Monthly Archives: June 2022

Top 5 Financial Tips for New Business Owners  

Starting your own business has got to be one of the bravest things you can do. Not only do you need a brilliant idea and strategy to make it work, but you also need funding to keep it running.

Once you do set it up, however, you’ll feel like you’re on top of the world. The next thing to ask then is: how do you stay there? In order to stay in business, you need to make sure your operation is on point. That, and that you’re handling its finances well.

 Here are 5 financial tips from Arkhat Zhumadilov that can help you and your new business:

 Create a Financial Plan 

Having a financial plan helps you better navigate the ins and outs of budgeting and spending that the company needs in order to keep running. Setting a budget–with some room for flexibility–can help you anticipate the needs of the company, as well as ensure that you have enough to cover all the basic costs of operation. It also allows you to project into the future and prepare for whatever expansion or diversification you might have in mind.

Set Up AutoPay for Bills 

You’re a busy entrepreneur, sure, we get that. Sometimes, things just get so hectic, that a thing or two falls through the cracks. And that’s fine, whatever that is. As long as it’s not your bill payment says Arkhat Zhumadilov of Spring, The Woodlands, and Montgomery County in Texas..

You wouldn’t want to experience any disruptions because your bills were left unpaid, especially if the service provided directly impacts your business operations. That’s why you need to set this up in autopay.

Review and Analyze Financial Data

Knowing the ins and outs of your business finances is crucial to keeping it healthy. Arkhat G. Zhumadilov says staying on top of it can be tedious, though, which is why it’s advisable for you to hire a professional that you can trust and rely on completely.

With regular analysis of financial data, you can immediately see where and how the cash flow is going. Any irregularities or questionable activities can then also be addressed as soon as possible. Having eyes on your financial data allows you not only to be reactive but also be preemptive.

Don’t Be Afraid of Loans

Loans are good for business, especially if you need extra help to improve operations or expand the business explains Arkhat Zhumadilov. While it can be intimidating, it doesn’t have to be scary. As long as you stay on top of payments (set it up on autopay!), having loans in your portfolio can even show potential investors that you do know how to handle your finances well, and so can be trusted with theirs.

Protect Personal Finances

It’s one of the most common horror stories entrepreneurs have: they lose their business money and their personal money. Ideally, you should keep them separate from each other. Any loans taken out for the business should be paid for using business funds. Liabilities should also be kept to the business as well.

Arkhat G. Zhumadilov advises considering setting up your business as a limited liability company (LLC) or an S corporation. These types of business set-ups protect the individual owners from any liabilities the company may incur later, in case things go sideways in the business. Without this layer of protection, personal assets and finances can be exhausted in order to answer for the business’ obligations.

Follow these simple financial tips so you can run your business more efficiently and successfully. Good luck!