts, and households of any size or complexity.

 

Businessman working using laptop computer with strategy and growth of business on screen
An outsourced accounting firm is one of your most vital vendors. They are responsible for reducing your tax bill, performing all tasks related to bookkeeping, and warning you of potential financial hazards. Properly managed finance allows you to reinvest in your company’s growth, which is probably the goal of every business. As your business grows, you may likely need a new accounting firm that will be able to cope with your scale of operations.

The job of an accounting firm is more than just filing tax returns or looking after your books. It is supposed to be your strategic partner, helping you in tough situations and guiding you towards new and better opportunities. Being such an integral part of your business, it can be hard to recognize the need for consulting a new firm as your business grows. However, there are a few signs that can help you decide when it may be time to hire a new accounting firm.

You are not taken seriously

When you cannot get on the phone with your accounting firm, it is time to realize that the firm is too large to handle your unique needs. You never want to be the smallest client of any firm, as you will not get their full attention because of their profitable dealings with larger clients. Only a few firms maintain the same standard for every client, which are quite rare. When such a situation arises, chances are that something could go wrong with their work because it’s very easy to miss one critical detail in tax documents. This can lead to a quite stressful situation and calls for the need of a new accounting firm.

Lack of interest

If a situation arises and you have to explain your business operations to the firm every time you are in a meeting, it is time to get rid of them. It means that either you are a small client or your business is too complex for them to handle. Also, if they had not checked in with you for quite a while and you have to be the one to reach out every single time, you are probably better off without them. The right firm for you will stay in contact throughout the year and help you make important decisions regarding the future of your business.

When you continually find mistakes

Because of the fact that you are spending your useful resources to hire a firm’s accounting services, it is their duty to ensure everything is in place. However, that is not always the case and you may start finding mistakes in the delivered work. Don’t expect everything to be perfect just because you have hired a firm to look after your accounting issues. Instead, do regular checks and, even without an accounting degree, you will be able to spot some basic errors as you gain experience. When mistakes continually happen, this is the time to look for an alternative option and find a new accounting firm that can handle the tasks for you.

Lack of ideas to ease the tax burden

The key to haling taxation issues is being proactive and taking control of matters before they go out of control. Breaking down your business into subdivisions can help you identify the areas that can be focused upon to save you from a heavy tax burden. This is just a basic approach and every firm may have its own tactic. However, if you do not feel that your current accounting firm is really interested in that matter, you must break ties with them quickly. You have to give yourself enough time to find a new accounting firm and for them to understand your business operations. After they are aware of the numbers and other critical matters, they can proactively guide you towards lesser tax burdens.

Only the most basic deductions are presented

Your business is entitled to many deductions and your accounting firm should be able to identify all of them, not just basic ones like healthcare and child deductions. Your priority should be to improve the cash flow of your business to ensure that you cater for deductions such as a depreciation expense of new corporate assets. Filing to cater to them will unjustifiably place them of your records, which is bad for business. If your current accounting firm fails to cater to serious deduction matters, it’s definitely the time to look for a new accounting firm.

You are their largest client

It is neither advantageous to be the smallest nor the largest client of an accounting firm. Once your business grows to a certain level and you become the largest client of an accounting firm, it probably means you must go up the ladder. This implies that your operations now require professional services and a more qualified accounting firm, which will be able to handle things more effectively. An experienced firm is better equipped to handle clients such as you.

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About Complete Controller® – America’s Bookkeeping Experts
 Complete Controller is the Nation’s Leader in virtual accounting, providing services to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks file and critical financial documents in an efficient and secure environment. Complete Controller’s team of  US based accounting professionals are certified QuickBooksTMProAdvisor’s providing bookkeeping and controller services including training, full or partial-service bookkeeping, cash-flow management, budgeting and forecasting, vendor and receivables management, process and controls advisement, and customized reporting. Offering flat rate pricing, Complete Controller is the most cost effective expert accounting solution for business, family office, trusts, and households of any size or complexity.

 

 

 

 

 

 

 

 

 

American businessman holding a suitcase while flying with clouds shaped upward arrow
Growing your business is a tough job. You have to look for appropriate ads, content, UX, conversion, email capture, newsletters, SEO and social media. It can all become a huge, disordered heap of growth strategies that leave you confused with no end goal in sight. A growth strategy includes more than simply foreseeing long-term success. If you don’t have a perceptible plan, you’re truly losing business or you’re increasing the chance of losing business to contenders.

The key to any growth strategy is to be deliberate. Figure out the rate-limiting step in your growth and pour as much fuel on the fire as possible. For this to be advantageous, you need to take the following steps:

1. Institute a Value Proposition

For your business to withstand long-term growth, you must understand what sets it apart from the opposition. Ascertain why customers come to you for a product or service. What makes you relevant, distinguished, and credible? Use your answer to explain to other customers why they should do business with you.

2. Identify your Ideal Customer

You got into business to solve a problem for a certain audience. Who is that audience? Is that audience your ideal client? If not, who are you attending to? Pin down your ideal purchaser and relapse back to this audience as you adjust the business to arouse growth.

3. Define your Key Indicators

Alterations must be quantifiable. If you’re unable to measure a change, you have no way of knowing whether it’s operative. Identify which key pointers affect the growth of your business and then dedicate time and money to those zones.

4. Verify your Revenue Streams

Once you identify the probable for new revenue streams, ask yourself if they’re sustainable in the long run. Some great thoughts or cool products don’t necessarily have revenue streams attached. Be careful to isolate and understand the modification.

5. Look to your Competition

No matter your business, your opposition is likely excelling at something that your company is struggling with. Look toward similar companies that are growing in new, innovative ways to inform your growth strategy. Don’t be afraid to ask for advice. Ask yourself why your contenders have made alternate choices.

6. Focus on your Strengths

Occasionally, concentrating on your strengths rather than trying to improve your weaknesses can help you establish growth strategies. Reorient the playing field to suit your strengths and build upon them to grow your business.

7. Invest in Talent

Your employees have direct interaction with your customers, so you need to hire people who are motivated and inspired by your establishment’s value proposition. Be cheap with office furniture, marketing budgets, and holiday parties. Hire few workers, but pay them well. The quality ones will usually stick around if you need to cut back their compensation during a slow period.

8. High-ROI Acquisition Growth Strategies

An acquisition is the most significant yet most expensive aspect of your growth, in terms of both budget and time. Ads aren’t cheap and ad platforms are abundant. Targeting the right audience in the right place with the right budget seems like an impossible task to start with, much less actually designing the ad.

Conclusion

You need to adapt your plan to smooth out your business’s inefficiencies, improve its strengths, and better suit your customers. Your company’s data should lend itself to all of your strategic decisions. Specifically, you can use the data from your key indicators and revenue streams to create a personalized growth plan. That way, you’ll better understand your business and your customers’ nuances, which will naturally lead to growth. A one-size-fits-all strategy implies vague indicators. But a specific plan is a successful plan. When you shape your growth strategy to your business and customers, you’ll keep your customers happy and fulfill their wants and needs, which will keep them coming back.

Developing a growth strategy isn’t a one-size-fits-all process. In fact, due to changing market conditions, making strategic decisions based on someone else’s successes would be foolish. That’s not to say that you can’t learn from another company, but blindly implementing a cookie-cutter plan won’t create sustainable growth.

Check out America's Best Bookkeepers
About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual accounting, providing services to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks file and critical financial documents in an efficient and secure environment. Complete Controller’s team of  US based accounting professionals are certified QuickBooksTMProAdvisor’s providing bookkeeping and controller services including training, full or partial-service bookkeeping, cash-flow management, budgeting and forecasting, vendor and receivables management, process and controls advisement, and customized reporting. Offering flat rate pricing, Complete Controller is the most cost effective expert accounting solution for business, family office, trusts, and households of any size or complexity.

 

 

Businessman plan growth and increase of positive indicators on dark background
Business growth and profit increase can be achieved by implementing four simple and effective strategies.

1. Professional Growth

Professional development or professional growth is one of the main strategies a businessperson should adopt to ensure a high business success rate. Professional development refers to the setting of goals and strategies for a company and then measuring outcomes based on those goals. It requires continually motivating staff and staying focused on business success.

Professional development is crucial for all types of businesses. A businessperson should spare time to research and learn their field of business. What is required by the customers? How can the best product can be sold to your valuable customers? This study will help a lot in the future by making customers rely on your products. You will win the trust and loyalty of your customers. They will not only come again for purchasing your products or availing your services, but also refer others to your company.  Referrals from satisfied customers are key to earn steady money and grow your business.

These strategies will ultimately lead to increase in profit graph and the rate of business success.

2. Top Notch Quality Products at Competitive Prices

Selling top notch quality products or services at competitive prices is also significantly beneficial for business. A high quality in products and services is required by all customers but, at the same time, most customers wish to buy them at the same prices as those of others in the competition. 

Quality requires intensive research, homework, and management. Take time to analyze the market trends and what other competitors are providing. While making strategies for selling high-quality products at competitive prices, study your bookkeeping records thoroughly. Bookkeeping will help you with profit margin analysis.

Profit margin means that the revenue from sales is more than the expenses/costs of the product. Research and study the methods to decrease the cost of products without compromising the quality. In this, you don’t need to raise the price of the product to increase the profit margin. Ultimately, you will win the war against products of the same quality but with the higher prices.

3.  Establish and Maintain Excellent Customer Service

The customer is the most valuable and central point of every business who must be focused upon while formulating strategies to improve the business success rate. Establishing and maintaining excellent customer service is a critical step of a successful business plan. Customer services require that all customers are equally valuable and you have to understand the expectations of customers. Your products and services should fulfill the needs and wishes of customers. All customers should be dealt with respect and attention. Communication with customers should be effective and available when they need your assistance.

A customer’s issues should be resolved promptly and feedback should be asked for. Everyone should feel that their opinion is valuable. When you ask customers for their opinions or suggestions, they feel valuable and privileged to be customers of such a high standard company. Take their opinion as advice for improvement and make adjustments. In the case of any loss or damage, a compensation policy should be there for customers.

Happy customers are assets of a successful business and should be tracked by using CRM software. This software is used to track sales and transactions with customers.

4. Use of Technology – Key to Success

Use of technology in all fields has increased intensively. Young generations specifically adhere to this innovation. Wise business owners are using this tool to succeed in their field. 

Create Facebook and Instagram pages to share your new product and updates for easy and prompt promotion. The content of your website should be updated and informative. Catchy content and graphics will pull visitors which may become your potential customers after getting regular updates from your social media platforms.

Conclusion

Continuous efforts to implement the above-mentioned strategies will increase profit and ensure business success.


Check out America's Best Bookkeepers

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual accounting, providing services to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks file and critical financial documents in an efficient and secure environment. Complete Controller’s team of  US based accounting professionals are certified QuickBooksTMProAdvisor’s providing bookkeeping and controller services including training, full or partial-service bookkeeping, cash-flow management, budgeting and forecasting, vendor and receivables management, process and controls advisement, and customized reporting. Offering flat rate pricing, Complete Controller is the most cost effective expert accounting solution for business, family office, trusts, and households of any size or complexity.