If you have been running a business in the UK, you will be aware of the fact that running a business in general and small sized business in particular is a tough task. With each passing day, the economic climate has been changing and getting more complex. In the wake of this situation, you need to be sharper than before to meet the expectations of the customers, control the tight credit conditions and manange the hiking prices of operations.
You fall in the small-sized business category if your company has less than 50 employees and your annual turnover is less than £10 million. This criteria has been set by the UK government’s SME classification. The fun fact is UK’s economy has been dominated by Small-sized businesses as over 99% of all enterprises are small sized businesses.
Outline
- Building Financial Strength
- Local SEO and Virtual Presence
- Automation and AI
- Tax Efficiency and Compliance
- Customer Feedback
- Conclusion
1. Building Financial Strength
If you don’t understand the subtle difference between profit and cash flow, you need to stop and consider your situation; it is the most common pitfall for businesses, especially small businesses. Cash flow refers to flow of money in and out of your account. Whereas, after all the expenditure, the remaining is called profit.
You have to maintain both in order to sustain your growth. Sometimes, you can be a profitable business with pending payments like bills, wages and amount of suppliers because your cash doesn’t flow properly.
At Synergy Tax, we help you create a 12 week cash flow forecast which can give you the true picture of your standing as a business. With our proactive approach, you can decide beforehand about the future expenses credit control.
In addition to this, as an ACCA regulated firm, Synergy Tax helps you control your late payments. It is of no doubt that the UK’s late payment culture has affected many small business enterprises, so you need to tackle this issue seriously. We help you create and implement a clear payment policy so you don’t get late payments. Moreover, you can also use automated invoicing software to keep a check on the deadlines. These softwares can send polite reminders automatically.
2. Local SEO and Virtual Presence
The world has been changing and now people are more digitalised. Whenever they find any difficulty, they turn to Google. If you are running a business, you need to work on your digital presence, especially in your targeted area. Many times businesses get their website built and they feel they have played their part, but reality is a little different. You have to show up at the place where your customers and clients are actually searching. Your Google Business Profile is the simplest and the best way to attract your customers.
Once you create your profile, ask your customers to leave reviews. It is evident from our previous experience at Synergy Tax that small businesses grew faster when they started local SEO. If you want to spend less on your next ad campaign, improve your local SEO.
3. Automation and AI
After the introduction of AI, humans sometimes feel it difficult to meet the pace of AI. Smart automation is the need of the hour. If you start putting efforts on some repetitive task, your time will be wasted, which ultimately will lead to poor efficiency. You can use multiple software applications to schedule your social media updates, emial follow-ups and also you can keep a track of your expenses and late payments.
With each passing day, the expenses of running a small buisness in the UK are going up. Turning to automation not only reduces the burden of extra admin staff, but also it is a cost effective way to streamline the operations while increasing the efficiency.
4. Tax Efficiency and Compliance
If you aren’t keeping track of your expenses, definitely, you will be paying more than you owe in the form of taxes. Every penny counts and you have to keep an eye on your operations to save yourself from overpaying taxes. Tax efficiency doesn’t mean you avoid taxes, rather it means claiming what actually belongs to you.
From travelling fuel to training and courses, you should keep a record of every cost if you want to save yourself from overpaying taxes. Moreover, if you work remotely, you can claim a flat rate even without providing detailed bills. It has also been observed that registering for VAT allows you to reclaim input tax from your purchases
With Synergy Tax Accountant, you can keep track of everything easily, whilst identifying loopholes because of which you have to pay more tax.
5. Customer Feedback
It is often said that good reputation is a key to establishing a profitable business; it can potentially make or break your business. Buisnesses run on trust and nothing can beat online reviews and satisfied customers’ word of mouth in building trust.
Feedback works like a backbone of a business. It builds social proof and make others trust you. Therefore, making customers give their feedback and collecting it should be made easier.
6. Conclusion
It is not always the big steps but multiple small steps that mark the success. If you want to make your small sized business in UK a real success, stop waiting for your resources tk become endless; start using what you have wisely and smartly. By the incorporation of the above steps, you can build a successful business.
As an ACCA regulated firm, Synergy Tax Accountant help you plan taxes, stay compliant, and devise a financial strategy. We ensure that your business grows smoothly and efficiently.
You can contact us on +44 7939 06665 | +44 2045 347991. Also, you can visit Synergy Tax Accountansts and see yourself how we help businesses grow smartly and successfully .