ATTAINING THAT PERFECT BUSINESS-ACCOUNTANT PARTNERSHIP
IT’S 2023, BUT ARE YOU STILL PARTNERING WITH YOUR ACCOUNTANT LIKE ITS 2003? GOFI8URE’S LISA MARTIN SAYS A NEW YEAR DEMANDS NEW THINKING ON BOTH SIDES OF THE TABLE.
022 was a watershed year for Gofi8ure. The transformational accounting advisory firm celebrated 20 years in business, and in November its executive director Lisa Martin achieved her long-held goal of becoming a Certified Practising Accountant.
This achievement provided an excellent opportunity to reflect on her own personal and business journey, and how it led to her nationwide business becoming one of the most sought after by SMB owners for advice on financial and accountancy matters.
Achieving a financial goal as a teenager stood Lisa in good stead for both life and business, she believes. By the age of 15 she was holding down four part-time jobs, all the while performing well above average at school.
“If you want something badly enough you have to work for it,” she says. “This applies to business as well.”
Lisa was determined to have the resources she had earnt to subsequently purchase her house and start her own business. And she’s self-funded everything through her own efforts.
This self-determination and discipline still plays out when advising clients too, and with 2023 already shaping up to be a challenging year for business owners, this is especially a good time to sit down with your accountant, she says.
PREDICTIONS AND STRATEGIES
Comparing 2023 to 2022, Lisa predicts “more of the same”, but her advice is don’t just do more of the same with no clear plan. Focus on generating revenue-earning activities. Seek advice about business strategies.
Is your plan to exit the business within the next decade? Then start educating yourself on succession planning.
This new year will have its share of headwinds for businesses, and we’re not just talking about severe weather events. There’ll be recessionary pressures, interest rates will continue to push up inflation, and disposable income will shrink.
The question is – how will these factors impact your business?
Also, how can you keep earning income for the business to survive, and have those tough conversations with staff?
“In the face of all these threats your overarching goal should always be to secure a better financial position. At the end of the day, both you and your business need to be stronger and fitter,” says Lisa.
“So how do you achieve that? Well, ensure that what you own is worth more than what you owe. Your assets may be greater than your liabilities, but you need to know what they are. Can any assets be turned into cash to pay bills?”
Focus on revenue-generating activities so you and your team are as billable and/or productive as possible, isolate any inefficiencies and wastage in your resources, and invoice regularly, Lisa suggests.
“And when money comes in, remember it’s not all yours. Put some aside.”
These are some of the basics around managing cashflow that you simply must get right, she says.
Digitalisation is a word you hear a lot when the subject of business growth is being discussed.
“Digitalisation requires you to take a step back to assess your business, learn what new technology can do for its performance, and then implement and test the technology itself,” says Lisa. “But it may simply be a case of not having the quality time to invest in it due to other commitments. New technology can also put you well out of your comfort zone.
“Therefore, again it’s important to contract outside experts who can take any technology pain away for you.”