Skip to main content

Effective Planning & Budgeting for Businesses

Christmas is nearly upon us and it is predicted that the UK spend on gifting this year will be in the region of £25.6 billion!!

If you are a UK business owner then happy days, you will enjoy a slice of the pie. 

Whilst the Christmas season will boost your sales, all businesses need to be prepared so that they are not caught out with the January blues when spending declines as consumers close their purses and wallets, to recover from Christmas spending. 

For quite a few industries such as hospitality and tourism, this downturn can last a few months with the joys of Spring & Easter kickstarting sales again.

So businesses need to plan ahead! 

Its really important to create a 12 month plan in readiness of the coming year and this exercise can take some months, to ensure it is a true reflection of i) your goals ii) environmental factors iii) contingency factors

This plan will help you to conserve funds when you are able, so that you can cover your overheads during those times when the business may not breakeven.

This plan will enable you to keep your business going, keep paying your key staff, keep on the good side of your suppliers and continue to provide an income for you. 

Businesses are reliant on staff so you must always make sure that you hold on to those key people who help your business. It can be difficult to find staff sometimes, so if you have built a good team, hold onto it. If you find financially that you need to reduce spending on staff but do not want to lose any member then have a conversation with the staff member and maybe a solution can be reached such as short term reduction in hours.

So hopefully you have a plan in operation and you have a plan for 2022, but if you need help or advice, just get in touch! 

We wish you a very Merry Christmas and a Prosperous New Year.

rgsaccountants.co.uk 

#rgsaccountants #uksmallbusinesses #ukbusinesses #ukbusinessowners 

Comments

Post a Comment

Popular posts from this blog

Income Tax for Individuals - 5 Things You Need to Know

This week’s blog is about income tax for individuals. Now, the realm of income tax is huge so I have picked out the top 5 areas I have been contacted about recently. But if you have an issue in mind that is not covered here, just get in touch and we would be happy to answer your questions.  So what is income tax? Income tax applies to individuals on certain types of income they receive and that could be from a number of sources such as employment, renting a property, selling an assets, income on savings and receiving dividends from companies.  So in the UK we have about 30m employed persons and nearly 6m of SME (small medium enterprises). These small businesses make up 99% of the business population and nearly 17m out of the total 30m employed persons in the UK are employed by those businesses. 1. Employees  Employees care about the tax they pay so they will be concerned about having the right tax codes, so that they are taxed correctly. That they are not overpaying or un...
Post a Comment
Read more

A Little Inspiration

Running a Business requires sacrifices and a realisation that sometimes things are just bigger than ourselves.  If you are a business owner, you must have a vision for the future you want to create. This future may extend to the future of your children so planning, patience and action are necessary.  Read the article (link at the end) for inspiration -  two individuals came to the UK and had a vision. They succeeded in making changes to positively affect the lives of the future, more than their own. One of the granddaughters is Baroness Verma who has continued the vision to make changes for the greater good. So you never know what the ending will be when you start.  So when you feel stuck or overwhelmed, remember those who have walked before you and the challenges they faced AND overcame.  You can do it!  The Founder of RGS is the third generation in business. Her grandfather started life in the UK the same as the two gentleman in the article. He sought to ...
Post a Comment
Read more