What is entrepreneurship? Anyone who’s ever tried it will attest to the fact that it’s about doing a lot of things really well and making the right decisions at the right time. It requires an awful lot of hard work and dedication too, with long hours worked and sacrifices made.
Irrespective of the sector you work in, money matters. As any entrepreneurship course will tell you, managing your cash flow represents one of the cornerstones of success. So, if you need to up your game when it comes to your finances, we’ve got 5 handy tips to help you along.
Tip #1 - Make Sure You Pay Yourself a Wage
Do any kind of online studying into business money management and you’ll quickly understand the need to pay yourself an income. This needs to become a habit from the outset and while it doesn't necessarily have to be a huge amount, to begin with, you should have enough to live on at least. It might look better on your profit & loss sheet if you don’t take a wage, but you and your family need to eat too!
Tip #2 - Understand Where You Are Financially
While this probably sounds like an obvious bit of advice to provide, you might be surprised about just how many small business owners don’t have a precise idea about where they stand financially at any given time. Having up-to-date accounts puts you firmly in control, allowing you to base those important financial decisions on facts, rather than assumptions.
Tip #3 - Don’t Tie Up Money You Need Now
Something else entrepreneurship short courses will teach you is that you should keep your powder dry and by that we mean avoiding tying up money you need now. It could seem like a good idea to enjoy a great savings rate or pay down your mortgage, but that shouldn’t come at the expense of your ability to access funds quickly when you need to. Cash flow is a key factor that causes some businesses to fail.
Tip #4 - Have a Savings Plan That’s Separate
As the old saying goes “don’t put all your eggs in one basket” and that certainly applies to working for yourself. The going might be good now for your business, but who knows what tomorrow might bring and it always helps to have a backup plan. That means having assets and savings that aren’t linked to your business that are perhaps protected from bankruptcy, should the worst happen.
Tip #5 - Log Expenses & Income the Day They Happen
You don’t need to engage in an entrepreneurship course to know that procrastination is bad for business, but when you’re working long hours every day, it can be easy to have a mañana approach to logging expenses and income. However, the longer you do this, the easier it is to forget things you’ve bought for the business, meaning you end up paying more tax as a result.
Enjoy Flexible Entrepreneurship Short Courses From OCA
What is entrepreneurship? Perhaps the question should be what is entrepreneurship to you? Is it a way to change your life and enjoy a successful future with the freedom that comes with it? If it is, we’re here to tell you that flexible online courses like our Entrepreneurship Certificate represent the easiest and most affordable way to get the vital skills you need - like money management.
This, like every course in the OCA library, is video-based for easy digestion, CPD-approved and created in conjunction with leading industry experts who really know their stuff. To find out more about this and more, why not visit us today at www.onlinecoursesaustralia.edu.au, where you’ll find everything you need to know and more?
Alternatively, to speak directly with us about your online training needs, call us on 1300 611 404 and we’ll be delighted to answer any questions you might have.