Explaining assets and liabilities is my mission in this week's I Hate Numbers podcast, episode 140. It’s not recommended practice, certainly mine, to operate without considering its assets and liabilities.

However, what do these terms actually mean? In this podcast, I'll break down what constitutes a business asset and explain some of the most common liabilities businesses face.  We'll also provide some tips on how to manage your company's finances effectively.  So, if you're looking to get a better understanding of your business' financial standing, read on!

When running a business, it's important to understand the difference between assets and liabilities.  An asset is anything that adds value to your business, while a liability is anything that detracts from it.  In this blog post, we'll take a closer look at what constitutes an asset and a liability and give you some tips on how to manage them effectively.

Summary

Some of the reasons for Explaining assets and liabilities is

• Firstly, looking at the financial health of your company
• Secondly making good decisions for your business
• Thirdly empowering business owners and management

If you're interested in learning more, be sure to subscribe to I Hate Numbers podcasts, where I go into much more detail on all things accounting and finance related.  Thanks for listening!

Good to know

Are you ready to have an easier and more rewarding relationship with your numbers?  My book, I Hate Numbers helps you get there.

This book is based on my 27 + years in business, helping thousands of businesses survive and prosper.  Furthermore, it is an easy, humorous but serious read about running a business, having a financially rewarding relationship with your numbers, Furthermore, my book will help with that battle between the ears, that all business owners experience.

Get in touch with us to help make your life easier and stress-free. Contact us if you need help figuring out and sorting your numbers, creating your future financial story plans, your tax, payroll and other accounting and business matters.

Getting your Finances in Order is key to a successful business.  Find out more by checking out Numbers Know How 

Beating procrastination is a common theme in business. Procrastination is a common problem that affects many businesses, but it doesn't have to be a bad thing. In this week's podcast, I look at

• Firstly, what procrastination is
• Secondly why it happens
• Thirdly, how to reduce it
• Finally talk about the positive side of procrastination.

What Is Procrastination?

Procrastination is the tendency to avoid or delay necessary tasks or decision-making. It often comes from fear of failure, lack of motivation or interest in the task, or simply too many distractions. Procrastination can also be caused by negative self-talk from believing you can’t do the task or won’t make good decisions with it. In business settings, procrastinating on tasks can lead to missed deadlines and decreased productivity.

Why Does It Happen?

There are several reasons why people procrastinate. Common reasons include

• fear of failure
• lack of motivation and interest in the task at hand
• perfectionism (striving for unrealistic goals)
• anxiety about making decisions
• believing that you don’t have enough time to complete tasks in a timely manner.

How To Reduce Procrastination And Increase Productivity In Your Business:

There are several ways to reduce procrastination in your business and increase productivity so that tasks will get done on time. One strategy is breaking down large projects into smaller steps that are easier to manage and complete within a reasonable amount of time. Setting specific deadlines for yourself and others involved in the project can help as well. Reducing distractions such as emails and social media can also be helpful in avoiding procrastination. Finally, rewarding yourself with small incentives after each task can help motivate you to continue working on them until they are completed.

Why Procrastination Can Be Positive:

Procrastinating has negative consequences such as missed deadlines or decreased productivity.  However,  it doesn’t always have to be viewed as a bad thing. Taking time out of your day to step away from work can give you a chance to reflect on what needs to be accomplished.  Furthermore, you come up with creative solutions for problems you may encounter while completing tasks. Additionally, taking a break can give you a chance to clear your head.  When you return back to work your mind is better focused than before giving you more energy when tackling long-term projects or difficult tasks. Lastly, having an accountability partner who checks up on your progress consistently can encourage you stay on track with your goals and tasks throughout the day.  This stops you becoming distracted by other activities or projects instead of finishing what needs to be done first before starting something new.

Conclusion and good to know

Overall, Beating procrastination in your business is key for any successful business owner or entrepreneur. You gain valuable insights into how well your company is performing financially.  As a measure of true financial success, it lags behind profit.

The I Hate Numbers podcast covers a range of topics to help serious business owners thrive, let alone survive.  From financial storytelling to tax, and more!  Every episode provides actionable advice from me, business finance coach, accountant and educator. Subscribe to keep in touch, 

Dividends is this week’s topic of I Hate Numbers.

In this podcast I am going to chat to you about the whys and what of dividends, plus the correct and legal way to pay yourself with dividends

Paying yourself

If you are your own boss, there are two main business structures that you can have. You can either be a sole trader or a company.

In both cases you need to pay yourself, but no dividends if you are a sole trader. Listen to find out more.

Dividends are your company profits that you are paying yourself. Tax, or reducing tax plays a big part behind why owners pay themselves dividends. Company tax, personal tax and national insurance are all part of that balancing act in deciding how much you should take.

Add to this your personal tax situation, from basic rate taxpayer and beyond. You’ve a heady cocktail of thought processes going around. Your dividend will be part of your personal income, with tax rates being as low as 7.5% to a 38.1%, it’s all about tax status.

Tax is not the only thing to consider. Control plays a part in how much dividend you pay. If you’re the director, you decide when you pay your dividend. This could be a big deal when you’re looking to keep your personal income and tax bill to a modest level.

Procedure, there are rules

One thing often forgotten by company owners is that are rules governing how companies are run. It may seem like jobs worth talk, but there’d a sound reason to have these rules. Running your business through a company protects you. If things get messy your personal assets are protected. Any responsibility for company debt normally is your company's shoulders, not yours.

Illegal Dividend

Above all, follow the required due legal process in paying yourself a dividend, otherwise it's illegal. You will not go to prison, it will be a civil offense. As a result, an illegal dividend will be classified as a director's loan, and that's a whole different rabbit hole.

Rules

• Firstly, prepare accounts showing that profit is being made. Profit is after all all your business expenses, including company tax.
• Have a board meeting, it could be at your kitchen table, but have a meeting.
• Pass a resolution as to what will be paid, and keep a record.
• Prepare a dividend voucher – we’re not talking Amazon voucher by the way

What Next

Grab a coffee, make yourself comfortable, sit back and listen.

I love doing this podcast and sharing my love of Numbers with you. Check out the link to subscribe and do not miss an episode, contact me for help with Number love in your business .

In This Episode

• Understand what dividends are
• Appreciate why you pay yourself dividends
• How the dividend rules and regulations apply to you paying dividends
• Developing your own Numbers confidence and decisions
• Take more control of your numbers to help make you money, survive and thrive

Links

https://podcasts.apple.com/podcast/proactiveresolutionss-podcast/id1500471288

Self-belief is crucial when it comes to succeeding in business. Undeniably, it can shape how we approach opportunities and challenges alike. Without confidence, even the best plans might falter because hesitation tends to slow progress. Thus, building and maintaining self-belief becomes essential for achieving long-term goals.

The Role of Self-Belief in Business Growth

We know that self-belief directly impacts decision-making. Additionally, when we believe in our own abilities, we are more likely to take risks, experiment, and adapt during uncertain times. Evidently, confidence encourages innovative thinking, which helps us stand out. In contrast, self-doubt holds us back from trying new ideas, often making us more vulnerable to stagnation.

How to Develop Self-Belief

To cultivate self-belief, we must begin by acknowledging our strengths. However, this also involves recognising areas where we need improvement and committing to growth. Certainly, learning from failure is key. While setbacks can challenge our self-belief, they also offer valuable lessons that contribute to future success.

We should also surround ourselves with positive influences. Albeit difficult at times, having supportive people can boost our morale. Comparatively, negative environments hinder our ability to believe in ourselves, so it’s essential to create a network that reinforces positivity.

Practical Steps 

Firstly, setting small, achievable goals allows us to build momentum. Subsequently, as we accomplish each target, our confidence grows. Secondly, visualising success can help shift our mindset, making self-belief a more natural part of our process. Also, taking regular breaks to reflect on progress ensures we stay motivated.

Finally, self-belief is not a one-time achievement. Instead, it’s an ongoing journey. Therefore, by nurturing it, we increase our chances of thriving in business.

To boost your self-belief and achieve greater success, tune in to the I Hate Numbers podcast, where we break down complex financial topics with practical insights. Whether you're looking to grow your business, sharpen your financial skills, or build confidence in your decision-making, we have you covered. Subscribe now and take the next step toward mastering your finances!

Are you ready to explore the incredible world of Social Enterprises in the United Kingdom? Join us on a thrilling journey as we uncover their astonishing growth, with £60 billion contributed to the economy and over 2 million people employed. Get ready to dive deep into their fascinating business models, including Community Interest Companies, cooperatives, and private companies limited by shares.

Discover the secrets to choosing the perfect structure for your social enterprise. Buckle up for an engaging episode of the "I Hate Numbers" podcast, where we unlock the power of social enterprises in making a difference and driving both profit and social impact.

Today, we're diving into the fascinating world of social enterprises in the United Kingdom.  Welcome to another captivating episode of the "I Hate Numbers" podcast. Brace yourself for a deep dive into the incredible growth, unique business models, and legal structures that are revolutionising the way businesses make an impact!

Episode Highlights

The Rise of Social Enterprises in the UK: Can you believe it? Social enterprises have been taking the UK by storm! We're talking about 100,000 social enterprises, contributing a whopping £60 billion to the economy and providing employment to around 2 million people. Those numbers are nothing short of astounding!

Defining Social Enterprises

 So, what exactly is a social enterprise? Well, it's not your typical charity, folks. Social enterprises are businesses that tackle social and environmental issues while also making a sustainable profit. It's all about blending the best of both worlds—doing good while running a successful venture.

Choosing the Right Business Model

 Now, when it comes to social enterprises, picking the right business model is crucial. But don't worry, it's not rocket science! You just need to consider a few factors. Think about your objectives, how you plan to raise funds, and whether you're looking for personal rewards. Oh, and tax benefits can come into play too! So, a bit of strategic thinking and planning goes a long way.

Community Interest Company (CIC)

The CIC Model: Ah, the beloved CIC! It's short for Community Interest Company. Let me tell you, this model is gaining serious popularity among UK social enterprises. Why? Well, CICs are designed to ensure that the profits they generate are primarily used for social good. They have a specific community purpose, and they even require a community benefit statement. 

Cooperatives

Embracing Democratic Control: Hold on to your hats, folks! We're about to talk cooperatives. No, not the grocery store chain, but the type of structure that embraces democratic control. In cooperatives, members—whether they're employees, customers, or members of the local community—have a say in decision-making. Plus, they all share the profits. It's all about transparency, fairness, and the well-being of the members.

Industrial and Providence Societies (IPS)

IPSes as Community Benefit Societies: Now, let's chat about IPSes, also known as cooperative or community benefit societies. These legal structures are tailor-made for social enterprises, regulated by the Financial Conduct Authority. IPSes prioritize the well-being of members and the wider community. They open doors to various tax benefits and funding opportunities, making them a valuable choice.

Conventional Private Company Limited by...

UK business taxes impact every company, regardless of size or industry. Accordingly, understanding tax obligations helps businesses plan effectively. Additionally, knowing the different taxes applicable ensures compliance while avoiding penalties.

Types of UK Business Taxes

Corporation Tax

Corporation tax applies to limited companies on their profits. Currently, businesses must calculate their taxable income and file returns with HMRC. Moreover, proper record-keeping ensures accurate reporting and reduces tax liabilities.

Value Added Tax (VAT)

VAT applies when businesses exceed the registration threshold. Furthermore, companies must charge VAT on taxable sales and submit returns regularly. However, certain businesses qualify for VAT exemptions or special schemes, which simplify compliance.

Income Tax and National Insurance

Self-employed individuals pay income tax on profits instead of corporation tax. Moreover, National Insurance contributions (NICs) apply based on earnings. Consequently, proper tax planning helps manage cash flow and prevents unexpected liabilities.

Business Rates

Companies operating from commercial premises pay business rates. Although local authorities handle business rates, reliefs exist for small businesses. Additionally, reviewing rateable values ensures businesses do not overpay.

Tax Planning for Efficiency

Strategic tax planning reduces liabilities while maintaining compliance. Moreover, claiming allowable expenses, utilising tax reliefs, and choosing the right VAT scheme significantly impact finances. Furthermore, seeking professional advice ensures businesses make informed decisions.

Staying Compliant with UK Business Taxes

Businesses must file returns accurately and meet deadlines. Otherwise, penalties and interest charges apply. Similarly, using digital accounting software simplifies tax management and ensures timely submissions. Significantly, keeping updated with tax law changes prevents compliance issues.

Final Thoughts

UK business taxes shape financial decisions and impact profitability. Therefore, proactive tax management helps businesses operate efficiently. Moreover, staying informed and seeking expert advice leads to better financial outcomes.

Listen to the I Hate Numbers podcast for more insights on managing business taxes effectively. Additionally, explore our resources to enhance your financial knowledge and strengthen your business.

Explaining the CIS scheme is this weeks I Hate Numbers podcast.  Read more to see what is covered

• Firstly, what the CIS scheme covers
• Secondly, what a contractor or subcontractor is
• Thirdly, requirements are in terms of reporting, in terms of registration,
• Fourthly, how tax should be correctly dealt with under the CIS scheme

The UK Construction Industry Scheme (CIS) is a big and vibrant sector. Currently there are over 3.1 million people who work in that sector. And that represents 9% of the UK working population. The Construction Industry Scheme (CIS) was introduced in 1971 to combat serious tax evasion in the industry.   Moreover, The CIS scheme has rules as to how contractors should make payments to sub-contractors.

Conclusion

Knowing and Explaining the CIS scheme is a need to know.  Moreover, if you are a contractor, subcontractor, you need to know what goes on to avoid problems.

For more business and finance, news, advice and tips, don’t forget to subscribe and watch our weekly videos on I Hate Numbers, listen to our weekly podcast I Hate Numbers.

My podcast will help

Listen to find out more.

Furthermore, my mission is to inform, inspire and educate you to get closer to your numbers.

You can make more profits, save tax and time, improve your well-being and your money mindset.

Help me to help you and others by subscribing and sharing this episode in your network.  Listen now and subscribe to I Hate Numbers, so I can send it straight to your inbox every week with all the latest updates.

If you found this podcast useful then share this episode on social, leave a review on Apple podcast .  Connect with me on Instagram, YouTube, Twitter, LinkedIn and Facebook,

Charity Mergers - The Three Stages

This weeks episode is about Three Steps to Successful Charity Mergers.

Charity Mergers are the coming together of two separate charities to form one .

Mergers can produce several benefits for but they also have several challenges as well.

Stage One: Business Case

Firstly, your Business Case, your reasons for wanting to merge. For example, economies of scale, pooling of talents, greater reach. There are benefits, as well as challenges.

Most importantly, consider if the merger in the best interest of your charity and beneficiaries.

Listen to find out more

Stage Two: Due diligence.

Secondly, due diligence, mentioned in last weeks podcast. Above all consider the risks and liabilities you are about to take on.

At the outset, protect yourself, and not restrict your conversations with your charity partner. NDAs (Non Disclosure Agreements) are a must.

Moreover, it's not just legal and financial matters that you look at. Above all the merging of charity cultures can be the thing that strengthens the merger. However, good and bad cultures mixing is not good for anyone.

Listen to find out more

Stage Three: Change management.

You will have many charity stakeholders. They will be anxious and have concerns about the prosed merger . Above all, get them on side, make a smooth transition to a brave new world.

Most importantly, communicate, understand, and involve people in the change. As a result you will have a more successful merger.

Listen to find out more

What Next

In short, mergers are marriages.  As Socrates said “By all means marry; if you get a good wife, you’ll become happy; if you get a bad one, you’ll become a philosopher.” In conclusion, Three Steps to Successful Charity Mergers will make for a happier marriage.

Make yourself comfortable. Sit back and listen

Even better subscribe so you do not miss an episode.

In This Episode

• Understanding the importance of a merger business case
• Appreciating the importance of due diligence and what it is
• Why Change Management plays an important role in Charity mergers
• Developing your own Numbers confidence and decisions
• Take more control of your numbers to help make you money, survive and thrive

Links

https://podcasts.apple.com/podcast/proactiveresolutionss-podcast/id1500471288

Learn how to help your business survive and thrive by understanding your numbers. The one thing you really need to keep an eye on is money in the bank.

Why is cash so important?

Cash is important because if you have no cash in the pipeline and no access to cash, then you won’t be able to pay your suppliers or staff and you won’t be able to invest. Things will ultimately come to a halt. It doesn’t matter how big your business.

The one thing that determines survival over anything else, is that cash item. For any business, you need people to supply goods and services to you.

Where does that money come from?

The main source of cash should be money that you draw or money that you borrow. There is a risk there involved to invest for profit later. You may have items you don’t actually need any more that you wish to sell. The core of cash should come from your customers. Customers are the one’s that are paying your bills.

Get more acquainted with looking at your company’s bank accounts. Look at the items going in and out of that bank account. Then you can determine what is necessary.

Remember when you look at your bank balance, there may be times that things look very healthy. When looking at that money, how much of it is actually yours?

Learn more about cash being the lifeblood of your business, not being scared of what’s going on with cash and how to be more aware of your numbers during this episode.

In This Episode

• What’s been important to me in my business?
• 
  
• Cash in your business
• 
  
• Connecting closely with your numbers
• 
  
• The future prosperity of your business
• 
  
• Generating future business
• 
  
• Understanding payments and commitments

Links

https://www.proactiveresolutions.com/

https://www.linkedin.com/in/proactiveresolutions/

https://www.instagram.com/mahmoodnumbersrockstar/

https://twitter.com/mahmood_reza

https://www.facebook.com/proactiveresolutions/

How to Build your Business Resilience - Part One. That is the theme of episode 46 of I Hate Numbers.

Certainly, a lot of people talk about Business Resilience. Firstly, we need to understand what Business Resilience is. Secondly, we need to know how we can improve our own Business Resilience.  Most importantly, you can improve this, and it is a practical way to deal with what faces you in a changing business landscape.

Listen to find out more

Business Resilience and your Leadership

Firstly, there are three parts to Business Resilience. Leadership information and communication. In this episode, I am going to be focusing on leadership. That is, you as a business owner, leading your business.

You need to be a good leader of your own business. Great is excellent, good is a great start point.

Leadership means being able to review a situation objectively. , and not getting deflected by.

Great leadership means taking lessons from what is going on, learning and being prepared for the next time. This is the ultimate, an ideal time to learn.

Now, unless you ask yourself this question as a leader, are you developing the right culture, the right environment in your business where you can learn, take lessons, prepare and equip yourself ready for the next situation.

Action beats inaction. For example, in this episode we look at gazelles and lions. Most importantly you need to be gazelle or a lion, in your business. Above all, take the opportunity to strengthen your leadership, to drive your business forward.

Above all, it does not matter whether you are a multinational or SME business. You are the leader; you are the one who drives the business forward.

Listen to learn more

Conclusion

Check out our Business Growth Club to move your business forward. We will show you How to Build your Business Resilience and grow your business. How to Build your Business Resilience - Part One deals with Leadership. Next week’s podcast we look at information and communication as vital parts of Business Resilience.

In This Episode

• Understanding what Business Resilience means in your business
• Appreciating the importance of your leadership as a business owner
• Being aware that you need to take action as a leader
• Developing your own Numbers confidence and decisions
• Take more control of your numbers to help make you money, survive and thrive

Links

https://podcasts.apple.com/podcast/proactiveresolutionss-podcast/id1500471288

https://play.google.com/music/m/I3pvpztpjvjw6yrw2kctmtyckam?t=I_Hate_Numbers

https://open.spotify.com/show/5lKjqgbYaxnIAoTeK0zins

https://www.stitcher.com/podcast/proactiveresolutionss-podcast

If you're like most people, at some point in your life you've felt like a fraud. Almost like you're not really qualified to do the job you're doing, or that someone is going to figure out you're a total fake and expose you for the fraud you are.

This phenomenon is known as Imposter Syndrome, and it's estimated that 70% of people experience it at some point in their lives.

In this episode of my I Hate Numbers podcast I'll explore

• Firstly, what Imposter Syndrome is
• Secondly why it happens
• Thirdly, looking at the five types of Impostor as identified by Dr. Valerie Young
• Lastly, Overcoming Impostor Syndrome – and it’s more than fixing you!

Listen to find out more

What is Imposter Syndrome

is a phenomenon that affects many people and can cause feelings of self-doubt and insecurity.

Sheryl Sandberg expressed the feelings of millions ‘There are still days when I wake up feeling like a fraud, not sure I should be where I am.’

There are millions of people who experience imposter syndrome at some point in their lives. It is said to affect about 70 % of people at some point in their lives.

Fame doesn’t make you immune, and high profile such as Michelle Obama, Michele Pfeiffer, Oprah Winfrey, Tom Hanks, Maya Angelou, and Mahmood Reza have all experienced Impostor Syndrome.

We are in good company.

So, if you’re feeling like a fraud and want to learn how to overcome imposter syndrome, watch to find out more

Overcoming Impostor Syndrome in Business

Why is Overcoming Impostor Syndrome such a big deal in business?  Well, as business owners, employers, and Entrepreneurs we want to get the best out of ourselves. That’s got to be a good thing.

Suppressing all those talents, skills and capabilities is not good for workplace cultures, driving your business forward and your sustainability. Did I mention that you are leaving money on the table by not Overcoming Impostor Syndrome?

Conclusion

In this weeks podcast I talk about what Impostor Syndrome is, the signs that you might be struggling with it, and how to start overcoming it. In short, if you feel like a fraud and constantly worry that people will find out you are not as smart or capable as they think you are, you might be experiencing Imposter Syndrome.

The good news is that there are things you can do to start building your confidence and feel more like a legitimate member of your field.

Subscribe now so you don’t miss an episode.  For more business and finance, news, advice and tips, don’t forget to subscribe and watch our weekly videos on I Hate...

Budgeting often triggers unenthusiastic reactions. But let's debunk these myths. In my experience, budgeting isn't about constraints; it's a potent tool for empowerment. Let's have a look in our podcast as we delve into embracing budgeting and a budgeting mindset. Uncover seven advantages that could reshape your business.

1. Clarity of Purpose and Direction

Budgeting provides clarity, giving you a clear path and understanding of the purpose and direction of your business. Moreover, by setting goals and aligning them with your budget, you gain valuable insights into how you'll achieve those goals. This clarity helps reduce stress and uncertainty, allowing you to focus on the journey ahead

2. Efficiency and Control

An effective budget empowers you with financial control, enabling better management of your business. Furthermore, by identifying and minimizing waste, you can boost profitability and ensure alignment with your goals. Budgeting allows for efficient resource allocation, optimizing spending and maximizing results

3. Goal-Driven Decision Making

Smart goals shape your budget and guide decision-making. In addition, specific, measurable, achievable, realistic, and timely goals help you allocate funds strategically. With a clear understanding of your financial situation and future projections, you're able to make effective choices in spending, resource allocation, and financial planning.

4. Enhanced Communication and Empowerment

Involving your team in the budgeting process fosters communication and empowers them to contribute to the business's success. When employees participate in setting targets, they take ownership of their work, leading to increased motivation and accountability. This cohesive approach ensures everyone is working towards the same budget and objectives.

5. Motivation and Accountability

Participating in setting targets boosts motivation and accountability. When individuals are involved in determining their own goals, they are more inspired to achieve desired outcomes. Ownership and active contribution from team members create a sense of responsibility and accountability. Regularly monitoring progress against the budget serves as a constant reminder and motivator.

6. Minimizing Risks and Achieving Goals

Budgeting provides a financial roadmap for your business. Understanding the financial consequences of your decisions minimizes risks and increases the likelihood of reaching your goals. By regularly monitoring progress and comparing it to the budget, you can identify and address any deviations before they become major setbacks.

7. Success and Resilience

By embracing budgeting, you pave the way for success and resilience. Budgeting is not restrictive; it is a powerful tool that offers clarity, control, informed decision-making, enhanced communication, motivation, and a path towards achieving your desired objectives. It provides a framework for effectively managing your business's financial future and mitigating risks.

In conclusion, budgeting is far from a dry and tedious process. It is a liberating and cathartic exercise that equips your business with the tools necessary for success. By embracing a budgeting mindset, you empower yourself and your team to make informed decisions, drive growth, and navigate towards your desired objectives.

Nevertheless, if you're looking for a platform to help shape your financial future the Numbers Know How platform is here for you.

Remember, happy budgeting leads to a happy business. Join us next week for another episode of the I Hate Numbers podcast. Stay tuned, stay motivated, and let's achieve success together.

Collecting money from your customers is a big deal? Getting paid on time is a big deal.  Because cash guarantees your survival week after week. No cash, no business. The lights will not be on, the door will not be open.

This week’s episode of I Hate Numbers is all about getting paid on time. I look at

• Why getting paid on time is a big deal
• Three things you do to help getting paid on time
• Practical tips to share

Getting paid on time

Cash ultimately comes from your customers. They give you money for your products and services.

Your business has financial commitments. Make sure your staff, suppliers, lenders, and YOU get paid. But, get paid with cash , not buttons and promises. To clarify, if you don’t have access to cash, then your business won’t have a long shelf life and you’re screwed!

In other words, your cash should come from your customers.

Three things you need

In addition there are 3 essentials things you need to help get paid on time, summarised as CULTURE TECHNOLOGY and ACTION, CTA for short.

CULTURE

Firstly, culture equals mindset & attitude. Know how to deal with money. In other words, your mindset dial should be set to having grown up business conversations. Grown up doesn't mean being nasty, it means being comfortable talking about money.

Giving credit is always a risk. The risk is you don't get paid ! You must have the right attitude to manage that risk. But your business is just that, a business. It’s not a hobby, it’s there to make you money (profit) so you can continue to do what you do, make a difference, serve your customers and give yourself a decent personal and family life.

Most importantly, listen to find out more.

TECHNOLOGY

Certainly, technology is a good friend to you in terms of processes and systems. For example, technology helps you issue customer quotes, invoices. Above all technology monitors what you are owed, reminds you when payments are late, and helps collect your cash.

In addition, technology is pretty cool for issuing agreements, terms, and conditions. To sum up, technology helps with the whole customer journey from stranger to getting paid.

Most importantly, listen to find out more.

ACTION

Thirdly, systems and processes are pointless unless you follow them and take action. For example, what do you do if the client doesn't pay you on time?

Action always wins over inertia. On the other hand, hiding under your duvet or putting your hands to your ears and going la la la is a playground activity. Definitely not suitable for your business.

Most importantly, listen to find out more.

Conclusion

In conclusion, Collecting money from your customers has to be done, and on time. Certainly if you want your business to still be around, get to grips with getting paid on time. Take control and improve your customer collection process. Contact us to find out more.

What Next

Make yourself comfortable. Sit back and listen.

Even better subscribe so you do not miss an episode.

 In This Episode

• Understanding why getting paid on time is vital for your

Forecasting is crucial for running a successful business because it helps us look ahead and prepare for potential challenges effectively and strategically. While understanding historical performance is important, we must equally focus on what lies ahead and adapt to evolving circumstances. Specifically, forecasting cash flow ensures we minimise risks, reduce anxiety, and identify opportunities that can significantly drive our growth and success.

Why Forecasting Cash Flow Matters

Certainly, keeping track of money coming in and going out is essential. However, forecasting goes beyond this by giving us valuable insights into future trends. With accurate predictions, we can determine if our business will thrive or merely survive. Consequently, we should consistently refine our cash flow projections.

Tips for Accuracy

1. Assess Future Demand

Estimating future sales can be tricky, but it is undeniably necessary. By analysing our current order book, market share, and pricing, we can set realistic expectations for income.

2. Evaluate Profitability

Knowing projected costs alongside sales figures helps us estimate profit margins accurately. Consequently, this enables us to plan for improving profitability.

3. Plan Monthly Projections

Regularly updating forecasts—ideally monthly—allows us to accommodate changes in customer payments or sales patterns.

4. Include Payment Timings

Cash flow is about timing. Specifically, we must factor in when expenses will leave our account and when income will arrive. This ensures our predictions align with real-world activity.

5. Review and Compare

Evidently, comparing current cash flow to forecasts prevents over-optimistic projections. Realistic data ensures accuracy.

Automate and Simplify

Using tools like BudgetWhizz, which integrates with systems like Xero, simplifies forecasting and reduces manual effort. Moreover, these tools free up time for strategic decision-making.

Start Forecasting Today

Forecasting helps us plan effectively and prepare for the future. Listen to the I Hate Numbers podcast to learn more about forecasting and other essential business strategies.

In today's podcast, we aim to explore and demystify the common misconceptions surrounding tax obligations for Community Interest Companies (CICs). As passionate advocates of business finance, we want to illuminate the intricate relationship between CICs and their tax responsibilities.

Understanding Community Interest Companies (CICs)

Defining CICs

Firstly, before tax, let's define what a Community Interest Company, or CIC, entails. Despite charities, CICs blend social enterprise with an entrepreneurial spirit, all in the pursuit of benefiting their communities.

CICs vs. Charities

In a crucial clarification, being a CIC doesn't equate to being a charity. Even though charities enjoy specific tax exemptions, CICs navigate a different landscape with its own set of rules and obligations.

Tax Obligations for CICs

Generating Surplus

Notably, CICs often find themselves generating a surplus, equivalent to profit in the private sector. Regardless of the positive connotations, it's important to note that this surplus is not exempt from corporation tax.

Mitigating Tax Liability

Furthermore, while there are strategies to mitigate tax liability, CICs engaging in commercial activities, grants, or donations must adhere to regular rules governing corporation tax.

Value Added Tax (VAT) Considerations

Impact of Commercial Activities

Shifting our attention to VAT considerations, it becomes relevant when CICs engage in commercial activities. Upon crossing the statutory turnover limit necessitates VAT registration.

Obligations Despite Structure

Moreover, whether limited by guarantee or shares, CICs cannot evade VAT obligations. This emphasizes the responsibility of navigating tax intricacies, regardless of their structural nuances.

Employment and National Insurance

Employee Tax Responsibilities

As CICs employ staff, they inevitably step into the realm of employer National Insurance obligations. This additional duty adds to the responsibility of operating payroll schemes, a critical aspect of tax compliance.

Clarifying Employee Status

Moreover, it's essential to recognize that the distinction between an employee and a freelancer is about the developed relationship. This topic we'll explore further in future podcasts.

CIC Structure and Tax Rules

Limited by Guarantee vs. Limited by Shares

By distinguishing between CIC structures, whether limited by guarantee or shares, it significantly impacts tax considerations. Dividends and fund withdrawals have specific rules that must be navigated.

Advisor Guidance

In cases of uncertainty about the intricacies of CIC structures, seeking advice from experts is paramount. Our inbox at IHATENUMBERS is open to support your queries, ensuring you have the guidance needed.

Grant Income and Accounting Considerations

Handling Grant Income

Grant income, essential for many CICs, comes with accounting nuances. Therefore, understanding restricted funds ensures accurate representation in financial records, a practice essential for tax compliance.

Not a Tax-Free Card

Further, with receiving grant income, CICs must recognize that it is not a carte blanche for tax exemption. Grant income serves specific project delivery purposes, and understanding its implications is critical.

Conclusion

In essence, being a CIC doesn't exempt one from tax obligations. It's a social enterprise vehicle combining an entrepreneurial trading spirit with income generated from various sources. We hope this episode clarifies common misconceptions about tax and CICs.

If you found this episode useful, we encourage you to share it within your...

In today's episode of the I Hate Numbers podcast, we're delving into five compelling reasons why we, as business owners, should consider ignoring cloud accounting. Stick with us until the end for valuable insights. First and foremost, let's clarify what cloud accounting entails.

Understanding Cloud Accounting

Cloud accounting, also known as digital accounting, involves utilizing digital tools and software to efficiently manage financial records, transactions, and generate reports. It's like upgrading from traditional pen and paper methods to a turbocharged, super-efficient system.

Reasons to Ignore Cloud Accounting

1. Lack of Interest in Efficiency: If you're not keen on optimizing efficiency in your business operations, preferring outdated methods such as manual invoicing and email communications, then cloud accounting might not be for you.

2. Disinterest in Financial Insight: For those unconcerned with gaining valuable insights into their business finances, including understanding revenue sources, profitability, and resource allocation, cloud accounting may seem unnecessary.

3. Resistance to Making Good Business Decisions: Ignoring the data-driven insights provided by cloud accounting may lead to relying on instinct or unreliable advice from peers, rather than making informed decisions.

4. Running Business as a Hobby: If you're content with treating your business as a hobby rather than a profit-driven endeavor, and you don't prioritize efficiency and financial management, then cloud accounting might not align with your approach.

5. Resistance to Streamlining Operations: In today's fast-paced business environment, where efficiency is key to success, cloud accounting offers streamlined operations. However, if you prefer reactive approaches and are resistant to change, then cloud accounting may not be suitable for you.

Additional Reasons to Ignore Cloud Accounting

6. Preference for Traditional Record-Keeping: For those who prefer traditional methods such as filing cabinets and relying on external advisors for financial information, the accessibility and benefits of cloud accounting may not be appealing.

7. Emphasis on Accessibility and Remote Work: Cloud accounting facilitates accessibility to financial data, especially for remote teams. However, if you prefer office-based work and traditional data access methods, then cloud accounting might not be a priority.

Conclusion

While cloud accounting offers numerous benefits for business efficiency and financial management, it may not be suitable for everyone. However, we encourage you to explore the possibilities further. Check out our free guide to cloud accounting.

Don't forget to tune in and subscribe to the I Hate Numbers podcast for more on business and finance. Happy accounting!

Do you want to know the Six steps to managing your cashflow ?

Cash is the lifeblood of any company. It's what pays for salaries, inventory, and everything else that keeps a business running smoothly Do you know how to manage your cashflow?

This week on the I Hate Numbers podcast, we're going to talk about six steps to managing your cashflow. You'll learn what it means and why it's important for your business. I'll also give you some tips on how to do it without getting overwhelmed!

If you want a successful business, then this is one of the most important things that you need to be doing. It doesn't matter if you have a profit or not - if there isn't any money coming in, then there won't be any money going out either! Managing your cash flow will help keep everything running smoothly so that nothing falls through the cracks and puts stress on other aspects of your company. And don't worry - I've got lots of easy-to-follow advice for making sure that happens!

Click here now and listen to my latest episode!

Do you want to know more about how people feel about money?

Money is a big deal. It's the lifeblood of your business and it can make or break you. You need to understand what cash flow means, why it matters, and how to manage your finances in order for them not to get out of control. I'm here with six steps that will help you do just that!

There's an opportunity for you to win fifty pounds cash or amazon voucher by completing this quick two minute survey! All we need from you is two minutes of your time so we can better understand the problem and find solutions together. So click below now and complete the survey!

Click and complete our short two minute survey!

What next

You’re looking for a way to manage your cashflow? I hope you get some value from this podcast on six steps to manage your cashflow. You are not on your own! Contact us to see where we can help. Our news section, FREE online calculators are there for you. Just click here now to get started!

Listen now and Subscribe to I Hate Numbers, so I can send it straight to your inbox every week with all the latest updates from I Hate Numbers podcast! are

Click here for more business and finance, advice and tips

Links

https://podcasts.apple.com/podcast/proactiveresolutionss-podcast/id1500471288

https://open.spotify.com/show/5lKjqgbYaxnIAoTeK0zins

https://www.stitcher.com/podcast/proactiveresolutionss-podcast

Shareholders and directors each have unique roles and responsibilities within a company, yet people often confuse the two. As we discuss this in the episode, we aim to clarify these distinctions for UK companies. However, these principles apply broadly to companies outside the UK as well.

Defining Shareholders and Directors

Firstly, shareholders are the actual owners of the company, holding shares that signify their ownership stake. They may be individuals or entities, and their liability typically extends only to unpaid shares. Comparatively, directors handle the day-to-day management of the company. Appointed by shareholders, they implement strategy, make decisions, and hold legal responsibilities in line with the Companies Act.

Roles and Responsibilities

Shareholders’ Roles

Notably, shareholders primarily provide investment and vote on significant decisions, including director appointments and any alterations to the articles of association. Consequently, they share in company profits through dividends. Their role remains generally passive in day-to-day operations unless they also serve as directors.

Directors’ Responsibilities

Directors, on the other hand, have an active role, managing daily operations, hiring staff, and negotiating contracts. Additionally, they hold legal obligations to act within their powers, promote company success, and avoid conflicts of interest. Any breach of these duties could result in personal liability, especially in cases of wrongful trading.

Financial Benefits

Shareholders benefit from dividends and any capital growth over time, while directors may receive salaries, bonuses, and other benefits. This separation clarifies both parties’ financial stakes and obligations within the business.

Summing It Up

Altogether, shareholders own the company, providing investments and voting on major decisions, while directors manage daily operations and uphold legal responsibilities. Although these roles may overlap in smaller companies, understanding each role's distinct duties fosters smoother company operations.

To gain more insights into managing roles and responsibilities in your business, listen to the I Hate Numbers podcast

Welcome to episode 33 of I hate numbers. Today's episode why you need your business plan.

In fact, every business needs a business plan. In this episode I'm going to talk about why your business needs a business plan and what should actually go into it your business plan.

This episode of, I hate numbers is part of my continuing mission to strengthen your money mindset, make you less scared of your numbers. So ultimately you can make more money or profit in your business, have more time, sustain your businesses and thrive.

Why you need a business plan

You may be thinking that it's a complete waste of time. There is certainty in your mind that you know what you’re. You don't want to be spending time and energy writing things into a document that's going to be out of date at the moment it’s written.

Put those thoughts to one side. Your business plan is written predominantly for you. No plan equals no success.

Listen to find out more

The five key components that go into your business plan.

Firstly. In the beginning figure out what your version of success looks like, your Business goals. Business goals have substance, and must be at least measurable, realistic, and achievable.

Listen to find out more

Your business objectives

These are the steps, the journey, the actions, and the tactics that you need to do to get to your business goals. Like your business goals, they must have substance, and must be at least measurable, realistic, and achievable.

Listen to find out more

Where your business is now

Your route to success needs you to understand where you are now. Understand where your business is currently. And understanding who your customers are, what the customer journey actually involves, which customers are the most profitable to you.

Listen to find out more

Milestones and measures

Manage what you measure. The progress of your journey requires you to set milestones and measures. Then you can monitor your progress and make judgements

Listen to find out more

Your Business Numbers

Lastly, the numbers. Translate your plan onto financial forecasts. Look at your plan through the prism of cash flow and profit. Cash flow makes it happen; profit is the prize. Check out episode 30 of I hate numbers podcast episode "Cashflow is a big deal".

Listen to find out more

Conclusion

In conclusion,Why you need your business plan is clearer. in your plan, include your business destination, and the steps you must take to achieve your business goals.

How are you going to get that, that detailed plan, your milestones and your measures, and lastly, the numbers. What does that actually look like in terms of profitability? What does that actually look like in terms of cash flow.

Your business needs to grow, serve and

Tax basics for self employed individuals are crucial for managing finances effectively. Unlike employees, we handle our own tax affairs, meaning we must register with the tax authorities, keep accurate

records, and file tax returns on time. Additionally, we need to calculate tax payments correctly to avoid penalties. Because financial planning is essential, understanding these obligations helps us stay on track.

Key Tax Considerations

Self Assessment and Deadlines

Self-employed individuals must complete a self-assessment tax return each year. Generally, the deadline for online submissions is 31 January, while paper returns must be submitted earlier. However, missing deadlines leads to fines, making it vital to stay organised. Consequently, setting reminders prevents last-minute stress. Furthermore, filing early allows us to plan tax payments efficiently.

Allowable Expenses

Claiming allowable business expenses reduces taxable income, helping us manage finances efficiently. Accordingly, costs such as office supplies, professional fees, and travel expenses qualify as deductions. However, expenses must be wholly and exclusively for business purposes. Because proper documentation is necessary, keeping receipts and maintaining records ensures compliance. Moreover, tax rules change, so checking for updates helps maximise deductions.

National Insurance Contributions (NICs)

Paying NICs is mandatory for self-employed individuals. These contributions impact state benefits and pensions. Generally, we pay Class 2 and Class 4 NICs, depending on annual profits. Additionally, checking the latest thresholds ensures accurate calculations. Because tax liabilities vary, professional guidance helps us avoid surprises.

Managing Tax Payments Efficiently

Setting Money Aside for Taxes

Instead of waiting until deadlines approach, setting aside money regularly prevents financial strain. Similarly, using a dedicated tax savings account helps us manage payments without disruption. Additionally, planning ahead reduces stress and ensures smooth cash flow.

Using Accounting Software

Accounting software simplifies tax management. Besides automating invoicing and expense tracking, it provides real-time insights into our financial position. Furthermore, software like Xero improves accuracy and efficiency. Consequently, using digital tools saves time and reduces errors.

Final Thoughts

Tax basics for self employed individuals require careful planning and organisation. Because tax rules can change, staying informed is essential. Moreover, professional advice helps optimise tax efficiency and compliance.

For expert insights and practical tips, listen to the I Hate Numbers podcast. Additionally, register for our webinar –A Stress-Free Tax Return: Guide for Freelancers and the Self-Employed.

Resource Analysis, and how to carry one out is this weeks topic. Let me show you how to do a resource analysis for your business?

Firstly, Resource Analysis is the process of identifying and evaluating all the resources that are available to achieve an objective.

Secondly, Resources include anything that can help or hinder your organisation meeting its objectives. For instance, resources include people, equipment, time, and money. The strategic capability of your business is determined by having adequate and suitable resources and competences. For competencies, think capabilities. Furthermore, resources and competencies are needed so your business can survive and prosper.

Above all Resource Analysis helps your business bridge the gap. This is the gap between having valuable resources and using them constructively and efficiently.

Most importantly a resource analysis helps you understand what resources are important for your business’ success. Moreover, it will give you insight into which areas need improvement or further investment.

Furthermore, managers can see if they have sufficient resources before making any major decisions or investments in new projects. You might even find out that there are some things that don’t really matter anymore!

This can be illustrated by the following table [table id=37 /]

Listen to find out more.

Conclusion

Moreover, if interested in dealing with Resource Analysis for your business then Listen to find out more. This is all explained in here for you. In addition, you will learn how to categorise resources, and limitations in this approach. This podcast will help.

Listen to find out more.

Above all, my mission is to inform, inspire and educate you to get closer to your numbers. You can make more profits, save tax and time, improve your well-being and your money mindset.

Help me to help you and others by subscribing and sharing this episode in your network.  Listen now and subscribe to I Hate Numbers.  I can send it straight to your inbox every week with all the latest updates.

If you found this podcast useful then share this episode on social, leave a review on Apple podcast .  Connect with me on Instagram, You Tube, Twitter, LinkedIn and Facebook,

Links

https://podcasts.apple.com/podcast/proactiveresolutionss-podcast/id1500471288

Avoidable mistakes on your tax return is this weeks topic.  It's tax season, and the stress of preparing your return can feel overwhelming. But don't worry - I Hate Numbers is here to help! On this week's podcast, I'm talking about Avoidable mistakes on your tax return, five of them to be exact.

The first mistake I'll be discussing is student loans. Many taxpayers are unaware that they may be liable for student loan deductions.  It pays to do your research and see if you're eligible! Ignoring these potential deductions can cost you precious money in the long run.

Next, I'll dive into the impact of COVID on both employees and directors who work from home. Many taxpayers don't realize that they may be able to deduct expenses related to working from home. Don't let a well-deserved deduction slip through the cracks!

I'll also cover self-employed expenses and how those deductions can add up over time. Self-employed taxpayers have plenty of options for reducing their tax liability, but it's important not to overlook any possible deductions.

Another key area I'll discuss is the High-Income Child Benefit Charge. This applies to families with high income earners - if you fall into that category, make sure you know what applicable charges could affect your taxes this year!

Finally, I'll talk about Gift Aid payments and how those might factor into your return. It's crucial to understand how these payments will be taxed - otherwise you could be missing out on valuable savings opportunities!

Don't miss out on these essential insights - tune in for my I Hate Numbers podcast on five mistakes people make with their self-assessment tax returns! With my guidance, you can save yourself time, money, and stress this tax season.

Conclusion and good to know

The I Hate Numbers podcast isn’t just about taxes though.  Other topics are covered, for example cash flow management, budgeting, forecasting, debt management and more! Every episode provides actionable advice from experienced professionals who explains complicated concepts in an easy-to-understand way.

I understand that dealing with finances can feel overwhelming at times but don’t let that stop you from taking control of your finances! Tune into my I Hate Numbers podcast today where we provide vital information plus practical advice in a fun way!

Need help with this process, please don’t hesitate to contact me. I’d be happy to advise you on your taxes and how to minimise them.

In this week’s episode of ‘l Hate Numbers’ I am looking at Personal tax returns. More specifically the personal tax returns you need to complete in the United Kingdom.

Background

Every year the tax office, shorthand HMRC want individual taxpayers to tell them what's been going. The principle is called self-assessment, where you tell HMRC what your income and gains, and calculate the tax owing or to be repaid. As a heads up, HMRC accepting your tax return doesn’t mean they agree with it.

Tax Years

In the United Kingdom the tax year for individuals is between the 6th of April and the following 5th of April, and we've got the Catholic church and Julius Caesar to blame for that.  Find out why, listen

What goes into your tax return?

Your tax return will include details of your income. Typically, salaries, income from property, self-employment income and pensions. It will also include details of capital transactions. So, if you’ve sold an investment property or the family antiques.

Dates

One date to understand is the income tax year. This doesn’t run on calendar years, but between 6th April and the following 5th April. Julius Caesar and the Catholic church are part of the reason, listen to find out more

Deadlines, payment dates, and getting an interest free loan via PAYE make an appearance in this episode.

Who needs to complete a personal tax return?

There are an estimated 12 million personal tax returns that need to be completed for 2019-20, that’s an estimated 30% of the UK adult population.

Listen to the podcast to see if you’re one of the 30%

Paying the tax

You’ve finished your tax return, and instead of a refund you see that you have money to pay. When should you do if you don’t have it?

I share my tips, spoiler alert, it involves ostriches and duvets.

Well, folks, that's a wrap. I hope you got some value from this podcast. I'd love it. If you could subscribe, tell your friends, your associates, your colleagues, about what a wonderful show this says until next week, have a great week.

What Next

Grab a coffee, make yourself comfortable, sit back and listen.

I love doing this podcast and sharing my love of Numbers with you. Contact us if you want to find out more.

In This Episode

• Understanding who must complete a personal tax return
• Knowing what goes into a personal tax return
• Finding out the key dates in the tax return calendar
• What to do if you haven’t got the money to pay your tax bill
• Developing your own Numbers confidence and decisions
• Take more control of your numbers to help make you money, survive and thrive

Links

https://podcasts.apple.com/podcast/proactiveresolutionss-podcast/id1500471288

https://play.google.com/music/m/I3pvpztpjvjw6yrw2kctmtyckam?t=I_Hate_Numbers

Hiring staff is a significant decision for any business. We know that it comes with both opportunities and challenges. In this episode, we will break down the costs and benefits of hiring employees versus freelancers. Additionally, we will explore why making the right choices can have a major impact on your business’s growth.

Why Should You Consider Hiring?

Firstly, when you are growing your business, it becomes increasingly difficult to manage everything alone. We’ve all faced the limitations of being a one-person operation. Hiring can bring the manpower you need, helping you focus on other important aspects of your business. Furthermore, employees can provide long-term sustainability, allowing your business to scale more efficiently.

Benefits of Hiring the Right People

When you make the right hires, your business can experience numerous benefits. For instance, hiring the right people allows you to save time, enabling you to concentrate on bigger business goals. In addition, by expanding your team, you can offer more services, boost your output, and improve your overall customer experience. These advantages, in turn, can strengthen your profitability and sustainability.

Hidden Costs

However, it's important to recognise that hiring comes with its hidden costs. Besides salaries, you must consider employer National Insurance, pensions, insurance, and other employee-related expenses. These costs can quickly add up, so it's essential to budget accordingly. Consequently, understanding the financial obligations of hiring staff is key to making informed decisions.

Common Mistakes to Avoid

Although hiring seems straightforward, there are several common pitfalls. For example, many businesses hire in a panic, without properly assessing the fit or understanding the full costs involved. Additionally, failing to register as an employer with HMRC can lead to serious consequences. To avoid these issues, take your time and plan carefully before making any decisions.

Financial Planning for New Hires

Before hiring, it’s crucial to prepare financially. We recommend using tools like Budgetwhizz to help manage your budget effectively. This tool can help you track employee-related expenses and keep your finances in check. Also, consider using payroll calculators to ensure that you’re setting aside enough to cover wages, taxes, and other costs.

Conclusion

In conclusion, hiring staff can significantly benefit your business, but it comes with both direct and hidden costs. Therefore, it’s essential to plan wisely and make the right choices. If you’re unsure about the financial implications, be sure to consult budgeting tools like Budgetwhizz and calculators to help you manage your business effectively.

Don’t forget to listen to the I Hate Numbers podcast for more tips on growing and managing your business effectively. Subscribe, share, and leave a review!

Lastly, don’t miss our free webinar How to Handle the Rise in Employers' National Insurance coming in April 2025. Register today!

Dealing with business risk is an inevitable part of our business lives

Risk is a part of life. For entrepreneurs, self-employed professionals, and small business owners, risk is unavoidable and part of our business lives. Whether it's the risk of losing money on a new venture or the risk of not being able to meet customer demands. Furthermore, we face risks every day. Knowing how to deal with business risk is essential for success. In this episode, we'll explore some tips for managing risk in your business. Stay tuned!

Rate and Review on Apple Podcasts 

If you're a business owner, entrepreneur, or self-employed person, then you know that numbers are a big part of the game. But what if you hate numbers? What if you feel lost and intimidated by them? That's where my podcast comes in – I Hate Numbers. Join me as we explore everything from bookkeeping to budgeting to taxes. I'll make it all accessible and simple for you, so you can focus on what you're good at – running your business! And if you like the podcast, be sure to rate and review it on Apple Podcasts or your other favourite platform. Thanks for listening!

I Hate Numbers – The Book

My book, I Hate Numbers will change your life by changing your relationship with numbers. But that’s not all, the principles in this book can be applied to every area of your life for lasting change. If you’re ready to take control of your money mindset and attitude, then head over to Amazon and pick up a copy of my book. You won’t regret it!  And if you want even more help and support on your business journey, make sure to subscribe to my podcast so you can keep in touch. I release new episodes every week packed full of tips, strategies and insights that will help you grow your business (and sanity!) exponentially. Until next time!

Conclusion

So in this podcast in Dealing with Business Risk I talk about what risk is and why it matters so much to businesses, namely

• What risk is
• How to group and categorise risk
• The different actions available to us when it comes to mitigating that risk.

In the next episode, we'll be looking at specific examples of risks and how best to deal with them. If you're interested in finding out more, make sure you subscribe to my YouTube channel so you don't miss out! Thanks for listening!

Subscribe now so you don't miss an episode.  For more business and finance, news, advice and tips, don’t forget to subscribe and watch our weekly videos on I Hate Numbers, listen to our weekly podcast I Hate Numbers

My podcast will help

Listen to find out more.

Furthermore, my mission is to inform, inspire and educate you to get closer to your numbers.

You can make more profits, save tax and time, improve your well-being and your money mindset.

Help me to help you and others by subscribing and sharing this episode in your network.  

Inexplicably completing forms SS-4 8832 are not at the forefront of people’s minds. Hear those words, and you may be looking for that drying paint.

However, if you are a non-US resident company receiving income from the United States, then you need to

• Firstly pause
• Secondly, listen to episode 119 of my I Hate Numbers podcast
• Lastly, watch the drying paint later.

Your nonresident income is liable to have 30% held back if you don’t complete form W-8BEN-E.  Check out episode podcast episode 68 for the audio, and my YouTube video if you want to see what goes in the form.

It doesn’t stop there.  If you are a business owner with just yourself as the only shareholder, then two more forms to add.  What are those forms I hear you ask.  Great question, Those forms are

IRS forms

• SS-4; and
• 8832

The idea of completing IRS Forms SS-4 and 8832 may make you feel like your head is going to explode. You're not alone! Completing these forms can be confusing, but it doesn't have to be.

In this weeks episode, I'll walk you through the process step by step, and make it as simple as possible.

Why we need forms W-BEN-E , SS-4 and 8832

You can ignore these forms if you wish.  That’s not such a good idea

Not completing and submitting form W-8BEN-E means your US client can and will have to withhold up to 30% of your US income. That's 30&% OF financial pain. Thanks, Uncle Sam!

What about forms SS4 and 8832? Well, not all tax jurisdictions are created equally. And the IRS does not recognise single member companies as corporations. So, step forward those extra forms.

Conclusion

So, there you have it. The process of reclassification for a single member shareholder company is made easier.  However, it is important to remember the two steps involved. Applying for an EIN and then form 8832.  Do you fancy seeing what the forms look like, and what goes into them?  Then check out my You Tube video , even better subscribe to the channel.

Don’t forget to download, subscribe and please leave a comment – that helps me write I love getting feedback from listeners – hearing from you helps me make my content even better. Thanks for tuning in!

Subscribe now so you don’t miss an episode.  For more business and finance, news, advice and tips, don’t forget to subscribe and watch our weekly videos on I Hate Numbers.

Furthermore, my mission is to inform, inspire and educate you to get closer to your numbers.  You can make 

In this episode, we explore the crucial topic of holiday pay for employers. As business owners, we bear many responsibilities, and additionally, one of the most significant is towards our staff, our workers. We will explain why honouring this obligation is essential not only for legal compliance but also for the overall success of your business.

Who Is Entitled to Holiday Pay?

In the United Kingdom, all workers, including part-time, full-time, or even those on zero-hours contracts, have an entitlement to receive holiday pay from the moment they start working. Consequently, providing fair compensation for employee time off to all eligible employees is a fundamental aspect of being a responsible employer.

How to Calculate Holiday Pay?

Let's clarify how to calculate compensation for holiday time off for your employees. The statutory entitlement for holiday pay in the UK is 28 days a year, equivalent to 5.6 times an employee's normal working week. For example, if an employee works five days a week, they are entitled to 28 days of paid time off per year. Additionally, you can choose to provide additional holiday pay beyond the statutory 28 days.

The Crucial Importance of Honoring Holiday Pay Obligations

1. Legal Requirement: Ensure you meet the legal obligation to provide holiday pay. Failure to do so can result in legal action against your business, leading to costly consequences, including court costs and damage to your reputation as an employer.
2. Protect Your Reputation: Demonstrate your commitment to your employees and uphold your standing as a responsible employer. Moreover, a positive employer reputation can attract and retain talented individuals, crucial for the success of your business. Additionally, it enhances your overall brand image, making your company an employer of choice.
3. Boost Productivity: Invest in your employees' well-being through proper compensation for time off. This allows them to recharge and return to work more energized and productive, benefiting both your employees and your business.
4. Tax Deductible: Remember that compensation for holiday time off is tax deductible. Providing a financial incentive to ensure your employees receive the time off they deserve. This allows you to optimize your tax planning and reduce your tax liabilities, thus contributing to your company's financial health.

Key Takeaways

We cannot emphasize enough the significance of employee time off and holiday pay for employers. By treating your employees well and providing fair compensation for time off, you are investing in the success and reputation of your business. So, let's prioritize honouring this obligation and continue building workplaces that foster loyalty, dedication, and prosperity.

Get in touch!

We'd love to hear your thoughts on this episode! Get in touch with us through our website or social media channels. Share your insights and experiences about holiday pay and employee time off. Together, let's build a community of responsible employers.

What are the risks of self-employment? Great question.  Risks and life go naturally together. It's as natural as ham and pineapple pizza gin and tonics and cheese pickle sandwiches.  That's no different when you enter the world of business and you start working for yourself and become, self-employed think of those risks as part of your route to self-employment.

In this podcast, I will guide you through some of the main issues that you are likely to face. I'm going to discuss how to best prepare for them, knowing and dealing with those risks gives us a clear path to success.  Hi folks. My name is Mahmood. I am the podcast host of I hate numbers and my mission in life is to simplify the world of finance and numbers for business owners, help them make more time, help them save tax, make more profits and improve what goes on between their ears.

Self-employment versus employment

There are many benefits to going alone, there are also downsides.  Control, responsibility, destiny, and money are some of them.

Wanting to explore the tax differences?  Check out or FREE online calculators.

What are some of the other risks of working for yourself looked at in this podcast?

• Uncertainty, risk, and your money attitude
• Working capital, money fuel to run your business.
• Mistakes, and what Edison’s take on it is
• Pricing your products and services correctly
• Tracking and understanding your money in and money out
• Sales and marketing. It’s more than your website and a bunch of business cards.

Check out or FREE online calculators.

Moreover, do you want to know the answer to the question ‘What are the risks of self employment ?  This podcast tells you all you need to know, with tips, and advice

Listen to find out more.

Firstly, I love to help business owners connect with and understand their numbers.  Above all I want you to improve your attitude to money, make more profit, save tax and time.

Help me share Number Love by telling your friends and family about the show.  Listen now and subscribe to I Hate Numbers, so I can send it straight to your inbox every week with all the latest updates from I Hate Numbers podcast! are

Links

https://podcasts.apple.com/podcast/proactiveresolutionss-podcast/id1500471288

https://open.spotify.com/show/5lKjqgbYaxnIAoTeK0zins

https://www.stitcher.com/podcast/proactiveresolutionss-podcast

How to change your approach to money builds on last weeks episode. You can, and should change your approach to money to supercharge your finances. If you find you don’t handle money well, don’t save money, or just don’t know how to budget, here are seven ways to change your money mindset.

1.      Firstly, Acknowledge your fears

We all have fears when it comes to money. Ignoring them doesn’t help anything though. Instead, you need to sit with them and get comfortable with them. When you recognize your fears, you can find ways to push through them.

If you let fear run your life, you won’t make good financial decisions or any decisions because you’ll feel stuck in your tracks. Instead, acknowledge anything you’re afraid of with money and take baby steps to overcome the fears.

2.      Secondly, Set goals

You can’t achieve financial goals if you don’t set them. No matter what you think about money and how you handle it, set financial goals

You can’t budget or save if you don’t know why you’re budgeting or saving. Write down your goals, both short-term and long-term. Make sure they are SMART goals

3.      Thirdly, surround yourself with like-minded people

You are who you surround yourself with so it’s important to spend time with people that have the same money goals as you.

If you spend your time around people that complain about being broke and live a scarcity lifestyle, you’ll start doing the same. Instead, surround yourself with people that have the same beliefs about money that you do.

They don’t have to be identical goals, but at least surround yourself with people that have a positive money mindset and aren’t negative in general so you don’t start acting negative too.

4.      Fourthly, stop comparing yourself

If you want to change your approach to money then don't compare yourself to others.  The only person you should compare yourself to is you. Don’t try to compete with anyone else or keep up with the Joneses. Set your own financial goals and find ways to achieve them.

You do what’s right for you and find ways to make your goals happen. But don’t let other people’s successes or failures change how you think about yourself. For example, if your neighbor buys a BMW, don’t let yourself feel less than because you drive a Toyota. You never know what type of debt your neighbor put himself in to buy that BMW.

5.      Dream big and make it happen

Even if retirement is 20+ years away, dream about it. What will you do in retirement? At what age do you want to retire? Do you want to work or be completely free?

Even if you’re drowning in debt and don’t have any money in your emergency fund, believe that you’ll get there and make it happen.

6.      Learn to be grateful

We’re all programmed to focus on the negative things in our lives, but what about the positives? Moreover, look for the positives you’ll find them, just like if you look for the negatives, you’ll find them.

Take, for example, your debt. You might look at it and think ‘I’m such a loser, I have $5,000 in credit card debt and I’ll never get out of it’ or you could look at it and say, ‘I’ve knocked my debt down from $7,000 to $5,000, if I keep going, I’ll be out of debt before I know it.’

7.      Know your why

You can’t be financially successful if you don’t know your why. Think about the reasons you want to be financially successful.

In your money mindset do you want to create a future for you and your family?  Does debt

How to Diagnose Business Failure is episode 51 of I Hate Numbers podcast. The podcast is part of a wider mission. It's to help your business improve your money mindset, get closer to your numbers, make profit, survive, and thrive.

Firstly, in last week’s episode we looked at one way of looking at business failure. Secondly, the words poor and leadership were common factors.

Why diagnosing Business Failure is important 

Running your own business is risky. Above all spotting and assessing business failure gives us insight, strength and purpose.  Certainly you get to understand your own strengths and weaknesses, and those of others.

We can use this approach looking at our own business, as well as other peoples.

Listen to find out more.

How to develop a business framework.

 Numbers are not everything. Your numbers help paint a story but can’t paint your complete story. We dive into performance management and look at the Argenti framework.

The Argenti approach looks at

• Defects leading to
• Mistakes leading to
• Symptoms of Failure

Defects are about management weaknesses and accounting deficiencies. Your mistakes are typically

• Over trading
• Gearing
• Big projects

Listen to find out more

Most importantly, How to diagnose Business Failure helps you figure out your solution.

In this episode we see that growing is not always good. As a bonus check our free online break even calculator.

If you have topics you want explored in future episodes, then let me know.

To sum up, the show is there to help you improve your money mindset, make money, survive, and thrive. Get in touch with us to see how we can help you with your accounting and business needs. Subscribe so you do not miss an episode of I Hate Numbers. For more business and finance, news, advice and tips

Listen to find out more

In This Episode

• Appreciating that diagnosing Business Failure helps you fix it
• Being aware of the practical application of the Argenti framework
• Understanding what mistakes, defects and symptoms of failure are
• Seeing that growth isn’t always positive
• Developing your own Numbers confidence and decisions
• Take more control of your numbers to help make you money, survive and thrive

Links

https://podcasts.apple.com/podcast/proactiveresolutionss-podcast/id1500471288

https://play.google.com/music/m/I3pvpztpjvjw6yrw2kctmtyckam?t=I_Hate_Numbers

Understanding the tax treatment for sole traders in the United Kingdom is crucial for managing your business finances effectively. Sole traders, unlike limited companies, operate without legal separation between personal and business finances. This structure may be simpler, but it comes with unique tax obligations.

What It Means to Be a Sole Trader

As a sole trader, you take home all the profits after taxes, but you are also personally responsible for any business debts. For instance, Alex, a freelance photographer, must manage his income and expenses carefully to ensure proper tax reporting. Similarly, registering with HMRC is a vital first step. Sole traders need a Unique Taxpayer Reference (UTR) to file annual self-assessment tax returns.

How Taxation Works for Sole Traders

Sole traders are taxed on their business profits, not their total income. For example, Sarah, a baker, earns £40,000 from her sales but spends £10,000 on business expenses. Her taxable profit is £30,000. In the UK, income tax thresholds vary, with a personal allowance of £12,570. Any profits exceeding this amount are taxed at rates between 20% and 45%, depending on the income bracket.

National Insurance Contributions

Additionally, National Insurance Contributions (NICs) apply to sole traders. Class 2 NICs are a flat rate, while Class 4 NICs depend on profits, with rates starting at 9% for profits over £12,570. For Sarah, this would mean an NIC bill of £1,748 in addition to her income tax.

Key Deadlines and Record-Keeping

It is important to file your tax return by 31 January following the tax year. Keeping detailed financial records simplifies the process and ensures compliance with HMRC requirements. Tools like BudgetWiz can help with tracking income and expenses efficiently.

Final Thoughts

Managing the tax treatment for sole traders may seem daunting, but it becomes manageable with proper guidance. For more tips and insights, listen to the I Hate Numbers podcast, where we simplify finance for business success.

Gaining Financial Controls for your business can be difficult and often rather daunting. Moreover, having the right approach and finance controls in place is essential to keep ahead of any financial issues that may arise.

This week’s podcast looks at PAWAD.  This is a five-step approach on how to set up and use effective Financial Controls for your business. The benefits of having Financial Control are many,

• Firstly, whether you are on track to reach your goals.
• Secondly, you stay in control of your business.
• Thirdly, Stress, anxiety and uncertainty is replaced by calm, clarity and focus
• Fourthly, greater visibility about where your money is going.
• Fifthly, what your money is being used for

Furthermore, a healthy bottom line!

What is PAWAD I hear you ask, great question, hear is a little taste,

• P is for Plan
• A is for Actual
• W is for Why
• A is for Action
• D is for Do

Listen to find out more

Conclusion and good to know

Operating any kind of business without having effective and impactful Financial Controls for your Business leads to financial problems down the line.  I don’t want that for you. So, whether you’re just getting started with developing good practices or already have basic controls set up, listen to get more insight.

The I Hate Numbers podcast isn’t just about Financial Controls, financial storytelling, and financial performance though.  Other topics are covered, for example, cash flow management, budgeting, forecasting, tax, accounts, and more! Every episode provides actionable advice from me, Business Finance coach, accountant and educator who explains that stuff in an easy and no-nonsense way.

Are you a small business owner, social enterprise or organisation passionate about change? Managing your finances can be a lot of work, trust me.  Finally, there’s software that makes keeping track of your cash flow and financial planning easier: Numbers Know How.

It helps you stay organised so you can focus on what matters to you, the creative work and the impactful change. Take a step away from the chaos with fast setup & easy navigation – numbers just got real…for the better! Get organised & make sense of it all with Numbers Know How today!

Grab your FREE cashflow guide Make your own Future Cash Story Plan with Numbers Know How.  Get in touch with us to help make your life easier and stress-free. Contact us if you need help figuring out and sorting your numbers, creating your future 

At "I Hate Numbers," we emphasize the critical role of tax planning for business owners and employers alike. Managing taxes efficiently isn't just a legal obligation—it's a strategic imperative. Today, we delve into a powerful yet often overlooked strategy: benefits in kind.

What are Benefits in Kind?

Benefits in kind are non-cash perks provided to employees, such as company cars, medical insurance, and even housing. These perks hold a monetary value but aren't part of the standard salary package. The appeal? They offer tax advantages, particularly by sidestepping Employee's National Insurance, making them a valuable tool for both companies and employees.

Merits of Adopting Benefits in Kind

Tax Efficiency: By offering benefits in kind like gym memberships or health insurance, companies can achieve significant tax savings. For instance, funding personal expenses through benefits in kind can be more tax-efficient than taking equivalent cash from the company.

Cost Efficiency: Negotiating bulk discounts for corporate benefits, proves cheaper for companies compared to individuals. This approach not only saves costs but also enhances employee satisfaction.

Employee Satisfaction and Retention: Beyond monetary compensation, benefits in kind play a pivotal role in enhancing employee satisfaction and retention. Offering perks like flexible working arrangements or professional development can differentiate your company in a competitive job market.

Comparison with Salary and Dividends

While the traditional route of salary and dividends is common for private companies, it has limitations. Dividends depend on company profits and lack tax-deductible benefits, unlike benefits in kind. This makes benefits in kind a more flexible and imaginative option for remuneration.

Tax-Free Benefits Examples

Certain benefits, such as mobile phones and work-based parking, can be provided tax-free to employees. These exemptions benefit both employers and employees, enhancing overall compensation packages without incurring additional tax burdens.

Conclusion

In conclusion, incorporating benefits in kind into your tax planning strategy can lead to substantial benefits for your business and employees alike. To learn more about maximizing your tax efficiency and enhancing employee satisfaction through benefits in kind, tune in to the "I Hate Numbers" podcast. Join our community and start planning your taxes smarter today!

Sole Trader or Limited Company—this is one of the most significant decisions you'll face as a business owner. Each option has its own advantages and challenges. However, understanding how these choices impact your business can save you from costly mistakes.

The Sole Trader Advantage

A sole trader business is straightforward to set up. Because you and your business are legally the same entity, getting started is simple and affordable. Additionally, sole traders enjoy fewer reporting obligations and generally lower administrative costs. However, despite its simplicity, this structure comes with risks. For instance, your personal assets are at stake if financial or legal issues arise.

Moreover, sole traders may struggle to attract investors or plan for substantial growth. For example, Emma, a fictional bakery owner, chose to run her business as a sole trader. Nevertheless, when faced with financial difficulties, she found her personal finances exposed.

The Benefits of a Limited Company

Conversely, a limited company offers greater protection by separating your personal assets from your business. Consequently, your liability is limited to the company itself. For example, Ali, who launched a tech startup, opted for a limited company to protect his assets and prepare for future investment opportunities.

Although forming a company requires more administrative work and compliance costs, it provides better opportunities for tax planning. Additionally, companies enjoy more credibility, which can positively influence how customers and suppliers perceive your business.

Making the Right Choice

When deciding between a sole trader or limited company, you must consider your goals, risk tolerance, and growth plans. Additionally, tax planning and administrative responsibilities play a crucial role. While starting as a sole trader might suit some, transitioning to a limited company can make sense as your business grows.

Final Thoughts

Sole Trader or Limited Company? The choice depends on your unique needs and ambitions. Before you decide, consult a professional for tailored advice. For more insights and guidance, listen to the I Hate Numbers podcast today!

If you're a business owner, then measuring your financial performance, keeping track of it is essential to your success.  But do you know how to measure it?  In this podcast, I'll explain two important metrics for measuring your business's financial performance.

If you want to make sure your business is on track financially, keep reading!

No one ever said that being in business was easy – it takes a lot of hard work and dedication to be successful. But one of the most important things you can do is measure your financial performance so you can stay on track and make sure your efforts are paying off.

So listen to find out more for tips on how to measure your business's financial performance!

Conclusion

The bottom line is, measuring your financial performance is necessary if you want your business to survive and thrive. You need to know where you're at so you can make informed decisions about the future of your company.

That's why I want to share this podcast with you.  In it, I talk about how to do a financial review, two key numbers and what benefits you can expect from doing one.

I also introduce my Numbers Know How Financial Story Plan Community where business owners like you can come together to help each other grow and succeed financially.

If this sounds like something you want to learn more about, join my Numbers Know How Financial Story Plan Community, connect to my I Hate Numbers YouTube channel,  I’d love to have you there!

Subscribe to I Hate Numbers now so you don’t miss an episode.  My book, I Hate Numbers will change your relationship with numbers and money, in a good way.  Check out what people have said, buy the book and make your own mind up, you won’t be disappointed.

If you found this podcast useful then share this episode on social, leave a review on Apple podcast.  Connect with me on Instagram, YouTube, Twitter, LinkedIn and Facebook.

Stress and anxiety are part of the human condition. However, undue stress and anxiety are detrimental. As small business owners, we cope with numerous responsibilities. Besides delivering our products and services, we manage marketing, sales, accounting, and customer service. It's no wonder that many business owners feel stressed and anxious.

In this week's "I Hate Numbers" podcast, we discuss four strategies for coping with stress and anxiety, maintaining productivity, generating profits, and preserving well-being.

Identify Triggers

Firstly, identify what triggers your stress and anxiety. We must recognise when stress becomes excessive and causes discomfort, fatigue, or irritability. We cannot solve a problem without understanding what the root cause is.

Find Healthy Outlets

Secondly, find healthy outlets for you to relieve stress. Once you know the triggers, you need a healthy outlet. Physical activity, meditation, yoga, journaling, and spending time in nature are beneficial. Choose activities you enjoy and make time for them daily.

Find a Mentor

Thirdly, find a mentor. A mentor with business experience can offer advice, support, and empathy. They help avoid mistakes, saving time, money, and reducing stress and anxiety. Choose someone you trust and feel comfortable talking to.

Rely on Your Team

Lastly, rely on your team. Whether it is paid staff or freelancers, your team is there to help you. Delegate tasks, ask for advice, and lean on them. It makes running your business easier and helps you stay sane.

Conclusion

In conclusion, these strategies help manage stress and anxiety. Remember, you are not alone. Many small business owners face similar challenges. If stress and anxiety are excessive, seek qualified support. Join the Numbers Know How community for additional support. Listen to the "I Hate Numbers" podcast for more tips and join the Numbers Know How community. Keep stress levels at bay and stay productive.

Do you struggle with your mental health and money? You’re not alone. Millions of people are struggling with their mental health and money, but it doesn’t have to be that way. There is a solution!

You’re not alone. Millions of people are struggling with their mental health and money, but it doesn’t have to be that way. There is a solution!

It’s not an uncommon feeling to feel overwhelmed by debt, anxiety, depression, and the stress of everyday life.  Things become much when you take control of your finances and start taking care of yourself.

And while there are many reasons for this anxiety, one thing is certain – financial stress has a direct impact on your mental health and well-being.  This week’s podcast shines a light, shares tips, and advice.

In this podcast I am going to share four tips to help you with Your mental health and money .  Moreover, this will improve your sense of well being and improve your attitude to money.

• First Tip : Your own behaviours and attitudes.
• Second Tip : B is for budgeting, what some people dread but it will help restore calm, certainty and control into your life
• Third Tip: Buying when you are not 10% and shiny bauble syndrome
• Fourth Tip:  Your Physical and mental health.

Conclusion

Moreover, if you ever find yourself worrying about money you’re not alone. In fact, it’s estimated that many adults worry about their finances at least some of the time.

Listen to find out more.

My mission is to inform, inspire and educate you to get closer to your numbers. You can make more profits, save tax and time, improve your well-being and your money mindset.

Help me to help you and others by subscribing and sharing this episode in your network.  .  Listen now and subscribe to I Hate Numbers, so I can send it straight to your inbox every week with all the latest updates from I Hate Numbers podcast! are

If you found this podcast useful then share this episode on social, leave a review on Apple podcast, connect with me on Instagram, You Tube, Twitter, LinkedIn and Facebook,

Links

https://podcasts.apple.com/podcast/proactiveresolutionss-podcast/id1500471288

https://open.spotify.com/show/5lKjqgbYaxnIAoTeK0zins

https://www.stitcher.com/podcast/proactiveresolutionss-podcast

Are you thinking of starting or running a Community Interest Company (CIC)? In this episode, we'll delve into the concept of Asset Lock in Community Interest Companies, and its importance, especially in the world of social enterprises.

Asset Lock in Community Interest Companies Defined

Asset lock, a safeguard that ensures funds received by a CIC are used solely for their intended community purposes, promotes transparency and prevents personal enrichment of directors or founders.

Implications for CICs

Now, let's have a look at the implications of asset lock for Community interest companies. CICs must effectively manage and retain assets to benefit the community. When transferring or selling assets, they need to meet strict requirements, including conducting transactions at fair market value and ensuring direct benefit to the community. Transfers to other asset lock bodies require consent from the regulator.

Incorporating Asset Lock

To ensure clarity and compliance, you should include provisions for asset lock in the Articles of Association. These provisions should clearly identify the beneficiaries, seek permission, and provide an explanation to the designated asset lock body

Asset Locked Body and Alternatives

While CICs are commonly recognized as asset locked bodies, it's worth noting that other organizational structures, like charitable incorporated organizations, can adopt asset lock principles. Nominating asset lock bodies in the Articles of Association is a best practice for smooth asset transfers.

Dissolution and Residual Assets

When it comes to dissolution, handle residual assets with care and inform the nominated asset lock body as a courtesy, ensuring continued community benefit.

Considerations and Compliance

Exercise caution when selecting asset recipients and avoid self-nomination. Regulatory approval is necessary for transferring or selling assets below market value to non-nominated asset lock bodies.

Conclusion

In conclusion, asset lock plays a vital role in safeguarding communities and ensuring accountability in CICs. Understanding its implications empowers CICs to fulfil their mission and make a lasting positive impact. Whether you're starting or running a CIC, embracing asset lock is a crucial step toward building a successful and socially responsible organization.

If you found this episode helpful, and know someone who might benefit please pass the word! The more people we reach, the more impact we can make together! And don't forget to stay tuned for more exciting episodes where we'll continue exploring essential topics. Thanks for listening and being part of our community! In the meantime Plan it, Do it, Profit!

If you want to see how we can help you with your social enterprise, accounts, tax affairs, budgeting or planning then contact us for an initial FREE chat.

Retirement planning is crucial, whether it's years away or just around the corner. As we explore the UK state pension in this I Hate Numbers podcast, we aim to provide clarity on the two-state pension types and how to optimize your entitlement. Our team is dedicated to empowering you with financial knowledge, so let's delve into the details.

Two Types of State Pension

The UK state pension comprises the basic state pension and the new state pension. The pension you receive depends on your birth date. Men born before April 6, 1951, and women born before April 6, 1953, are eligible for the basic state pension, while those born after these dates qualify for the new state pension.

Qualifying Years and Entitlement

To maximize your state pension, you need 35 qualifying years of paying the right national insurance contributions. Having a minimum of 10 qualifying years ensures you receive a proportionate pension, while anything beyond 35 years won't increase your pension further.

National Insurance Contributions

For employees, Class 1 National Insurance contributions count toward your state pension. Even on a low wage, you may receive credits to bolster your pension. If you're self-employed, paying Class 2 National Insurance (about £164 per year) helps build your pension record.

Filling the Gaps

Discovering gaps in your contribution history can be concerning, but fear not! You can buy back years until 2006 to improve your pension. The government recently extended the deadline to April 5, 2025, considering financial constraints and communication challenges. So, act sooner than later and secure your future!

Supplementing Your Pension

While the state pension is valuable, we don't believe it should be your sole financial pillar in retirement. Consider other provisions such as workplace pensions or setting up a pension if you're a director. Remember, pensions are an excellent tax planning approach for a comfortable retirement.

Conclusion

Understanding your UK state pension is a critical step in securing the retirement you deserve. Assess your qualifying years, fill any gaps, and make provisions for a financially stress-free future. Plan wisely, act promptly, and let's make your financial dreams a reality!

Call to Action: Explore our website for valuable insights and resources on financial planning. Stay tuned for upcoming podcasts and take charge of your financial journey. Together, we can build a prosperous future. Plan it, do it profit. 

Many businesses use cost based pricing, or cost plus pricing but what is it?  How does it work, what are its advantages and disadvantages

When it comes to pricing your goods or services, there are a few popular strategies that business owners use.  The most well-known is cost-based pricing, where you charge what it costs you to produce or provide the good or service.

In this weeks I Hate Numbers podcast I'll focus on cost plus pricing is and how it works.  Furthermore , I will look at the pros and cons of using this strategy for your business.

Listen to find out more

Do you need to price your products or services for sale but don't know where to start? Have no fear, our free online pricing calculator is here! With just a few pieces of information, our calculator will help you come up with a fair price for your items. So why not give it a try today? You may be surprised at how easy it is!

Conclusion and good to know

Do you need to price your products or services for sale but don't know where to start? Have no fear, our free online pricing calculator is here! With just a few pieces of information, our calculator will help you come up with a fair price for your items. See what mark up and profits are.  So why not give it a try today? You may be surprised at how easy it is!

Join my financial planning and story telling community at Numbers Know How If you want 1-2-1 support then I would be happy to help you create a sound financial plan for your company.

Are you ready to have an easier and more rewarding relationship with your numbers?  My book, I Hate Numbers helps you get there.

I Hate Numbers is an easy, humorous but serious read about running a business.  It also shows you how to have a financially rewarding relationship with your numbers. Furthermore, my book will help with that battle between the ears, that all business owners experience. If you feel like you could use some help in this area, buy my book and let me show you how to get on track for success. Not only will you be able to understand your finances better, but you’ll also learn how to take the stress out of money management. Thanks for reading!

Get in touch with us to help make your life easier and stress-free. Contact us if you need help figuring out and sorting your numbers, creating your future financial story plans, your tax, payroll and other...

Welcome to today’s episode of I Hate Numbers where we talk about Break Even. Making profits is what your business should aim to do. The financial milestone before that is for you to break even. Knowing your break even gives you better business insights, greater accountability and helps you make more profit in your business.

What is Break Even

Your business breaks even when your sales covers all your costs, neither a profit nor a loss is made. However, you can look at break-even for your whole business, or for your individual products and services. Listen in to learn more.

Calculating your business break even

Figuring out and looking at your costs is the first step. You need to understand costs in terms of how they react and behave according to your business activity. In this podcast we revisit Fixed and Variable costs. We talk lemonade selling to illustrate break even, listen to find out more.

Conclusion

However, that is not all, break-even analysis can also show you how much profit or loss you can make at different sales levels. Break-even is your powerful business management tool.

What Next

Grab a coffee, make yourself comfortable, sit back and listen.  Start thinking about the costs that stay static and those that change in your business. Think about your own business break-even.

I love doing this podcast and sharing my love of Numbers with you.  Check out the link to subscribe and do not miss an episode.  Help me spread that Number Love by sharing it this podcast and others with your network.

In This Episode

• Why knowing your break-even is such a big deal ?
• 
  
• How to calculate your break even
• 
  
• Developing your own Numbers confidence and decisions
• 
  
• Take more control of your numbers to help make money

Making your cash flow forecast is the most important financial and business task you can do in your business.

Running a business is hard. But there’s one thing that will always derail your dreams, scupper your business, and have it collapsing around you - running out of cash.

Above all, whatever the size, shape, or type of your business, you must have a forecast. This week my I Hate Numbers podcast helps you build yours so that you can make sure that never happens again!

I'll show you that by making your cashflow forecast you'll be able to see exactly where your money is coming from and going to at any given time – which means no more surprises when it comes time for payroll or rent! And if something does go wrong? No worries! You've got this now.

Listen now to find out more

Do you want to know how to forecast your cash flow?

Making a cash flow forecast is the process of predicting what will happen with your company’s finances. It involves translating your business story into activity and then turning that activity into a financial plan.

You need a plan so that when challenges come up, you are prepared and ready to face them head on. A good way to start this journey is by making a cash flow forecast today! All you need is your business story and then you can start.

The steps you need to go through to make that forecast a reality - translating that business story, into what that means in terms of activity and getting out your business Lego bricks, to turn that activity into your financials. If you want a visual representation folks, then check out this video on my I Hate Numbers You Tube channel,.

Conclusion

Above all, you need to know that Making your cash flow forecast is the key to your financial liberation, well-being and control.  This week’s podcast tells you this, plus calculations, tips, and advice.

Listen to find out more.

My mission is to inform, inspire and educate you to get closer to your numbers. You can make more profits, save tax and time, improve your wellbeing and your money mindset.

Help me to help you and others by subscribing and sharing this episode in your network.  .  Listen now and subscribe to I Hate Numbers, so I can send it straight to your inbox every week with all the latest updates from I Hate Numbers podcast! are

If you found this podcast useful then share this episode on social, leave a review on Apple podcast, connect with me on Instagram, You Tube, Twitter, LinkedIn and 

How to cope with Failure in Your Business? Failure is often seen as negative in business. When we hear the term, it sounds bad. The dictionary defines failure as a lack of success, especially in specific activities. However, we need to change this viewpoint.

Famous Examples of Overcoming Failure

Walt Disney

Walt Disney faced rejection 300 times before his idea of Mickey Mouse was accepted. Consequently, he built a legacy of theme parks and entertainment that lives on.

Oprah Winfrey

Oprah Winfrey, born into poverty, was fired from her first job as a news anchor. Although she faced many challenges, her hard work and resilience led to immense success.

Thomas Edison

Thomas Edison famously said he found many ways that didn't work before succeeding. When he died, he held over 1,000 patents. Thus, failure can lead to incredible achievements.

Dealing with Failure in Business

Acceptance and Responsibility

In nearly 30 years of business, we have faced many failures. We lost money and made bad decisions. Nevertheless, each mistake taught us valuable lessons.

Firstly, we must accept and take responsibility for our failures. Blaming others does not help. Instead, we should reflect, learn, and move forward.

Enjoy the Journey

Secondly, reframe our mindset. Set milestones and goals, but appreciate the journey. Enjoy the process and growth along the way.

Positive Self-Talk

Additionally, avoid negative self-talk. It’s crucial to build self-confidence and focus on learning from setbacks. Negative thoughts can hinder our progress.

Patience

Lastly, practice patience. Success takes time. Overnight success stories are rare. By measuring progress and setting realistic timelines, we can stay motivated and on track.

Final Thoughts

In conclusion, learning how to cope with failure in your business is vital for success. Accept responsibility, avoid negative self-talk, and practice patience. Join a supportive community for further growth.

Listen to the I Hate Numbers podcast for more insights and tips on managing your business effectively.

Useful Links

https://www.ihatenumbers.co.uk/budgetwhizz/

https://www.ihatenumbers.co.uk/

https://numbersknowhow.co.uk/

VAT reverse charging fundamentally shifts the responsibility of VAT accounting from the seller to the buyer. Unlike traditional VAT transactions where sellers collect and pay VAT to HMRC, the buyer handles the VAT declaration instead. Consequently, this mechanism prevents VAT fraud by eliminating the risk of sellers disappearing with VAT payments owed to HMRC. Furthermore, it ensures compliance and streamlines transactions for certain sectors.

Why Does VAT Reverse Charging Exist?

Reverse charging exists primarily to combat VAT fraud, particularly in high-risk industries such as construction and telecommunications. For example, unscrupulous sellers may collect VAT and fail to remit it to HMRC, leaving taxpayers at a loss. Additionally, this system ensures that VAT processes are cash-neutral for businesses, especially for cross-border transactions. This mechanism applies only to specific scenarios and not to all VAT transactions.

When Does Reverse Charging Apply?

Firstly, reverse charging applies within the construction industry for VAT-registered contractors and subcontractors. Secondly, it is relevant for cross-border transactions involving goods and services between the UK and other countries. Moreover, specific commodities like telecom equipment and energy provisions fall under its scope. For example, if a UK business purchases services from a supplier in France, the buyer records and declares the VAT in their own accounts.

Benefits and Challenges

Altogether, VAT reverse charging simplifies cash flow for sellers, reduces errors, and strengthens fraud prevention efforts. However, there are challenges, especially for those unfamiliar with VAT rules. For example, non-VAT-registered businesses inadvertently exceeding the £90,000 turnover threshold may find themselves unexpectedly VAT-registered. Therefore, keeping accurate records is essential.

Practical Tips for Managing Reverse Charging

Using accounting software like Xero significantly eases the complexities of managing reverse charging. Xero’s features ensure accurate reporting and compliance. However, setting up systems correctly is critical to avoid mistakes. Moreover, consulting an accountant is advisable for businesses navigating these regulations.

Final Thoughts

VAT reverse charging minimizes fraud and enhances compliance by shifting responsibility from sellers to buyers. Therefore, businesses must stay informed and manage their transactions efficiently. To learn more about simplifying VAT and other financial processes, listen to the I Hate Numbers podcast today.

How do you describe your business in the business world? In this week's episode of the "I Hate Numbers" podcast, we tackle a topic often overlooked but with significant implications. You might wonder, "What's in the name?" Well, it turns out, quite a lot. Traditionally, we classify ourselves as freelancers, self-employed individuals, charities, private businesses, or voluntary organizations. This categorization profoundly influences self-perception, framing of interactions, and external perceptions of our value.

Identity in Business

Rethinking Definitions: Contrary to popular belief, being a business isn't solely about size or structure. It's about the impact we make, the services we provide, and the risks we undertake. Size isn't the defining characteristic; it's the actions and engagements that matter. However, challenging misconceptions is necessary. Some believe that only large entities with extensive staff and resources deserve the title of "business." We disagree. Any entity that provides goods or services, takes risks, and contributes to the economy is a business, regardless of size or structure.

Embracing Diversity

It's time to broaden our definition of business to include freelancers, charities, voluntary organizations, and businesses of all shapes and sizes. Recognizing and appreciating the diverse contributions of various entities is crucial for a thriving society and economy. Incorporating Business Discipline: Embracing business disciplines like planning, budgeting, and risk management across all organizations is essential. Framing ourselves as businesses facilitates audience engagement by focusing on impact rather than structure.

Conclusion

In conclusion, how we describe ourselves in business contexts matters. Emphasizing the impact we make rather than our organizational structure can lead to better recognition and engagement. So, how do you describe your business? Let's rethink our approach and reclaim the term "business" for all entities, irrespective of size or structure. We encourage your feedback and discussion on this topic. Share your thoughts with us!

Do you ever find yourself putting off important tasks, like Procrastinating when Financial Planning ?  You're not alone. Procrastination can be a major obstacle to getting things done. But don't worry, there are ways to overcome it. In this blog post, we'll explore some tips for stopping procrastination when it comes to financial planning. So read on and get started!

Financial planning is an important aspect of any business, but it can be tough to get started when you're feeling overwhelmed or procrastinating. Here are a few tips to help you get started and stay on track.

If you're a business owner, it's important to have a financial plan in place. This will help you stay on track and make sure your business is doing well financially. There are a few things you need to include in your financial plan: your budget, your income and expenses, and your forecast. Having a financial plan will help you make informed decisions about your business' future. Check out our sister site Numbers Know How to get practical help and support . This will help you create a plan that works for your business. Don't wait - start planning for your business' financial future today!

Conclusion

So, there you have it. Procrastination in a nutshell. Now that we understand what it is and why it happens, let’s look at some ways to stop procrastinating and get moving on our financial story plan. Just remember, the key is making that connection between your goal and your financial story plan.  Once you do that, taking action becomes a lot easier. Are you ready to get started? Don't forget to subscribe to I Hate Numbers so you never miss another post and leave me a comment letting me know how you're planning on stopping procrastination in its tracks!

Thanks for joining me this week as I explored one of the biggest challenges facing entrepreneurs today.  How to reduce Procrastination  ! Don’t forget to download, subscribe and please leave a comment – that helps me write I love getting feedback from listeners – hearing from you helps me make my content even better. Thanks for tuning in!

Subscribe now so you don’t miss an episode.  For more business and finance, news, advice and tips, don’t forget to subscribe and watch our weekly videos on I Hate Numbers.

Furthermore, my mission is to inform, inspire and educate you to get closer to your numbers.  You can make more profits, save tax and time, improve your well-being and your money mindset.  My book, I Hate Numbers will change your relationship with numbers, in a good way.  Click to find our more.

Help me to help you and others by subscribing and sharing this episode in your network.  

Responsibilities of a Director in a limited company carry both exciting opportunities and substantial responsibilities. Whether we are leading a small business or a larger organisation, being a director means understanding our role fully. Directors in the UK, regardless of sector, must prioritise compliance and the company’s success.

Acting Within Powers

Firstly, directors must act within the powers defined in the company’s constitution, specifically in the articles of association. These articles define our authority and outline the decisions we can make. Additionally, we should document any updates properly to remain within legal boundaries. Certainly, this proactive approach secures the company’s operational integrity.

Promoting Company Success

Another key responsibility involves promoting the company’s success, a duty that requires aligning our decisions with the best interests of the company. Also, maintaining positive relationships with employees, suppliers, and stakeholders is crucial. As directors, we need to evaluate how our choices will impact these relationships, with fairness as a guiding principle.

Making Independent Decisions

Directors must act independently in their decision-making process. Consequently, this involves confidently expressing our views in board meetings, where silence could imply agreement. Therefore, speaking up when necessary strengthens the company and ensures our contributions are clear and impactful.

Exercising Care, Skill, and Diligence

All directors must exercise reasonable care, skill, and diligence in their roles. Furthermore, by staying informed about industry trends and legal requirements, we enhance our ability to lead effectively. Notably, professional development becomes essential, providing the tools needed to handle complexities in business.

Avoiding Conflicts of Interest

Moreover, avoiding conflicts of interest is a priority. Directors must separate personal interests from those of the company, especially in decision-making. For example, Directors should disclose any possible conflicts to fellow directors to maintain transparency.

Avoiding Third-Party Benefits

Lastly, refusing benefits from third parties preserves a director’s integrity. Thus, gifts that might influence decision-making should be avoided. Establishing a policy around gifts and hospitality can provide clear guidelines for directors and ensure consistent ethical standards.

Final Thoughts on Director Responsibilities

In summary, fulfilling our responsibilities as a director in a limited company ensures the company's success and longevity. Altogether, acting with integrity, staying within our authority, and upholding diligence in our duties strengthens the business and fosters trust. Embrace your role as a director with accountability, and watch your company thrive.

Take a step further in understanding director responsibilities! Listen to the I Hate Numbers podcast for deeper insights and guidance on leading with confidence and purpose.

Are you a business owner looking to make the switch to cash basis accounting?  The transition can be daunting, but it's worth it if you want to make the most of your profits.  In this podcast I'll take a look at how traditional accounting compares to cash basis accounting and show you how to calculate your tax profits under each system.  Let's get started!

The cash basis for tax seems like the right decision for a lot of small business owners. Moreover, it’s simple, straightforward, and easy to understand. You can use it without having to worry about all of the different rules and regulations that come with using other methods.  However, there are some definite downsides to consider before you make your final decision.

The most important thing is to weigh up the pros and cons carefully so that you can make an informed choice about which method is best for your business. I hope this podcast has helped clear up some of the confusion around calculating profit.  If you have any questions, please don’t hesitate to get in touch.  And don’t forget to subscribe so you never miss an episode!

Using cash profits In order to make your business as successful as possible, it's important to know where you're at financially.  One way to measure this is by you Calculating cash profits.  This involves taking your revenue and subtracting your expenses.  Furthermore, this  gives you a clear picture of how much money is actually coming in and out of your company.  While this can seem like a daunting task, it's a crucial step in making informed decisions about the future of your business.  By understanding your cash profits, you can better assess where you need to make changes and cut costs.  And with that knowledge in hand, you can focus on growing and expanding your business!

Who is eligible to use the cash basis for tax and when it is not suitable

The cash basis for tax is a simplified way of accounting for your business income and expenses. It can be used by most businesses, but there are some cases where it is not suitable. I explore in this podcast post

• Firstly, who is eligible to use the cash basis for tax
• Secondly, when it is not appropriate.

Further details can be found here

Calculating tax profits – Traditional accounting versus cash basis

When it comes to calculating profits, there are two main methods, traditional or the cash basis. Each of these methods has its own benefits and drawbacks..

Conclusion

Are you ready to have an easier and more rewarding relationship with your numbers?  My book, I Hate Numbers helps you get there.

This book will show you how to have a rewarding, productive relationship with numbers and your business.  Furthermore, my book will help with that battle between the ears, that all business owners experience.

Grab your FREE cashflow guide Make your own Future Cash Story Plan with Numbers Know How.  Get in

Tax treatment for limited companies plays a significant role in financial planning and compliance. Additionally, understanding the tax rules can help businesses optimise their finances while meeting their obligations. Basically, limited companies have unique responsibilities and opportunities compared to other business structures.

Corporation Tax and Rates

Firstly, limited companies are subject to corporation tax on their profits. Unlike sole traders, who pay income tax, this tax applies directly to the company's earnings. Currently, the corporation tax rate depends on the company’s profit level, albeit rates may vary due to legislative changes. Consequently, staying updated on tax rates is essential for accurate planning.

Allowable Expenses

Another important aspect is claiming allowable expenses, which reduces taxable profits. For example, expenses like salaries, office costs, and professional fees can be deducted. However, only costs that are wholly and exclusively for business purposes qualify. Notwithstanding this, failure to correctly classify expenses could lead to complications.

Dividends and Personal Tax

Limited companies can distribute profits as dividends to shareholders. Evidently, dividends are taxed differently from salaries, with varying rates depending on income thresholds. Moreover, this method of payment can provide tax efficiency when combined with a director’s salary.

VAT Obligations

When turnover exceeds the VAT threshold, companies must register for VAT. Furthermore, businesses may reclaim VAT on allowable purchases. Equally, choosing the right VAT scheme is crucial for effective cash flow management.

Importance of Professional Advice

Lastly, professional guidance ensures compliance and identifies opportunities for tax relief. Despite the complexity of tax rules, working with advisors helps companies navigate the landscape successfully.

Tax treatment for limited companies is undeniably vital for financial health and growth. Therefore, tune in to the I Hate Numbers podcast for deeper insights into managing taxes and boosting your business. Additionally, explore how tools like Xero and our resource guide can simplify your financial journey.

Introduction

Welcome to another weekly episode of ‘I Hate Numbers’.  The podcast that wants you to get acquainted with your best Business Friend.  The friend that won’t lie to you, the friend that you need in times of turbulence, times of calm and times of prosperity.  That friend is your numbers.

Where profit is, loss is hidden nearby, Japanese Proverb.

In this week’s podcast I look at profit, and then go one step further and talk Gross profit and Net Profit.

Importance of Profit

Your business journey map should have profit as a destination point.  If your destination is set for sales alone, then change your route or abandon your journey, it’ll end in tears otherwise.

Cash is pretty important as well, sales though, well it’s like ‘all fur coat and no knickers’

Gross Profit and Net Profit

In the world of numbers Gross doesn’t mean unpleasant or disgusting - though making a rubbish gross profit is. In this podcast I talk about Gross Profit and the relationship it has with Net Profit.

When you set your numbers dial to profit, refine the calibration and mark it in terms of Gross and Net Profit.

Gross Profit and Net Profit, understand them and keep an eye on them if you want your business to carry on, survive and thrive.  If you don't do this then you are missing a trick, and your business can suffer and lose money

Revenue is Vanity, Profit is Sanity, Cash is Reality

“Don’t waste all your energy and focus on sales alone, shift your thinking to think about your profits” Mahmood Reza

Who doesn’t love making a sale? I certainly do.  It’s like a legal dopamine rush, that elation and feeling of happiness.  Be very aware though.  If you are not making profits, then that feeling of happiness can quickly make you feel like you want to pull the head off  a teddy bear, or punch Bambi.

If that trend continues then all those dreams of yours will stay unrealised, unfulfilled and in the distant horizon.

What Next

Think profit, more than sales if you want to make your business to survive and thrive.

A virtual high five from me for listening. Subscribe to the podcast so you don’t miss an episode.

Pro Active Resolutions

The Numbers Crew – Spreading Number Loving Care!

Links

https://podcasts.apple.com/podcast/proactiveresolutionss-podcast/id1500471288

https://play.google.com/music/m/I3pvpztpjvjw6yrw2kctmtyckam?t=I_Hate_Numbers

https://open.spotify.com/show/5lKjqgbYaxnIAoTeK0zins

https://www.stitcher.com/podcast/proactiveresolutionss-podcast

https://tunein.com/podcasts/Business--Economics-Podcasts/I-Hate-Numbers-p1298505/

Cloud accounting is undeniably transforming the way businesses manage their finances. Whether you're running a small business or a large enterprise, this technology offers a smarter, more efficient way to stay on top of your financials. Accordingly, in this week's episode of the I Hate Numbers podcast, we explore the essential benefits of adopting cloud accounting.

The Costs of Cloud Accounting

Typically, cloud accounting operates on a subscription basis, making it more accessible and manageable for businesses of all sizes. Instead of large upfront costs, we can spread expenses more easily, ensuring better cash flow. Additionally, traditional systems often come with higher initial costs, including software licenses and hardware, which can burden companies. By contrast, cloud accounting ensures flexibility and predictability for ongoing financial commitments.

Scalability and Growth

One of the key advantages of cloud-based systems is scalability. As businesses grow, their accounting needs change, and cloud solutions allow us to add features and users as required. Consequently, this makes it an ideal choice for companies looking to expand without being weighed down by outdated systems. Also, it empowers businesses to prepare for growth before they are too busy to implement new solutions.

Efficiency and Time Savings

Cloud accounting offers automation and integration with other business systems, such as payroll and inventory management. This reduces manual data entry and errors, saving time and resources. Moreover, it allows us to focus on value-added activities, leading to increased productivity. Furthermore, these systems are designed to handle multiple business functions simultaneously, ensuring smooth operations.

Real-Time Reporting and Monitoring

A significant benefit of cloud accounting is real-time financial reporting. Businesses can access up-to-date insights, allowing us to monitor cash flow and financial health effectively. Equally important, these systems enable us to manage our business finances from anywhere in the world, thanks to the flexibility of mobile access.

Call to Action

In conclusion, cloud accounting provides numerous advantages, including scalability, real-time reporting, and efficiency. It empowers us to monitor our financial health more effectively and make informed decisions for our businesses. Furthermore, we recommend exploring Xero for a user-friendly cloud accounting experience. For those looking to transition to cloud accounting, we have a helpful guide to assist you in your journey.

We encourage you to listen to the "I Hate Numbers" podcast for more insights into optimising your accounting practices.

Filing taxes in the UK is a mandatory legal requirement for any individual, business or organization that meets certain criteria. While you may be tempted to put it off until the deadline, there are numerous benefits to filing your tax return early for the 2022-23 financial year.

Reduced Stress Levels

It's no secret that filing taxes can be a stressful experience. Waiting until the last moment can increase your stress levels and can lead to mistakes, inaccuracies, and errors. By filing your tax return early, you get to avoid that stressful scramble to meet the deadline. Instead, you get to relax and focus on other important aspects of your personal or business life.

Early Tax Refunds

Filing your tax return early means that you'll receive your tax refund earlier too. You'll get to enjoy the benefits of the refund much earlier than people who wait until the last minute to file their returns. This cash infusion can be crucial for your personal or business finances and can help you achieve your financial goals.

Avoid the Last-Minute Rush

Filing your tax return early means that you won't have to rush to meet the deadline. You'll have plenty of time to gather all the necessary documents, double-check your figures, and make any corrections before submitting your return.

Avoid Penalties and Fines

One of the primary benefits of filing your UK tax return early is that you get to avoid penalties and fines that come with late filing. If you file your tax returns past the deadline, you'll be subject to late filing penalties that can accumulate rapidly. By filing your returns early, you get to avoid such penalties.

Efficient Financial Planning

Another benefit of filing your tax return early is that it allows you to plan efficiently when it comes to your finances. Filing early means that you know exactly how much you owe, if any, and you can budget accordingly. This allows you to plan for the upcoming financial year better, both in terms of tax and overall finances for your personal or business life.

Less Stress

Filing your tax return early can reduce stress levels significantly. You won't have to worry about meeting the deadline, and you'll have peace of mind knowing that your return has been submitted correctly.

Free Up Time and Resources

Filing your tax return early frees up your time and resources, allowing you to focus on other aspects of your business, work or personal life. You don't have to worry about the stress and hassle that comes with trying to meet the deadline, which means that you have more time to dedicate to other important matters.

Increase Your Accuracy

By filing your tax return early, you increase your accuracy levels drastically. It gives you enough time to go through everything and make sure that all the information you provide is correct. This means that you are less likely to make any errors or omissions that could get you in trouble with HMRC.

Conclusion

Filing your UK tax return early for 2022-23 financial year can save you time, money and lots of stress. At "I Hate Numbers," we understand that the process of filing taxes can be overwhelming and stressful.

That’s why we offer professional tax and accounting services to individuals and businesses.  Furthermore. contact us today for help and support on tax, accounts, and managing business finances.

Now, let's talk about the fabulous resources we've cooked up for you.  Log in to your client portal (think of it as your secret recipe book) and find the Tax Return Checklist, or select 

Welcome back, everyone! Today, we're tackling a familiar adversary: procrastination. We've all been guilty of putting things off in both our business and personal lives. In our previous episode, we explored the surprising ways procrastination can be a force for good. However, today, we're taking a different approach, focusing on why procrastination is often a hindrance and providing practical tips on how to beat it.

Why Procrastination Matters

Understanding the Art of Procrastination

Procrastination, the art of delaying essential tasks, is a shape-shifter we've all encountered. Whether it's that crucial email, a vital phone call, or the ever-looming personal tax return, procrastination takes many forms.

 The Tax Return Context

Let's put procrastination into context—something universally relatable, the dreaded tax return. In the UK, millions face this challenge annually, with around 2 million people waiting until the last minute and 660,000 surpassing the deadline.

Unveiling the Reasons Behind Procrastination

Common Causes of Procrastination

Understanding why we procrastinate is crucial. Common reasons include a lack of motivation, poor prioritization, feelings of overwhelm, and challenges in time management.

Practical Tips to Overcome Procrastination

Strategies for Success

Now that we've identified the reasons behind procrastination, let's delve into actionable strategies to beat it.

Additionally, we need clarity on the 'why' behind a task. This rationale serves as our motivation, propelling us forward.

Furthermore, curbing distractions, using the 'Eat the Frog' method, and adopting short bursts of productivity, like the Pomodoro technique, can significantly enhance our focus and efficiency.

Consequently, breaking tasks into smaller, manageable parts and offering rewards post-completion can make the process less daunting.

Moreover, a crucial point is to understand the urgency and priority of tasks, ensuring they align with our goals.

Additional Support for Tax Return and Encouragement

Navigating Tax Returns

As an additional resource, check out our show notes for a free webinar on completing your tax return. It's filled with valuable insights on avoiding mistakes and optimizing claims.

Meanwhile, if you find yourself among notorious procrastinators, you're not alone. It's time to take control of your time and achieve your goals.

Conclusion

In conclusion, overcoming procrastination is a shared challenge. By understanding the 'why' behind it and implementing practical strategies, especially in the context of tax returns, we can reduce stress, enhance productivity, and achieve our goals. Remember to hit that subscribe button, stay updated, and share this episode with your network. Until next time, let's beat procrastination together!

In this episode, additionally, we delve into the importance of planning in business endeavours. As entrepreneurs, we're often enticed by spontaneity and agility, yet the question remains: is it truly viable to forgo meticulous planning? Let's explore the benefits of having a strategic roadmap and why it's paramount for sustainable success.

The Benefits of Planning

Guidance and Direction

Consequently, a plan acts as our North Star, providing clear direction amidst entrepreneurial chaos. Without it, we risk wandering aimlessly, encountering unnecessary detours and hurdles along the way. Moreover, having a well-defined plan not only sets the course but also instils confidence and purpose in our actions.

Risk Management

Meanwhile, while risk is inevitable, planning empowers us to anticipate and mitigate potential pitfalls. It's akin to preparing for a journey; by foreseeing delays and roadblocks, we can strategize alternative routes to navigate challenges effectively. This proactive approach not only minimizes disruptions but also enhances our ability to seize opportunities as they arise.

Clarity and Focus

Furthermore, articulating our goals through planning fosters clarity and focus. It forces us to prioritize tasks and allocate resources efficiently, ensuring everyone is aligned toward a common objective. By outlining specific milestones and deadlines, we create a roadmap that keeps us on track and motivated to achieve success.

Flexibility

However, contrary to popular belief, a plan isn't rigid—it's a living, breathing document that evolves with our business. Flexibility is key, enabling us to adapt to changing circumstances and seize emerging opportunities. By incorporating feedback and adjusting our strategies, we remain agile in an ever-evolving market landscape.

Practical Aspects of Planning

Financial Planning

Similarly, effective cash flow forecasting and budgeting are essential components of planning. They enable us to make informed decisions, ensuring financial stability during lean periods and periods of abundance. By closely monitoring our finances and identifying potential cash flow gaps, we can proactively address challenges and sustain our operations.

Accountability

Nonetheless, our plan serves as an accountability buddy, holding us responsible for actions and progress. It acts as a benchmark, keeping us disciplined and focused on achieving goals. Through regular reviews and updates, we stay accountable to ourselves and our stakeholders, driving continuous improvement and growth.

Conclusion

Ultimately, planning is undeniably good for your business. It provides direction, reduces risk, and fosters accountability. Whether you're a seasoned entrepreneur or just starting out, investing time in strategic planning is crucial for long-term success. By embracing planning as a fundamental pillar of your business, you set the foundation for sustainable growth and prosperity.

As we wrap up, remember that it's never too late to start planning. By charting out a business plan and setting clear goals, we pave the way for a bright and prosperous future. So, take the first step today and embark on the journey to success through strategic planning.

In this episode, we look at designing management reports and their crucial role in helping businesses thrive and make informed decisions.

The Importance of Management Reports

Management reports go beyond mere documents; they are powerful tools for comprehending your organization's past, present, and future. By analyzing a wide range of information, they help you identify opportunities, navigate challenges, and steer your business toward sustainable growth.

Problems with Generating Management Reports

However, many business owners encounter three common problems when generating management reports. It is important to address these issues to maximize the effectiveness of these reports in driving success.

Lack of Clarity in Objectives

Firstly, businesses often fail to consider the purpose and objectives of their reports. Without clear objectives, the internal structure and content of the reports can suffer. Therefore, it is essential to define the specific needs of your business, whether it's financial analysis, efficiency assessment, or strategic planning.

Neglecting the Intended Audience

Secondly, businesses often overlook the intended audience of their reports. These reports should primarily cater to decision-makers such as managers, board members, and external agencies. By tailoring the reports to meet the unique needs of each stakeholder group, you ensure relevance, impact, and effective decision-making.

Inadequate Inclusion of Relevant Information

Lastly, businesses sometimes fail to include all the relevant information in their reports. The information provided must be reliable, accurate, and up-to-date, reflecting key performance indicators (KPIs) specific to your business. While financial results are crucial, it is essential to have a well-rounded analysis that encompasses non-financial aspects, aligning with your mission and objectives.

Conclusion

In summary, management reports are indispensable tools for driving positive change and achieving sustainable business growth. By clarifying objectives, considering the audience, and including relevant information, businesses can harness the power of these reports to make informed decisions, measure progress, and ensure long-term success.

If you would like assistance in developing your management reporting systems or gaining insights into your business, please contact us. Remember, planning, implementing, and profiting from effective management reports can transform your business.

Managing taxes is one of the many responsibilities of running a business. From personal self-assessment taxes to corporation taxes, the process can be daunting. However, by saving for taxes as you go, we can avoid the last-minute scramble and the stress of finding funds to pay our tax bill.

Why Save as You Go?

Firstly, consistent saving helps us avoid the panic of year-end tax payments. Rather than scrambling to gather large sums at the last minute, we can steadily put aside money, ensuring peace of mind. Additionally, this approach stabilises cash flow, preventing sudden, disruptive spikes in outflow.

Moreover, regularly saving for taxes means we’re always prepared. If our tax bill is lower than expected, we can use the surplus for unexpected expenses or investments. Staying compliant with tax regulations also helps us avoid penalties and interest charges.

Practical Steps to Save as You Go

To start, we need to understand our tax liability by consulting with an accountant or using a tax calculator. Then, setting up a separate savings account dedicated to taxes ensures that funds are ring-fenced and not inadvertently spent.

We recommend saving on a weekly or monthly basis, using a percentage of our income as a guideline. Revisiting our savings strategy regularly, adjusting as necessary, will help us stay on track.

Finally, maintaining accurate accounting records is crucial. Digital systems like Xero can simplify this process and provide insight into our financial health.

Conclusion

Saving for taxes as we go is a smart strategy. It reduces stress, maintains cash flow, and ensures compliance with tax laws. By thinking like an employer and acting like a boss, we can set ourselves up for long-term success. Listen to the I Hate Numbers podcast for more tips on managing your business finances effectively.

VAT or Value Added Tax is this week topic of I Hate Numbers. In the UK alone VAT raises £136.6 billion. This is approximately £4,800 for each household, 17% of the total UK tax take.

The majority of countries have VAT or sales taxes, so VAT is a big deal.

In this episode we are going to look at what VAT actually is. What's the role of a business that's involved in VAT? How does VAT affect your prices? We may even volunteer to be VAT registered and be involved in the system. 

Value Added Tax

VAT is a tax that's charged on taxable supplies of goods and services, by a taxable person, during the course of a business. Forget the language of sales and purchases, it's all about supplies! 

Taxable supply

The episode looks at what a supply is and describes the three types of supply:

1. Exempt supplies
2. Outside of the scope of VAT. 
3. Taxable supply 

Taxable supplies and then broken down even further into two subheadings. 

Zero-rated supplies.

These are taxable, but the rate is zero! Typically children's clothing, newspapers, most food and medicine. 

Standard rated supply

This is the catch all category. Anything that is not exempt, outside of the scope of VAT, or Zero-rated is a Standard rated supply. The headline UK rate is 20%  

Taxable person. 

A taxable person is a business that is required to be registered for VAT. So, what do the legislators mean by "required to be registered"? There are two forms of registration. 

Compulsory registration.

Based on values of supplies. That is the right type of supply. Once you are registered for VAT, your role is effectively an unpaid tax collector and administrator. You have a responsibility, not by choice, but one that's imposed on you. Charge VAT correctly, keep the relevant records and collect the VAT from your customers.. 

If you do not follow the rules, then you will be fined, get penalties and at worst you can be prosecuted. 

Voluntary Registration

It sounds crazy. Why would a business wish to volunteer ti be an unpaid tax collector and administration. Get it wrong and you could be fined, pay penalties and interest.. 

Have a listen to the episode to find out more about voluntary VAT registration.

Takeaway

So in summary VAT quite a scary tax. You are the tax collector, the administrator, and if you are selling largely B to C, then VAT will represent a price hike for your customer. But also, VAT represents an improvement in your profit trajectory in your business direction. So look at that as a positive. 

Take action!

Value Added Tax impacts you business and you. Listen to this podcast episode, learn about more about how Value Added tax affects your business.

Grab a drink, make yourself comfortable, sit back and listen.

I love doing this podcast and sharing my love of Numbers with you. Check out the links below to subscribe and do not miss an episode. Help me spread that Number Love by 

Wondering how to price your products or services so you can make a profit?

You're not alone. Figuring out the right price is one of the biggest challenges business owners face.  In this podcast I am going to tell the 2 key stages in pricing, don’t worry about the number crunching I have FREE online calc that steps in to help

Firstly, focus on your 2 key financial outcomes

Secondly, consider 5 key factors that will help you set a price that meets your business objectives

Listen now and learn how to price your products or services for success!

You need to make sure you're covering your costs and making a profit. In this podcast, I'll explain the two main financial outcomes you need to meet, and share a FREE online pricing calculator to help get it right.

Pricing can be tricky - but it's essential for making a profit in your business.  Listen more so you can get it right every time.

Conclusion

Knowing how to price your products or services will make you money, now and in the future.  Moreover, you will achieve two key financial objectives.

For more business and finance, news, advice and tips, don’t forget to subscribe and watch our weekly videos on I Hate Numbers, listen to our weekly podcast I Hate Numbers.

My podcast will help

Listen to find out more.

Furthermore, my mission is to inform, inspire and educate you to get closer to your numbers.

You can make more profits, save tax and time, improve your well-being and your money mindset.

Help me to help you and others by subscribing and sharing this episode in your network.  Listen now and subscribe to I Hate Numbers, so I can send it straight to your inbox every week with all the latest updates.

If you found this podcast useful then share this episode on social, leave a review on Apple podcast .  Connect with me on Instagram, YouTube, Twitter, LinkedIn and Facebook,

https://podcasts.apple.com/podcast/proactiveresolutionss-podcast/id1500471288

https://open.spotify.com/show/5lKjqgbYaxnIAoTeK0zins

If you're a business owner, then you know that the cost of doing business is always on your mind. But what do you do when that cost suddenly skyrockets? Whether it's an increase in rent, wages, or material costs, a sudden spike can be disastrous for your bottom line. Here are a few tips to help you weather the storm.

"Losing your head in a crisis is a good way to become the crisis." C.J. Redwine

Not as much media time, comments through social media, or sympathy, but there is a real cost of business crisis - and not just a cost of living one.

Expect an intensification of 'clench your buttocks', WTF, as the costs of doing business will continue to build and it will feel like a kick in the financial balls. Ouch and wince!

There is no energy cap for businesses, and the eye-watering increases faced by individuals is eye gouging for businesses.

In this podcast I specifically look at how to reduce and manage your energy costs.

For example, businesses that are not work from home ones (of which a gazillion exist, including mine) are facing up to a five fold increase in energy costs.

Support is out there in how deal with energy costs.  However, that may feel like wearing a balaclava as someone hits you with a financial baseball bat.

Dealing with a cost of business of crisis

This episode provides more protection than a balaclava.

 "When everything around you is crazy, it is ingenious to stay calm" - Mehmet Murat ildan

At the risk of understatement, a ton load of businesses are experiencing crappy times, a cost of business crisis - that order of toilet paper will need to be increased.

Unfortunately, the rubbishy times are not unique to business, (Financial Crash 2008 anyone?) though the circumstances may be.

What I do know is that the best way to deal with rubbish times, is

Firstly, attitude and approach - panic is not your friend

Secondly, assessment - don't rely on guesswork

Thirdly, options, there are always options

Fourthly, Financial-Cash flow Plan, you should be doing this anyway

Lastly, Take action - inertia doesn't solve anything

Conclusion

So what does this all mean for business owners? We’re in the midst of a cost of living crisis and it’s impacting businesses in a big way. The good news is that there are things we can do to navigate our way through this very choppy and turbulent storm. In this podcast, I’ve outlined as best I could what a cost of business crisis is, how we should approach it and how we should deal with it.

My gift to you, a free Numbers Know How Cash Flow Guide.   Check out my I Hate Numbers YouTube channel,  Subscribe to I Hate Numbers now so you don’t miss an episode.  My book, I Hate Numbers will change your relationship with numbers and 

Knowing Your Costs Make You Money

Welcome to today’s episode of I Hate Numbers. Knowing your costs makes you money, a statement of the obvious perhaps. The thing with statements of the obvious is we sometimes forget the business basics. In this episode of ‘I Hate Numbers’ I am going to take a real cool way to look at your costs and for you to get great insights into your business. I don’t mean whether they're naughty, or nice, but how they react according to what your business does.

Why you should know what your costs are

Having a great product, customer focus, working hard, marketing, are all important.  Knowing your costs helps you with a lot more, including:

• Calculating your profit, current and future
• What prices to charge
• Your break-even
• Putting together your budget
• Controlling what you spend
• Which customers lose you money

Cost Behaviour and Business Activity

Cost behaviour is all about how your costs react and change.  We need to factor in business activity to complete the picture.  Some of your costs stay the same, whatever your business does; some of costs change, based on what your business does.  Listen to find out more.

Conclusion

When you understand your costs more, you’ll inject oomph into your money making.  The power of this insight and knowledge is numbers gold

What Next

Grab a coffee, make yourself comfortable, sit back and listen.  Start looking at your costs and see if you can match make them to your business activity.

I love doing this podcast and sharing my love of Numbers with you.  Check out the link to subscribe and don’t miss an episode.  Help me spread that Number Love by sharing it this podcast and others with your network.

In This Episode

• Knowing your costs makes you money
• Why understanding your costs is a big deal
• Understanding what costs behaviour means
• Developing your own Numbers confidence and decisions
• Take more control of your numbers to help make money

Links

https://podcasts.apple.com/podcast/proactiveresolutionss-podcast/id1500471288

https://play.google.com/music/m/I3pvpztpjvjw6yrw2kctmtyckam?t=I_Hate_Numbers

https://open.spotify.com/show/5lKjqgbYaxnIAoTeK0zins

https://www.stitcher.com/podcast/proactiveresolutionss-podcast

https://tunein.com/podcasts/Business--Economics-Podcasts/I-Hate-Numbers-p1298505/

Trust forms the cornerstone of every thriving business relationship. Although many focus on profits and growth, this fundamental quality ultimately determines long-term success. Consequently, businesses that prioritize building strong relationships create deeper connections with customers, employees, and suppliers alike.

Think about your own experiences. Certainly, you can recall businesses you stopped using because they broke your confidence. Conversely, consider those establishments you return to repeatedly. Undoubtedly, they've proven themselves reliable and honest over time.

The Business Value of Reliability

Customer Loyalty

Strong relationships keep customers coming back. Indeed, people often stay with businesses they believe in, even when competitors offer lower prices. Moreover, reliable businesses benefit from powerful word-of-mouth marketing. Subsequently, positive reviews and referrals provide cost-effective advertising.

Team Dynamics

Employees who believe in their leaders generally show greater engagement. Additionally, they demonstrate willingness to go the extra mile during challenging times. Correspondingly, this creates a positive workplace culture that attracts and retains talent.

Business Resilience

During difficult periods, strong relationships act as a buffer. Specifically, customers and suppliers more readily support businesses they believe operate with integrity. Therefore, reliability becomes an invaluable asset when facing market uncertainties.

Practical Steps to Build Stronger Relationships

Be Honest and Transparent

Transparency undeniably forms the foundation of strong business connections. Accordingly, when problems arise:

• Communicate proactively
• Explain the situation clearly
• Provide realistic solutions

For example, when delivery delays occur, contact customers before they contact you. Although they might not like the news, they will appreciate your honesty.

Make Realistic Promises

Reliability proves essential to establishing credibility. Hence, only commit to what you can deliver consistently. Furthermore, aim to underpromise and overdeliver rather than the opposite. Consequently, you'll create positive impressions that strengthen business relationships.

Communicate Clearly

Clear communication binds relationships together. Therefore, avoid vague statements and jargon. Instead, speak plainly and specifically about expectations, deadlines, and outcomes. Thus, misunderstandings decrease while confidence grows.

Maintain Consistency

Actions must align with stated values. Likewise, consistency reassures people they can rely on your business. Nevertheless, many businesses start with quality offerings but later cut corners. However, customers notice these shifts, and credibility erodes quickly.

Take Responsibility

Mistakes happen. Still, how we handle them makes all the difference. Unquestionably, owning errors, apologizing sincerely, and making things right builds stronger connections than denial or defensiveness. Additionally, taking responsibility demonstrates integrity that customers and employees respect.

Extending Good Practices Throughout Your Business

Digital Presence

In today's online world, credibility extends to digital interactions. Therefore:

• Ensure secure payment systems
• Be transparent about policies
• Respond professionally to all reviews
• Handle negative feedback...

Where you are not a US citizen and have money from the US is Why you need to complete form W8. This money could be from your clients, pension income, royalties, dividends, capital gains – you get the picture.

Who must complete the W8 form?

Most importantly, it applies to anyone who is not a U S citizen who does not have a permanent establishment in the U S. For example, if you are an individual, sole trader, company or even a charity, not for profit then you must complete form W8.

Firstly, there are two main variations of the form W8. Form W-8-BEN for individuals and sole traders, and W-8BEN-E is for companies, partnerships, charities, and corporations.

This weeks’ I Hate Numbers podcast focus is on the W-8BEN form.

What is the purpose of the W-8BEN form?

Great question. The IRS form must be given to your US client or payer, otherwise they will deduct 30% withholding tax! Before payment is made to you, they must establish who you are, what your tax status is, and whether withholding tax applies to your situation.

I will talk you through what goes into the W-8BEN form. You cannot complete a tax form without getting a headache over jargon. My mind also wanders to George Bernard Shaw who said that The United States and Great Britain are two countries separated by a common language.,

I have you covered. I will translate the official speak, talk US-UK tax treaties and TINs. Fancy seeing what a completed form looks like, click the link to see a video visual.

You need to complete the form to stop 30% tax withheld at source. You don't want this!!. Remember, you still must report this and account for it in the UK, but we're talking about preventing withholding tax being applied.

What next

In conclusion. If you do not complete the W-8BEN form you will have 30% tax stopped at source, which is not what you want. I hope you found this podcast useful. Help me share Number Love by telling your friends and family about the show. Listen now and Subscribe to I Hate Numbers, so I can send it straight to your inbox every week with all the latest updates from I Hate Numbers podcast! are

My news section, FREE online calculators are there for you. Just click here now to get started!

Links

https://podcasts.apple.com/podcast/proactiveresolutionss-podcast/id1500471288

https://open.spotify.com/show/5lKjqgbYaxnIAoTeK0zins

https://www.stitcher.com/podcast/proactiveresolutionss-podcast

How to avoid the dangers of rapid growth, my topic for this weeks I Hate Numbers podcast.

Growth is what all businesses think of. However, rapid growth and poorly managed expansion leads to challenges and headaches.

In today's fast-paced and competitive environment, sustainable growth is vital for long-term success. This weeks podcast delves into the pitfalls of rapid growth and offers you practical strategies to ensure that your business navigates the challenges effectively, enabling steady and enduring progress.

Growing your business fast can be detrimental if the right preparations and actions are not taken. Such symptoms of overgrowth include a decrease in sales growth, difficulties with cash flow, debt and gearing increases, mismanagement of working capital, lack of planning, and burnout for you and your team .

Avoid such issues by having a proper financial management in place. This means having an effective budgeting system in place so you avoid financial shocks and stresses.  Proper cash flow management will also help to reduce the risk of money running low. Furthermore, it is important to make sure that your staff are not overworked by setting realistic deadlines and workloads. Finally, it is important to have a well-defined plan for growth.  This  takes into account how much time and resources you are willing to invest into scaling up your business

Conclusion and good to know

Growing a business takes hard work, dedication, and a willingness to invest in yourself and your team. Focus on cash and profit, streamline your operations, and be patient. With these tips, you’ll be well on your way to success.

The I Hate Numbers podcast covers  a range of must know business topics to help you Plan It, Do it, Profit. For example. financial storytelling, and financial performance cash flow management, budgeting, forecasting, tax, accounts, and more! Every episode provides actionable advice from me, Business Finance coach, accountant and educator who explains that stuff in an easy and no-nonsense way.

Are you a small business owner, social enterprise or organisation passionate about change?

Managing your cashflow is vital, but can be a lot of work, trust me.  However, there’s software that makes keeping track of your cash flow and financial planning easier: Numbers Know How.

It helps you stay organised so you can focus on what matters to you, the creative work and the impactful change. Take a step away from the chaos with fast setup & easy navigation – numbers just got real…for the better! Get organised & make sense of it all with Numbers Know How today!

A recession is a difficult time for any business, so knowing How your business deals with a recession is a vital part of your toolkit,

It may be that your customers may have less money to spend, you may have to let staff go, and your bottom line may be shrinking.  But all is not lost, there are things you can do to help your business weather the storm.

In this week's I Hate Numbers podcast I'll look at some ways to deal with a recession and keep your business afloat. Furthermore, your business can even prosper, listen to find out more.

A recession can be a difficult time for businesses of all sizes. Knowing how to deal with a recession and keep your business afloat is essential for any entrepreneur or small business owner. In this blog post, we'll discuss some tips for weathering a recession and keeping your business moving forward. Thanks for reading!

Conclusion

So hopefully these tips will show you How your business deals with a recession. If you have any questions, or want more information on how to apply these tips specifically to your business, please don’t hesitate to reach out. I love talking shop, so feel free to subscribe to my Hate Numbers podcast where every week we discuss ways small businesses can survive and thrive, regardless of the economy. And until next time, keep calm and carry on!

And if you’re still feeling lost or don’t know where to start, our team at Numbers Know offers comprehensive financial planning services that will help get your business through these trying times and into a bright future ahead.

So, what are you waiting for?  Check out our website now and see how we can help get your business back on track!

Are you ready to have an easier and more rewarding relationship with your numbers?  My book, I Hate Numbers helps you get there.

This book will show you how to have a rewarding, productive relationship with numbers and your business.  Furthermore, my book will help with that battle between the ears, that all business owners experience.  Learn more and buy my book today!

Get in touch with us to help make your life easier and stress-free. Contact us if you need help figuring out and sorting your numbers, creating your future financial story plans, your tax, payroll and other accounting and business matters

When and how to complete form W-8BEN-E is a must for non-US tax resident entities earning money in the US.  This week’s I Hate Numbers podcast follows on from last week.

Last week I dealt with individuals and sole traders earning money from the US, who have income from the U S.  This week in I Hate Numbers, it is the turn of companies, partnerships, charities, and single member companies.

Tax and forms, tax and forms go hand in hand, just like chips and gravy, gin and tonic and pineapple and pizza. None more so do tax and forms go hand in hand when, as a non us tax resident, you are dealing with the us and earning money from there.

In this week podcast, it is the turn of companies, partnerships, charities, and single member companies.  When and how to complete form W-8BEN-E is my this week podcast focus .

What goes into form W-8BEN-E?

I will walk you through form W-8BEN-E.  My podcast may not be the perfect format for showing what the forms look like.  I have got you covered, check out my you tube video video for a visual.  Moreover, I am going to take you on step by step by journey to explain the form, what it is about, and what goes into it.

At 30 sections, the W-8BEN-E IS a weightier tome compared to the one that individuals and sole traders must complete.  Do not get overwhelmed though, not all thirty sections will apply to most of you, it’s a one size fits all form.

Abbreviations and forms are natural bedfellows, it must be a word space thing!   Let’s face it, it would not be a form unless you had abbreviations.  Abbreviations are FATCA, NFFE and TIN.  Phrases keep the abbreviations company.  One such phrase, or term if you prefer is the ownership and based erosion test.  You need to know what this is to complete the form.

Listen to find out more.

Single member companies

There are different tax and business structures in the US compared to the UK.  One example is the C corporation , which is the most common business structure.  The C corporation is taxed like UK limited companies.  The company pays tax on its profits. The individual shareholders directors will pay tax on the basis that dividends are withdrawn, or salaries paid to the owners.

Moreover, single shareholder companies are not recognized as US C corporations, which are limited company as we know them in the UK.   If you are a single member company that wants to be taxed as C Corporation then you must complete a couple of extra forms, as well a form W-8BEN-E.

Listen to find out more.

What next

In conclusion. If you do not complete the W-8BEN-E form correctly you will get a financial kick in your balls, 30% tax stopped at source.  Ouch! This podcast on When and how to complete form W-8BEN-E is useful stuff.

Help me share Number Love by telling your friends and family about the show.  Listen now and Subscribe to I Hate Numbers, so I can send it straight to your inbox every week with all the latest updates from I...

Understanding the Role of National Insurance in Your UK State Pension is key to making informed decisions about your financial future. National Insurance is used to calculate your State Pension and affects how much you receive.

Getting the full State Pension means you must have paid or been credited with at least 10 years of National Insurance contributions. Furthermore, if you do not have the full 10 years, you may still be eligible for a reduced amount.

What is National Insurance?

National Insurance is a tax that UK workers pay to contribute to the country's social security system. It is paid by employees through PAYE or paid directly if you are self-employed. The amount of National Insurance you pay is based on your earnings, and there are different rates depending on your income.

What is the State Pension?

The State Pension is a payment that the UK government provides to people who have reached the age of retirement. Moreover, the amount of your State Pension depends on your National Insurance contributions. The more National Insurance you pay, the more you get in State Pension benefits. Worth noting that the current State Pension age is 66, but will increase to 68 by 2046.

How to Top Up Your National Insurance Contributions?

Where there are gaps in your National Insurance record, you may be able to pay to fill them in. Do this by making voluntary National Insurance contributions. Given that, top up your National Insurance contributions to increase your State Pension benefits. Moreover, make voluntary contributions if you are employed, self-employed, or not working.

Gaps in your National Insurance record

Get a State Pension forecast which will tell you how much State Pension you may get. Apply for a National Insurance statement from HM Revenue and Customs to check if your record has gaps.

You tube channel – I Hate Numbers

Why not take advantage of my I Hate Numbers channel – with exclusive weekly video content to help you reach and exceed those all-important targets. Don’t forget to subscribe, so that you can join countless others who have achieved huge successes by following my tips and tutorials. Together, we’ll make the numbers work for your business!

And if you’re still feeling lost or don’t know where to start, I Hate Numbers and our team at Numbers Know How will help get your business through these trying times and into a bright future ahead.

So, what are you waiting for?  Get in touch with us to help make your life easier and stress free. Contact us if you need help figuring out and sorting your numbers, creating your future 

Do you care about your business?

Being kind is good for business. It makes customers happy, it builds relationships, and it can even lead to more sales. You don’t have to be a saint to be kind – in fact, being genuine and authentic is the best way to go.

When your kindness shines through in your interactions with others, they feel seen and heard. That’s what we all crave – connection. And when people feel connected to you and your business, they want to stick around for the long haul.

Listen to this podcast to see how kindness can help your business succeed!

Do you want your business to be successful?

Kindness is one of the most important aspects of a successful business. In fact, it's one of the most important aspects of any relationship. When kindness is missing, so too is trust, and without trust there can be no success.

Being kind doesn't mean being weak or ineffective. It means that you're strong enough to put yourself in someone else's shoes and understand their perspective. It means that you're able to forgive and forget, and that you're always looking for ways to improve things for everyone involved. That's what makes a kind person a great leader.

Listen now to this podcast to see how kindness can help your business succeed!

Conclusion

So, what have we learned? Kindness, Being kind is good for business.  Moreover, it is essential in business and it can take many different forms. You don't need to be Mother Teresa or Gandhi to show kindness in your professional life - something as simple as a smile or a thank you can make all the difference. And if you're ever feeling down about work, remember that being kind to others is one of the best ways to feel good yourself. Listen to this episode for more great tips on how to bring kindness into your business dealings and subscribe so you never miss an episode!

For more business and finance, news, advice and tips, don’t forget to subscribe and watch our weekly videos on I Hate Numbers, listen to our weekly podcast I Hate Numbers.

My podcast will help

Listen to find out more.

Furthermore, my mission is to inform, inspire and educate you to get closer to your numbers.

You can make more profits, save tax and time, improve your well-being and your money mindset.

Help me to help you and others by subscribing and sharing this episode in your network.  Listen now and subscribe to I Hate Numbers, so I can send it straight to your inbox every week with all the latest updates.

If you found this podcast useful then share this episode on social, leave a review on 

Self-employed and want to know more about the fifth Self-Employment grant?

Most importantly, the fifth Self-Employment grant differs from previous grants. There’s an extra turnover test to see how much you can claim. This podcast looks at this, grant eligibility, what you must do. In addition, I will share examples and tips. Above all, your claim is based on your reasonable judgement, evidence, and judgement.

Click here for the full podcast now! You won't regret it! I'll answer your questions so you can make an informed decision about applying for the grant.

Who can claim the fifth Self-Employment grant ?

This fifth Self Employment Grant is for those affected by the coronavirus outbreak.  The grant will cover the period May 2021 to September 2021.

No government announcements have been made for additional financial support for the self-employed beyond September 2021.

In today’s podcast, I am going to be looking at how the fifth self-employed grant differs, compared to previous grants.  Furthermore I look at eligibility criteria, and evidence.  Lastly, I will be looking at how much the grant is worth, and possible HMRC follow up action.

How is the claim made for the fifth Self-Employment grant ?

Firstly, HMRC will make the initial assessments as to whether you are eligible to apply.  They should you to to confirm whether you can make the application.

Initial eligibility, for example whether you are self-employed, level of your trading profits, and filing your tax return HMRC will know that.  No change compared to previous claims, check out those details.

You don't need to provide any financial data because HMRC have that on file, you've got to make a declaration that you intend to continue to trade, you've got a reasonable belief that there's going to be a significant reduction in your trading profits because of reduced business activity.  The key thing is the link and connection between Coronavirus and your business between May and September 2021.

But make sure you have the evidence to back that up. More of that in the podcast.

What next

Above all, do you want to know more about the fifth Self-Employment grant?  You can get it if you meet all these conditions.   This podcast will tell you what you need to know about eligibility, the pitfalls, examples and tips.  Your  claim is based on your reasonable judgement, evidence, and judgement.  What does this mean?

Listen to find out more.

Help me share Number Love by telling your friends and family about the show.  Listen now and Subscribe to I Hate Numbers, so I can send it straight to your inbox every week with all the latest updates from I Hate Numbers podcast! are

Links

https://podcasts.apple.com/podcast/proactiveresolutionss-podcast/id1500471288

https://open.spotify.com/show/5lKjqgbYaxnIAoTeK0zins

Building Your Business Growth Road Map is highly recommended in any business situation. This could for business growth, pivoting, or sustainability. William Hurley said this about ideas. Ideas are cheap, It is building them into profitable companies that is hard ideas. I like insects. Many are born, but few live to maturity.

In this week’s episode of ‘l Hate Numbers’ I talk about the why, the what and the how of building your own business growth map.

Why a Business Growth Road Map?

Your business road map, a plan under any other name is invaluable and gives you

• Accountability
• Plans minimise risk
• They give you direction
• Focus becomes a watchword
• Easier to achieve your objectives

Don’t delude yourself into thinking that what’s in your head is good enough, not having a road map means that you're forever chasing your tail.

What is in Your Business Road Map?

Your business road map converts your ideas into something more meaningful. The purpose is to get you to your end destination, the destination that you choose.

How do to build and use Your Business Road Map?

Brain dumps are the start part of the process. Imagine tipping out the ideas and thoughts in your brain, however chaotic, however unstructured. That is the start of the process, you can use that brain dump to generate content.

Your business road map includes several elements.

• Your mission, your reasons for being
• End destination, your Northern Star where you want to end up
• Measures to monitor your progress
• Customers: Doing a 360-degree audit of your client base
• Your They can't be, and shouldn’t be avoided
• The vital ingredient to make your road map come to life and be achievable

You need perseverance and tenacity. There is going to be time just when it's going to be quite lonely. It doesn't feel to be working. And there's going to be times of elation.

It is not easy achieving business growth. It's like turning up at the gym and hoping those abs will just appear.

What Next

Grab a coffee, make yourself comfortable, sit back and listen. If you want to join out business growth club then click the link to find out more.

I love doing this podcast and sharing my love of Numbers with you. Check out the link to subscribe and do not miss an episode. Help me spread that Number Love by downloading it, listening, and acting!

In This Episode

• Understanding why you need a Business Growth Road Map
• Knowing what your Business Growth Road Map contains
• How to build your Business Growth Road Map
• Looking at Numbers and Leadership
• Developing your own Numbers confidence and decisions
• Take more control of your numbers to help make you money, survive and thrive

Links

https://podcasts.apple.com/podcast/proactiveresolutionss-podcast/id1500471288

https://play.google.com/music/m/I3pvpztpjvjw6yrw2kctmtyckam?t=I_Hate_Numbers

In today's episode, we, as dedicated proponents of effective business practices, discuss the paramount significance of planning in the world of business. We firmly believe that planning serves as the compass that guides businesses through turbulent waters, ensuring they not only survive but also thrive. In this discussion, we'll break down the essential elements of planning and highlight why adopting a proactive mindset is your secret weapon for sustainable success.

The Power of Strategic Preparation

Let's start with the basics. Effective planning is the backbone of any business, whether privately owned or operating as a not-for-profit entity. Consequently, neglecting this crucial aspect is akin to playing with fire. The consequences can be dire, as research reveals that many business failures can be attributed to a lack of financial foresight.

Fostering the Planning Mindset

At, we're all about fostering the mindset of strategic preparation. This isn't just about crafting rigid plans; it's about shifting your focus from the rearview mirror to the windshield. It's about staying ahead of the curve, continually monitoring progress, and adeptly adapting to evolving circumstances.

Defining Your Business Goals

To embark on this transformative journey, you must commence with the clear and well-defined establishment of your business objectives. Whether you're charting a course for the next 12 months, 2 years, or even 3 years, the magic often lies in the number three; it provides focus and clarity.

SMART Goals

Now, let's get SMART: Specific, Measurable, Achievable, Realistic, and Time-bound. These are the essential traits your goals should embody. Therefore, rather than formulating vague aspirations, set forth concrete targets that can be meticulously tracked and systematically accomplished.

Staying Focused

A crucial facet of successful strategic preparation is the unwavering maintenance of your focus. Nonetheless, resist the temptation to juggle an excessive number of objectives simultaneously. Overloading yourself with numerous goals can lead to unwarranted distractions and a dilution of your efforts.

Crafting Your Battle Plan

At this juncture, it's time to craft your strategic action plan. Think of it as preparing for a lengthy journey. What activities will propel you closer to your ultimate destination? Additionally, at this stage, we're not becoming bogged down in the minutiae; instead, we're wholly concentrating on the 'how' and 'what.'

Translating Strategy into Numbers

In due course, it becomes imperative to translate your meticulously devised action plans into tangible numerical figures. Furthermore, resist the urge to prematurely dismiss ambitious possibilities. Instead, contemplate the investments needed, envision the team you wish to assemble, and imagine the resources you're prepared to allocate.

Beyond the Plan

Remember, strategic preparation isn't a one-and-done endeavor; it's a continuous process. Liken it to the regular maintenance of your vehicle; periodic check-ups and maintenance are requisite to ensure seamless operations.

Conclusion: Embrace the Strategic Mindset

We trust you've gained valuable insights into the significance of strategic preparation. By fully embracing the strategic mindset, you'll alleviate stress, manifest your ambitions, and ensure your business flourishes. Share this episode and explore Numbers Knowhow for online tools to stay on track.

It's no secret that I know that financial planning is wonderful.  Successful businesses require effective financial planning. But did you know that there are several other benefits to financial planning as well? In this podcast I'll look at some of the key advantages of financial planning for your business.

Whether you're just starting out or you've been in business for a while, it's never too late to get started on sound financial planning!

The benefits of financial planning are vast, and they touch every aspect of your life.  This includes

• Firstly, clarity of purpose, decision making and focus, a clear path to success
• Secondly, reducing your stress and anxiety, why wouldn't you want that ?
• Thirdly, seeing where the risks and pitfalls.  Furthermore, managing and swerving those risks
• Lastly, avoiding a time consuming and expensive hobby, and making profits.

Being your own boss is a great feeling. But it's important to remember that, as with any other type of organisation, a business needs careful financial planning if it's going to be successful in the long term.

Listen to find out more

Conclusion and good to know

From reducing stress to making more money, financial planning is wonderful and essential for you and your business. Watch our video to learn more about how we can help you achieve your Northern Star. Are you ready to take the next step?So what are you waiting for? Listen to find out more.

Join my financial planning and story telling community at Numbers Know How If you want 1-2-1 support then I would be happy to help you create a sound financial plan for your company.

Are you ready to have an easier and more rewarding relationship with your numbers?  My book, I Hate Numbers helps you get there.

This book is based on my 27 + years in business, helping thousands of businesses survive and prosper.  Furthermore, it is an easy, humorous but serious read about running a business, having a financially rewarding relationship with your numbers, Furthermore, my book will help with that battle between the ears, that all business owners experience.

Get in touch with us to help make your life easier and stress-free. Contact us if you need help figuring out and sorting your numbers, creating your future financial story plans, your tax, payroll and other accounting and business matters.

Getting your Finances in Order is key to a successful business.  Find out more by checking out Numbers Know How 

In the world of business, bookkeeping often remains in the shadows, underestimated and undervalued. However, as we delve into this episode of the "I Hate Numbers" podcast, we'll unveil the profound impact of bookkeeping that extends far beyond numbers.

Understanding the Basics

Before we explore the ten compelling reasons that highlight bookkeeping's crucial role in business, let's first define its essence. Essentially, bookkeeping involves systematically recording, organizing, and managing financial transactions. Regardless of the method—whether digital, spreadsheet, or paper—the principles remain consistent.

10 Reasons Why Bookkeeping Matters

1. Historical Insights

By meticulously tracking income, expenses, sales, and purchases, businesses gain a historical context for informed decision-making and future planning. Furthermore, this historical data forms a solid foundation for assessing trends and shaping strategies.

2. Compliance Assurance

Effective bookkeeping ensures compliance with tax regulations, financial standards, and legal obligations. Moreover, adhering to these standards provides a shield against potential penalties and legal complications.

3. Tax Optimization

Accurate records streamline tax calculations, deductions, and claims, thereby minimizing the risks of penalties or investigations. When your records are detailed and precise, you can easily substantiate any tax-related claims.

4. Strategic Decision-Making

Precise bookkeeping supports financial statements, which in turn enables insightful evaluations of profitability, liquidity, and overall stability. In addition, these insights serve as crucial guides for business strategies and future directions.

5. Informed Analysis

Insights derived from financial analysis drive strategic planning, budgeting, and resource allocation. Moreover, an informed analysis based on accurate data lays the groundwork for robust decision-making.

6. The Budgeting Advantage

Proper bookkeeping facilitates realistic budgeting, forecasts, and adaptable strategies. This, in turn, empowers businesses to navigate market changes and seize emerging opportunities.

7. Credibility Boost

Transparent records enhance credibility with suppliers, investors, and lenders. Consequently, maintaining accurate records becomes pivotal for securing crucial financial support.

8. Auditing and Due Diligence

Maintained records ease internal and external audits, thus ensuring compliance with internal controls and regulations. In the event of acquisitions or mergers, a comprehensive bookkeeping history is invaluable for due diligence.

9. Asset and Liability Management

Detailed records help track assets, liabilities, and equity, thereby optimizing resource utilization and strengthening overall financial stability.

10. Fueling Growth and Expansion

Accurate records support strategic growth and investor confidence. In...

In this episode of the I Hate Numbers podcast, we explain what depreciation is and its importance in business. Albeit often misunderstood,  it is crucial for accurately determining profitability. Essentially, we clarify that it is not merely a reflection of value loss but rather an allocation of the asset's cost over its useful life. Subsequently, we discuss how businesses categorize expenses into revenue and capital, identifying the latter as subject to depreciation. Specifically, we outline two primary methods of calculating depreciation: the straight-line method and the reducing balance method, offering practical examples for each.

Key Concepts

Revenue vs. Capital Expenses

Before exploring what depreciation is, we differentiate between revenue and capital expenses. Revenue expenses are daily operational costs such as hiring staff or buying food. Conversely, capital expenses include investments in infrastructure like equipment or buildings, vital for generating revenue but not intended for immediate sale.

What Depreciation Is

Depreciation involves spreading the cost of fixed assets over their useful lives, thus aligning expenses with revenue generation. Hence, we clarify that it is not about the asset's current market value but its cost allocation.

Calculation Methods

We explore two main methods:

• Straight-Line Method: Allocates depreciation evenly across the asset’s lifespan.
• Reducing Balance Method: Allocates more depreciation in earlier years, reflecting higher initial usage and diminishing benefits over time.

Impact on Financial Statements

Depreciation affects the income statement and balance sheet. However, it does not impact cash flow directly, though it is crucial for accurate profit reporting.

Conclusion

Overall, understanding what depreciation is helps in better financial management and accurate profit calculation. Therefore, it’s essential to grasp its role in aligning costs with revenue over time.

Listen to the full episode of the I Hate Numbers podcast to enhance your financial insights. Share your thoughts, and visit our online financial planning platform for additional resources.

In this episode of the I hate numbers podcast, we delve into the crucial topic of business debt. While some might view debt as a risky path, it's not always doom and gloom. We'll explore the ins and outs of business debt, when to consider it, and how to manage it effectively.

Why Borrowing Matters for Your Business

As a business owner, you might need a financial boost to fuel your growth. Business debt can be that friendly neighbour, in the form of banks or financial institutions, helping you achieve your goals. Tax benefits are often cited as a reason to borrow, but it's essential to understand the fine print and the real impact on your finances.

Tax Deductibility: Not As Lucrative As It Seems

While debt interest is tax-deductible, it's not a straightforward 1-to-1 benefit. Understanding the details is crucial. Remember, tax savings on interest costs are not equivalent to the total interest paid. It's essential to weigh the commerciality of borrowing, not just the potential tax benefits.

Debt Repayment: A Fixed Commitment

Regardless of your business's profitability, debt repayment remains a fixed cost. Failing to repay can lead to severe consequences, jeopardizing your business viability and personal financial security if personal guarantees are involved.

The Upside of Debt: Speed and Control

On the positive side, business debt can be easier to arrange than other financing options like share issues or asset sales. You retain full control of your company without diluting your ownership.

The Downside of Over-Borrowing

Too much debt can lead to increased risk and financial pressure. Debt increases your operational gearing, making your business more sensitive to changes in costs and sales. It's crucial to have a robust cash flow plan to ensure you can service your debt under different circumstances.

Striking the Right Balance

Business debt can be a rollercoaster ride, with highs and cautious climbs. While it can fuel your growth and offer tax advantages, it comes with risks and responsibilities. Properly managing your debt and maintaining a sturdy cash flow plan are essential for success.

Conclusion

Business debt can be a useful tool if used wisely and managed effectively. Finding the right balance and understanding the consequences are vital. Share your thoughts and experiences with debt, and remember, we're here to help you navigate the financial waters. Until next time, stay financially aware and make informed decisions for your business. Plan it, Do it, Profit!

When setting up a business one of the first considerations you will have to make is what business structure you should choose. The common options are whether to operate as a limited company, a sole trader, partnership, or a charity!

In this episode of ‘I Hate Numbers’ I talk about the options available for choosing your business structure (also known as business form), and how to decide. Mini spoiler alert if you are your own boss then you are self-employed!

Why business structure is important

Once a decision is made your actions will have consequences in a number of areas, including

• Your financial records and accounts
• Personal liability
• Taxes
• Raising money
• Tax planning
• Management structure and decision making

Options, money, and taxes

In most things in life and in business there are always options. That is no different when it comes to deciding on your business structure.

Many end up with a business structure by default, without thinking what is best for their business now, and for the future.

This episode lays down the foundations (excuse the play on words) for

• Options
• Features
• Decisions
• Money and taxes

Good to Know

Your business structure can change and evolve over time. You can even have differing types to suit how your business empire is made up, and where you are in your business cycle.

In my next podcast I get down and dirty with money and taxes. Different business structures = different tax consequences

What Next

Grab a coffee, make yourself comfortable, sit back and listen.

I love doing this podcast and sharing my love of Numbers with you. Check out the link to subscribe and do not miss an episode. Help me spread that Number Love by downloading it, listening, and acting!

In This Episode

• Understanding the differing types of business structure
• Knowing what each type of business structure has as its strengths
• How to decide what is suitable for your business
• Developing your own Numbers confidence and decisions
• Take more control of your numbers to help make you money, survive and thrive

Links

https://podcasts.apple.com/podcast/proactiveresolutionss-podcast/id1500471288

https://play.google.com/music/m/I3pvpztpjvjw6yrw2kctmtyckam?t=I_Hate_Numbers

https://open.spotify.com/show/5lKjqgbYaxnIAoTeK0zins

https://www.stitcher.com/podcast/proactiveresolutionss-podcast

https://tunein.com/podcasts/Business–Economics-Podcasts/I-Hate-Numbers-p1298505/

If you are self-employed, you are basically your own boss. This was the topic of my podcast last week. Check it out if it you haven’t had a chance to listen to it, or need a refresher

In this episode of ‘I Hate Numbers’ I talk about tax and your self-employed business. I dive deeper in this week’s podcast and look at the difference and add some numbers.

Sole trader vs limited companies

There are approximately 3.5 million sole traders and 1.9 million limited companies in the UK alone. It seems right to look at these two ways to ruin your self-employed business, partnerships get a look in.

Tax and Choice of Business Structure

“Death, taxes and childbirth! There's never any convenient time for any of them.” - Margaret Mitchell, Gone with the Wind.

You should not ignore tax when deciding which business structure. Tax is factor in your decision making.

Good to Know

Different business structures mean different tax consequences. The heavy lifting of reading the tax rules, how it works, how much and impact has bene done for you.

Being aware of how you are taxed, helps you plan for it, minimise it (legally of course) and not get caught out

What Next

Grab a coffee, make yourself comfortable, sit back and listen.

I love doing this podcast and sharing my love of Numbers with you. Check out the link to subscribe and do not miss an episode. Help me spread that Number Love by downloading it, listening, and acting!

In This Episode

• Understanding how the different taxes work
• Knowing the various taxes for sole trader’s and companies
• How you decide what is your best business structure for tax purposes
• Developing your own Numbers confidence and decisions
• Take more control of your numbers to help make you money, survive and thrive

Links

https://podcasts.apple.com/podcast/proactiveresolutionss-podcast/id1500471288

https://play.google.com/music/m/I3pvpztpjvjw6yrw2kctmtyckam?t=I_Hate_Numbers

https://open.spotify.com/show/5lKjqgbYaxnIAoTeK0zins

https://www.stitcher.com/podcast/proactiveresolutionss-podcast

https://tunein.com/podcasts/Business–Economics-Podcasts/I-Hate-Numbers-p1298505/

“If you fail to plan, you are planning to fail” - Benjamin Franklin.  That saying applies perfectly to business planning, or as I like to see it, planning your business journey.

In this episode of ‘I Hate Numbers’ I am going to be talking about Planning your Business Journey, how to turn your business dream into a closer reality

Why you need a business plan

Your business plan is a smart way to map out your future story. Lots of businesses do not bother writing one, then again lots of businesses do not survive and thrive. If you fancy running a business and making money, then have a listen.

If you would rather have a time-consuming hobby and chase your tail, then read no more. You hear business plan, and think it is only needed when you are after funding. You hear business plan and think a waste of your time and energy. You hear business plan and think what I need one for, I know what I am doing.

If that is what you think or been told, think again,

Content

A good business plan makes sense of your jumbled-up thinking. A good business plan helps you focus, chucks that outdated thinking onto the rotting veg pile. A good business plan focuses the mind, brings clarity to where you want to take your business and helps you make money.

We need to consider the main building blocks to our business story, to our business planning.  We need a coherent and consistent story.  The main chapters, the main building blocks include

✅ Business Summary & Purpose

✅ Business goals and objectives

✅ Markets and competitors

✅ Sales and marketing

✅ Operations (not the medical kind)

✅ Your Numbers

✅ Risks

✅ Monitoring and accountability

Numbers

“A Business Plan with no numbers & detail is like going to a restaurant that doesn’t serve food, it’s pointless”,

Your numbers for your business plan reflect the story to be told.  Numbers come second, get your story straight, overlay the numbers, edit, review, and publish.

Your business plan is there to help make you money, not run a hobby. If you want to make money, you need to spend, understand risk, control, and bring that money in.

Good to Know

“Everyone has a plan 'till they get punched in the mouth.” Mike Tyson.

Your business plan is not cast in stone, you need to react and adapt to changing circumstances.  You need to grab opportunities that come your way, ones that you had not envisaged.  However, keep a focus, and do not be distracted by shiny business baubles.  Put in that sweat to get that equity.

What Next

Grab a coffee, make yourself comfortable, sit back and listen.

I love doing this podcast and sharing my love of Numbers with you.  Check out the link to subscribe and don’t miss an episode.  Help me spread that Number Love by downloading it, listening, and taking action in your business.

In This Episode

• Understanding the reasons why your business planning is about story telling
• 
  
• Knowing the key parts of business planning and how they fit together
• 
  
• The vital role that your numbers play in your business planning
• 
  
• Developing your own Numbers confidence and decisions
• 
  
• Take more control of your numbers to help make you money, survive and thrive

Links

https://podcasts.apple.com/podcast/proactiveresolutionss-podcast/id1500471288

Freedom is something that everyone looks forward to when self-employed. More time for yourself, live life on your own terms.

However, just like the business and financial risks, there are personal and lifestyle risks associated with self-employment.

Now do bear with us here, we aren’t talking about risk to put people off self-employment. We just want you to be aware of the risks so that you can manage them and take advantage of what lies ahead. So let's get into it!

We will be covering three main topics in this episode

• Personal and Emotional risk
• Lifestyle implications
• Practical suggestion to manage time and risk

One of these suggestions involves you being the key employee in your business. Sounds a bit odd, but have a listen and find out more

Personal & Emotional Risks

There are many when self-employed. These include

Instability

There is no such thing as a job for life when you are employed. Your employer may not want to see you go, but you may wish to move on. When you are self-employed you appreciate that no customer is forever. Keep in mind that theres no certainty here. So always be on the lookout to create resources and business opportunities in case things start to dry up!

Personal development

Make sure that you plan for that career and personal development and make sure that you're on top of your game in your business.

Passion

Feeling passionate about your business is a good thing but is not the most important. Just because you love something does not necessarily mean that it should be converted into a business. 

Instead, research your business idea, check its viability and make sure there's a sufficient number of people out there that have got a problem that you are looking to solve.  Feeling passionate is important, but passion doesn't pay the bills.

Workload

I myself am victim to this. This can mean putting off tasks that you don't enjoy, and we're talking about tasks that are absolutely critical for your business. This can sink a business faster than anything else!

If it's a task such as getting a quote out to a client, picking up that phone, updating your accounts and records to get them off to the tax authorities. You must make sure that you prioritise and know that you can't afford to waste time on unimportant tasks while those critical ones pile up.

Obviously, all tasks need to be done, but prioritisation helps. If you haven't got the time, think about investing some, energy and money in bringing on somebody on board to help you out.

Lifestyle

Looking back over my 25 plus years of being self-employed, one thing that I can say is that lifestyle is severely impacted both in positive and negative terms. From here on out your lifestyle will not be that of an employee.

Your working hours are going to be slightly different. When I say slightly I mean a lot more.

Most of us starting out won't have an office space to go to. We'd typically start in a spare room in our house. As for myself, I started my business in my back bedroom.

In the early stages of your business, big office space are not a critical need. Eventually, when things pick up, you can move out of that back bedroom, as I did myself. Though I must say, homeworking does bring its own challenges and risks as well as some potential rewards. Pyjama working certainly does have its attractions!

Practical tips

Some tips I can share with you on lifestyle. Consider having...

Five things to consider when selling your business is this week’s podcast episode.

Selling your business is a major life event and has a lot in common with selling your home. There is an emotional attachment to your business that you built up. Like our homes it has memories and will influence us when we choose our buyer.

In last week's episode we talked about whether you are selling assets or shares, your business valuation and tax.

Now the five things that we need to take on board.

Motivation

Firstly, be clear in your own mind about the reason if you are selling. Getting the right price is as much psychology and negotiation. Are you concerned with what the buyer will do with the business? Once they take it over. Does it matter to you?

Listen to find out more

Serious buyers and time wasters

Secondly, dealing with possible buyers. Just like when you put your home on the market. Lots people are just interested in having a nose round, time wasters who do not have the money. How to deal with that when you are selling your business is good thing to know.

Listen to find out more

Protecting yourself.

Your buyer will wish to look at the inside workings of your business. They will wish to know about your customer base. They will wish to know about your finances. Make sure that you protect yourself and your business.

Listen to find out more

Due diligence

No serious buyer will wish to buy your business without carrying out due diligence. Due diligence is about requires an examination of financial records before entering into a proposed transaction with another party

What does this involve? Weill it includes getting your finances up to date ranges, paperwork in order, operational and customer information.

Listen to find out more

Distractions

Do not ignore your business while you are trying to sell it. It is easy to get distracted and lose focus. Selling your business can be an energy-sapping process. You want to make sure that the business and your team are still going strong.

Listen to find out more

What Next

Five things when selling your business, make yourself comfortable. Sit back and listen

Even better subscribe so you do not miss an episode.

In This Episode

• Understanding thew importance of seller and buyer motivation
• Know how to spot serious buyers and weed out time wasters
• Why it is important to protect yourself when selling your business
• What is due diligence and being prepared for it
• Developing your own Numbers confidence and decisions
• Take more control of your numbers to help make you money, survive and thrive

Links

https://podcasts.apple.com/podcast/proactiveresolutionss-podcast/id1500471288

https://play.google.com/music/m/I3pvpztpjvjw6yrw2kctmtyckam?t=I_Hate_Numbers

This weeks podcast episode of I hate Numbers looks at How to develop Trust in Business. Without trust, you have nothing. With it, you can do great things.

Trust, a firm belief in the reliability, truth or ability of someone or something.

BOGOF

Buy One Get One Free is a pricing strategy. I am applying that to this week’s episode, you get two themes wrapped up in one podcast. Trust and Credit Control, they have more in common than we think.

Do you need to trust anyone?

Trust is an integral part of our business lives. Your Business does not operate in a vacuum and must invest in TRUST.

Your business cannot operate without TRUST. Whether that's trust in yourself, your suppliers, your customers, or those that you look to work with.

TRUST which requires a leap of faith as opposed to blind faith. Blind faith (or stupidity) is like a non-swimmer jumping into the deep end of a swimming pool and hoping that somehow, they would be ok

Trusting without checking

You shouldn’t trust someone at face value, just as much as you wouldn’t to give credit without some checking. You need some validation and/or evidence of that person ability. In the words of Ronald Reagan, “Trust, but verify”.

Listen to find out more

Extend your trust

Extend your trust as your confidence in your business relationship increases. It’s the same with credit control, when your customer conducts their account correctly, you improve your terms of business.

Listen to find out more

Keep an eye on things

With TRUST, if you feel someone is not behaving as expected then your need to deal with it. Avoidance, just, like in credit control helps no one

With TRUST, with all the best will in the world things don't always work out. You need to act, show some teeth. Kindness does mean softness. When customers don’t pay on time and are taking advantage you need to act.

Listen to find out more

Systems mixed with the human

Systems and systematisation plays a major role in TRUST and getting paid on time. You need to blend in the human, commercial and business judgment.

Listen to find out more

What Next

How to develop Trust in Business is not just one factor.

Now, make yourself comfortable, sit back and listen. Most importantly, subscribe so you do not miss an episode.

In This Episode

• Understanding the importance of TRUST in business
• Appreciating what TRUST and credit control have in common
• How to develop TRUST in business
• The role of systems, procedures and people in TRUST
• Developing your own Numbers confidence and decisions
• Take more control of your numbers to help make you money, survive and thrive

Links

https://podcasts.apple.com/podcast/proactiveresolutionss-podcast/id1500471288

https://play.google.com/music/m/I3pvpztpjvjw6yrw2kctmtyckam?t=I_Hate_Numbers

https://open.spotify.com/show/5lKjqgbYaxnIAoTeK0zins

We believe that your business budget is one of your most valuable allies. It might sound surprising, but the process of budgeting should not be daunting or intimidating. In this episode of "I Hate Numbers," we'll explore the advantages of implementing a budget for arts and creatives.

Your Budget as a Valuable Ally

Budgets, for example, play a pivotal role in your business. They help allocate resources, monitor progress, motivate your team, and facilitate communication across departments and stakeholders.

Transforming Your Business Journey

Budgets, in fact, transform your business journey into tangible numbers, creating a robust performance system.

Budgeting for Creativity

Lessons from different sectors, such as the arts, likewise, can be adapted and applied to your business context.

The Universal Language of Finance

Additionally, finance is a universal language that offers valuable lessons for businesses, regardless of their sector.

A Traditional Approach

A traditional approach involves setting your destination point. Once we've got our destination, your budget becomes your roadmap, outlining the journey and activity plan needed to reach that destination.

Building a Financial Model

Budgeting is a financial model that simulates and represents something, a bigger landscape. To build a successful financial model, you need to understand your business model.

Understanding Your Business Model

Your business model defines your value proposition, core values, target audience, and transformation goals. That sounds odd, but your business model is not the same as a financial model.

Cost Structure

Your business model influences your cost structure, including the nature of expenses involved in delivering products or services.

The Art of Revenue Streams

Another aspect of your business model is revenue streams. So, each revenue source has its value and risks, but we need to factor them in.

Simplifying Data Management

Two tools can support you: a digital accounting system and a planning platform like Numbers Knowhow.

Conclusion

In conclusion, budgets are powerful tools. Granted, they might have their limitations, but they help control costs, provide accountability, offer direction, and motivate teams. They are not financial straitjackets but rather flexible frameworks that enable adaptability and focus.

We hope you found this post insightful. So, we'd love to hear your feedback. Do you follow a similar approach when creating your budgets? Reflect on your organization's model, and until next week's episode, keep budgeting wisely.

Cash Flow

Welcome to today’s episode of I Hate Numbers.   When you are in the eye of a financial storm what’s the one major thing that’s going to get your business through it.  That one thing, that protection, that comfort blanket, that financial lifeboat?  Well let me tell you, that one thing is cash, not profits.  Today we’re going to have a look at cash, how to build your own cash story, and connect to your best business friend that won’t lie to you, your Numbers!

Looking at your cash future

None of us have time machines, or crystal balls that are 100% accurate, if you do then drop me a line, I’d love to hear more.  However, not even taking even a peek into your business future may be understandable, but it’s not sensible.   Looking ahead, certainly in number terms is always going to be a challenge.   Figuring out the cash coming in, the cash going out and what you’re left with is what you need to do.  If you don’t do that, then however awesome your business is, it won’t survive and thrive.

What we know, what we think we know, what we don’t know

  Build your future cash story is based on

What we know

What we think we know

What we don’t know

Once you look at things in that way, it all becomes easier

Using your cash forecast

When you have built your cash forecast, take a step back and check out what it’s saying.  Once your see what your Numbers, your best business friend is saying then you can make beautiful and meaningful business decisions.  If some months (or weeks) look tough, then you have options; if things look positive, you have options.

You know only too well that running your business means that there are times we must put those big girl/boy pants on.  Your cashflow forecast, will help you decide when that time is to wear those pants.

What Next

Grab a coffee, keep something stronger to later.  Start looking at your cash future and help navigate your business through choppy waters, and not just when it’s calm and warm.

I love doing this podcast and sharing my love of Numbers with you.  I’d love it if you could help me spread that Number love and share with others.

In This Episode

• Why cash is important for business continuity, and growth
• 
  
• How cash forecasting puts you in the driving seat of your Business
• 
  
• The approach to building your own cash story
• 
  
• Developing your own Numbers confidence and decisions
• 
  
• Take more control of your numbers to help make money

Links

https://podcasts.apple.com/podcast/proactiveresolutionss-podcast/id1500471288

https://play.google.com/music/m/I3pvpztpjvjw6yrw2kctmtyckam?t=I_Hate_Numbers

https://open.spotify.com/show/5lKjqgbYaxnIAoTeK0zins

https://www.stitcher.com/podcast/proactiveresolutionss-podcast

What is VAT reverse charging and how does it work? That's the theme of episode 44 of I Hate Numbers. With the UK leaving the EU on 1st January 2021 your business needs to know.

Brexit also brings a number of other changes to VAT, we've covered this in previous podcasts, and a more detailed blog.

In this episode, I'm going to look at VAT reverse charging and

• An overview of what it is
• How it applies to Goods
• The treatment of Services
• When your business is selling
• What happens when you are the buyer?
• Compliance and following the law

What is VAT reverse charging  

We know it's here to stay, and if anything, it is becoming more widely used. Governments like it because it reduces the level of VAT fraud and evasion. Where your business applies reverse charging, the responsibility shifts to your customer.

It’s like making a reverse charge (collect) phone call. The bill payer picks up the tab.

Your business still has a part to play, verification, evidence and compliance don’t vanish. With VAT reverse charging it is your customer who is responsible for paying VAT in the country they belong and will be easier to chase than an overseas supplier.

VAT reverse charging only applies to services that would be zero-rated, reduced rated or standard rated. Where your business is a buyer, then you can be within VAT reverse charging, even if you are not VAT registered.

Listen to find out more about What is VAT reverse charging and how does it work?

What software and technology solutions exist for VAT compliance?

There are many software and technology-based solutions being developed. One example is Quaderno, which can handle those responsibilities behind the scenes. Their service is full tax compliance and deals with the reverse-charge mechanism.

Where your business sells e-books, online training, digital products then you also need to be aware of not breaking EU VAT law from 1st January 2021. This applies whether you only sell one item, and you are not VAT registered. Check out our Live Recorded Webinar to find out more

Now, make yourself comfortable, sit back and listen. Most importantly, subscribe so you do not miss an episode.

In This Episode

• Understanding what VAT Reverse Charging is
• Appreciating how it applies to goods and services
• What happens when your business is the buyer and seller
• The role of software and system solutions
• Developing your own Numbers confidence and decisions
• Take more control of your numbers to help make you money, survive and thrive

Links

https://podcasts.apple.com/podcast/proactiveresolutionss-podcast/id1500471288

https://play.google.com/music/m/I3pvpztpjvjw6yrw2kctmtyckam?t=I_Hate_Numbers

How to choose your accountant is this week’s episode of I Hate Numbers.  Not all accountants are created equally. Just like in any walk of life, any profession, some are more effective than others. In this podcast I'm going to share some tips with you as to how you go about making what will be a very important selection for your business, and it's going to be important because the right accountant can have a big impact on your ability to grow and move your business dial forwards.

Preparation

Firstly, do your homework before you start speaking to an accountant. Check out last week's episode where the topic was what do accountants do? Choosing your accountant is the same as finding good effective supplier for your business. It needs to be for purpose.

Deciding

What are your current and future business needs? Are you looking for someone to do the traditional compliance work, prepare your accounts and tax return once a year? Do you want more of an ongoing relationship? What is it you feel that you need for your business, now in all of these questions, you may not necessarily know what the answer is, but have some form of idea of what you think you need here and now, and what you believe that you will need for your business going forward.

Location

Do you feel that you need a local service provider, somebody who's located where you live, or does that not matter? On a personal note my clients are based locally, nationally and Internationally. Technology helps makes the world a smaller place.  Regular communication and the ability to access client support may be more important to you.

Qualifications

Not all accountants are the same. Lots of people describe themselves as accountants but have zero level of experience. Lots of people have experience but no qualifications. Qualified doesn't mean competent and competent doesn't necessarily mean qualified.

The ideal combination is got professional exams under their belt and real-world experience to back it up.

Recommendations

Seek recommendations from those in your network. Check out reviews on people's websites, which ones catch your eye and what are they saying? How old are they? How recent are they? Which ones look appealing?

Short list

Once you've got a short list of say five or six to begin with, then carry on with your research. Look at the firms in your short list, check out their websites, check out their social media presences. Look at the company, the staff, the range of services they offer. Make a short list of no more than two to three accountants that you can have a conversation with. The conversation should be a dialogue, not a monologue.

Meeting time

Have some form of agenda that you want to cover in your meeting. As with any future supply arrangement, then don’t be wary or afraid, or nervous in asking questions. They can be technical, ask about working styles, skills, experiences, meeting times and costs!!

People buy from people

Do you like accountants who are more formal, who are very jargon laden? This could be your bag, or it may not be for you. The interaction with that individual and their team. Who did you get to speak to? Do you feel relaxed when you speak to them? Are you someone who likes robust, straightforward advice, or, perhaps a bit softer?

Conclusion

How to choose your accountant is one of the more important business decisions you will make. Prepare, shortlist, have a conversation and then decide helps you make that decision easier. Contact us

Motivation is a potent force that propels both individuals and teams toward success in the business realm. In this week's episode of the "I Hate Numbers" podcast, we delve into four crucial aspects related to motivation.

What Exactly is Motivation?

At its core, motivation is the dynamic spark that ignites action and, moreover, propels us, as individuals and a team, towards our goals. Picture it as the fuel energizing the engine of our business, thereby keeping us enthusiastic, focused, and relentless in the face of challenges

The Importance of Motivation in Business

The significance of motivation in business cannot be overstated. Notably, it enhances productivity and spawns innovation, driving teams to unearth fresh ideas that invigorate the business landscape.

Types of Motivation: Intrinsic and Extrinsic

Within the realm of motivation, two pivotal types come to light: intrinsic and extrinsic. Intrinsic motivation is an internal force that stems from passion and personal values. On the flip side, extrinsic motivation is driven by external factors like recognition and financial incentives.

Cultivating and Sustaining Business Motivation

Maintaining motivation requires a deliberate approach. We kickstart the process by setting crystal-clear, shared, and attainable goals. Additionally, connecting with our business purpose and breaking down goals into micro-steps helps us navigate the journey effectively.

Embrace Goals and Purpose

Ensuring our goals are distinct, achievable, and moreover, shared with our team sets a solid foundation for sustained motivation.

The Intrinsic and Extrinsic Balance

Striking a harmonious balance between intrinsic and extrinsic motivation maximizes our potential and therefore spurs us toward accomplishment.

Celebrate Progress

Micro-achievements, whether financial milestones or personal victories, merit acknowledgement to fuel ongoing motivation.

Cultivating a Positive Mindset

Embracing positivity while recognizing occasional negativity empowers us to maintain a balanced outlook and stride forward resiliently.

The Power of Continual Learning

Our enthusiasm flourishes when we actively pursue new skills and knowledge, fostering an environment of growth.

Conclusion

In essence, motivation serves as the bedrock of our business journey. By setting precise goals, cultivating a positive mindset, and nurturing a culture of perpetual learning, we channel motivation's force to achieve our entrepreneurial aspirations.

Be sure to subscribe to the podcast and share it with fellow entrepreneurs. Until next week, remember that motivation is the key to realizing your ambitions.

If you submit a UK tax return and you owe more than a thousand pounds, then be aware of payments on account.

Payments on account are a topic that is not properly talked about or understood, but it can catch out taxpayers.  In this episode I am going to dive deep into payments on account.

Firstly, I will look at what Payments on account are, how they are calculated, how to reduce them and when you have got to pay them.  Secondly, my friends Rishi and Boris will be helping me with numbers and dates.   Finally, I will look at the general framework of how the UK personal tax system works.

Listen to find out more.

Your Income and tax that is deducted 

Are you self-employed, a landlord who might have some rental income being a director, shareholder who has income by way of dividends?

Be aware that some you make ends up in your pocket without has not had tax taken off when you earn it. There is more responsibility on your shoulders to make sure you have put enough by to cover your taxes.

We are here for you! We will help you with all the little things like saving for your taxes and making sure they are taxed at source so there are no surprises come tax time.

Tax calculators

Are you looking for a way to calculate your taxes?

You have come to the right place! We have online calculators that will do all the heavy lifting for you. All you need is some basic information about your income and deductions, and we will take care of the rest. It could not be easier.

This tool can help make filing taxes less stressful by doing most of the work for you. If this sounds like something that would be helpful to you, go ahead and give it a try today!

Click here now to use our free tax calculator!

What next

Moreover, do you want to know more about payments on account?  This podcast tells you what you need to know about payments on account, calculations, tips, and advice

Listen to find out more.

Help me share Number Love by telling your friends and family about the show.  Listen now and subscribe to I Hate Numbers, so I can send it straight to your inbox every week with all the latest updates from I Hate Numbers podcast! are

Links

https://podcasts.apple.com/podcast/proactiveresolutionss-podcast/id1500471288

https://open.spotify.com/show/5lKjqgbYaxnIAoTeK0zins

Welcome to episode number one of ‘I Hate Numbers’. My podcast is for business owners, arts and social enterprises who want to improve their money mindset, make more profit, save time and tax. This is a jargon and BS free podcast, with you the listener in mind.

About Me

I’m one of nine kids. I knew I wanted to do something to be more in control of my life and myself. My first paid career was in teaching. When you’re a teacher, people think you can’t do anything impactful. Then I got a job in industry and got immersed in the business world.

26 years ago I made my second pivot and I started my own business in my bedroom. I’ve worked internationally and in a number of different sectors since then. I have a good client base here across those sectors. No matter who you are, you can’t get away from those numbers. It doesn’t matter how big your business is, numbers are important.

Why should you listen to ‘I Hate Numbers’

Numbers are your best friend in business.  Your numbers will not lie to you.  They will be there for you in the good times, as well as the bad.  Getting closer to your numbers relieves anxiety, improves your wellbeing, gives you power and control over your business future.

Do not lose sight of the fact that your business, private, social enterprise, or charities must make profit.  If making profit is not one of your objectives, you will not survive and have sustainable impact.

I Hate Numbers is your friend and companion to help you with your business past, present and future

In This Episode

• How numbers impact you
• How to have a better business
• Why people hate numbers
• Tedious aspect of numbers
• Giving energy back into your life

Links

https://www.proactiveresolutions.com/

https://www.linkedin.com/in/proactiveresolutions/

https://www.instagram.com/mahmoodnumbersrockstar/

https://twitter.com/mahmood_reza

https://www.facebook.com/proactiveresolutions/

Are you one of those people who has a lot of good intentions but never seems to get around to doing anything? If so, you may be struggling with procrastination. Procrastination is the act of delaying or postponing something that needs to be done.

It can be tempting to put things off, procrastination can actually have some pretty negative consequences.

• Firstly, decreased productivity
• Secondly, lower quality work
• Thirdly, stress and anxiety

So how can you overcome procrastination and start getting things done? Check out these tips!

In this weeks I hate numbers. I am going to be talking about what procrastination is, how it manifests itself, the signs, the symptoms we can recognize, and more importantly, what we can do to improve procrastination so that it moves our business dial forward. Procrastination is a huge issue for many people because it keeps them from achieving their goals. It’s important to understand what procrastination is and how it affects us so that we can take steps to reduce its impact on our lives and businesses.

Conclusion

Thanks for joining me this week as I explored one of the biggest challenges facing entrepreneurs today.  How to reduce Procrastination  ! Don't forget to download, subscribe and please leave a comment - that helps me write I love getting feedback from listeners – hearing from you helps me make my content even better. Thanks for tuning in!

Subscribe now so you don’t miss an episode.  For more business and finance, news, advice and tips, don’t forget to subscribe and watch our weekly videos on I Hate Numbers.

Furthermore, my mission is to inform, inspire and educate you to get closer to your numbers.  You can make more profits, save tax and time, improve your well-being and your money mindset.  My book, I Hate Numbers will change your relationship with numbers, in a good way.  Click to find our more.

Help me to help you and others by subscribing and sharing this episode in your network.  Listen now and subscribe to I Hate Numbers, so I can send it straight to your inbox every week with all the latest updates.

If you found this podcast useful then share this episode on social, leave a review on Apple podcast.  Connect with me on Instagram, YouTube, Twitter, LinkedIn and 

In the fast-paced world of business, people often view procrastination with apprehension. They commonly associate it with missed deadlines, incomplete tasks, and unfulfilled promises. We, too, used to perceive procrastination negatively, as it seemed to hinder productivity. But in this episode, we invite you to join us on a journey where we challenge this notion. We explore procrastination not as a hindrance but as a force that can benefit both you and your business.

Procrastination as a Time for Reflection

Consequently, when we take a step back without rushing against deadlines, we create an atmosphere that significantly enhances our decision-making process. This period of thoughtful reflection, believe it or not, can significantly enhance our decision-making process.

Fostering Creativity and Innovation

Likewise, when we let our minds meander through moments of idleness, we free our minds to wander and explore new ideas. These brief, seemingly unproductive periods can be fertile ground for creativity and innovation. Some of the greatest breakthroughs in history have emerged during procrastination when the brain makes unexpected connections.

Preventing Burnout

Moreover, the world of business often resembles a relentless marathon. In our quest for

success, burnout looms as a potential threat. Therefore, procrastination serves as a safety valve that allows you and your team to step back, recharge, and avoid the brick wall of exhaustion.

Strategic Advantage and Task Filtering

Meanwhile, the business landscape is ever-evolving, with new strategies, technologies, and social platforms emerging. By strategically delaying decisions and implementations, we can gain valuable insights and minimize impulsive choices. Procrastination can be a strategic advantage in this dynamic environment.

Similarly, procrastination helps filter out tasks that don't warrant immediate attention. It conserves your time, energy, and resources, making you a more productive asset in your business.

Conclusion

In summary, procrastination isn't merely a negative attribute to be eliminated. Instead, it's a multifaceted tool that offers time for reflection, fosters creativity and innovation, prevents burnout, and can be strategically advantageous. Therefore, we urge you to embrace procrastination as a valuable force for good in your business journey.

Nonetheless, it's important to remember that procrastination should be approached mindfully. It's not an excuse for avoiding essential tasks but a chance to harness its positive aspects strategically. By doing so, you can discover the uncharted potential of procrastination in enhancing your business endeavours.

Don't forget to like and share if you find this useful and check out the Numbers Knowhow platform for more resources.

Until next time, keep making the most of your procrastination, and as always, we're here to help you and your business thrive.

Let me share Three ways to change your attitude to money. Moreover, in this podcast I will look at way you should change your attitude.

This week I Hate Numbers is not the just about how you make that change, in addition it’s about why you need to change.

Money is power, freedom, a cushion, the root of all evil, the sum of blessings.  All of us in business we think about money, we talk about money, we plan what we are going to do when we get more of it.

But truth is though, how often do you look at money in your business? And by looking at it, I do not mean just staring at a wad of banknotes, but how closely did you look at the numbers in your business?

In this podcast episode, I am going to share with you three tips of how you can change your attitude to money in your business. The KPR approach, more on that later

Why you need to change your attitude towards money in your business?

You may be thinking, why do I need to change my money attitude, my money mindset. Well, you need to change your attitude to money if you want to survive and thrive. If you are not happy with the way things are going in your business, it is time to re-look at how you do things.

It is time to develop and adopt a new attitude towards money. And what that means is, you are taking more control and getting closer to your numbers.

Whatever your business shape or size, type or form you need to move it forward.

How to change your attitude towards money in your business?

In this podcast episode, I am going to share with you three tips of how you can change your attitude to money in your business. The KPR approach

• K is for Key, focus on two key numbers.
• P is for Plan, what that looks like in financial terms.
• Re, is for record keeping, as heads Digital Accounting is the way to go.

Listen to find out more

I need your help

There are an incredible and fascinating range of views and reactions that people have to Money, what they are, and the reasons for them are many. I don't pretend to know all the answers and that’s why I need your help.

It's not just curiosity for curiosity’s sake, but I strongly believe that knowing what lies behind our attitudes helps us in business and in life.

I need a couple of minutes of your time to complete a quick survey. I have There is also the chance No spamming from me, or creepy sales calls. There is also a £50 incentive-prize-bribe up for grabs. To take part, and to find out more select the survey link.

What next

I hope you get some value from this podcast on Three ways to change your attitude to money You are not on your own! Contact us to see how we can help ? Our news section, FREE online calculators is there for you. Just click here now to get started!

Listen now and Subscribe to I Hate Numbers, so I can send it straight to your inbox every week with all the latest updates from I Hate Numbers podcast!

Click here for more business and finance, news, advice...

The Language of Accounting

Welcome to today’s episode of I Hate Numbers.   Today we’re going to have a peek at some of the language that Accounts, and Finance people use.  It can be an alien language if you are a stranger in the Number’s world.  I am learning the ropes of podcasting, and enjoying the experience and sharing the world of Numbers with you

Buzzwords and Jargon

Buzzwords and Jargon are useful shortcut words.  Let’s be honest, all businesses have them.  However, if we don’t understand the buzzwords, we may miss a trick, become disconnected from the power of numbers, and would rather watch paint dry.  Let me share something with you, once you get to decipher the language, a whole new world of possibility opens.

Financial Statements

In our business, a whole bunch of things are going on which have a financial impact.  Things are bought and sold, money comes into the bank, money leaves the bank, we buy things we don’t want to sell, we borrow money to make it happen.

Through the magic of Numbers filing, all this is put into categories and labelled.  Once we have organized and labelled our Numbers then we can produce Financial Statements.

So, what, you might be thinking?  I can see that, but there is a point.

Personal Connection

I’ll walk through examples of things we engage in in our daily lives and then connect them into the world of business.  I’ll talk you through a story that looks at how much we are worth in financial terms and connect that to your business.

Balance Sheet

What are these?  Why do they matter, and what jargon and buzzwords are used to build this inhabit this statement?

The balance sheets is a mix of your business assets and business debt.  If you not sure what these are, it doesn’t matter I’ll take you through this.  I’ll even a few more buzzwords in, my Numbers language translator was switched on

In This Episode

• What’s a Balance Sheet and Why does it matter
• 
  
• The link between your wealth and your Business Balance Sheet
• 
  
• Buzzwords converted into normal speak
• 
  
• Build your Numbers confidence
• 
  
• Realise you know more than you think
• 
  
• Take more control of your numbers to help make money

Links

https://podcasts.apple.com/podcast/proactiveresolutionss-podcast/id1500471288

https://play.google.com/music/m/I3pvpztpjvjw6yrw2kctmtyckam?t=I_Hate_Numbers

https://open.spotify.com/show/5lKjqgbYaxnIAoTeK0zins

https://www.stitcher.com/podcast/proactiveresolutionss-podcast

https://tunein.com/podcasts/Business--Economics-Podcasts/I-Hate-Numbers-p1298505/

What is turnover in business?

Turnover is a popular term used in business.  It’s the official terminology used in company accounts, the tax returns of self-employed & partnerships, and is common usage in the business world.  In this week’s episode of I Hate Numbers , I will explain (1) what turnover is; (2) explain how it's calculated; (3) why it's important for your business; and (4) turnover should be monitored to make sure you're profitable.

You want to know more about turnover so that you can keep track of your profits!  This video will teach you everything you need to know about calculating turnover as well as why they are important for your company.  So, sit back, relax, and enjoy learning all about turnovers with me today!

Listen now  to find out more.

Welcome to another weekly episode of I Hate Numbers, the show that aims to educate-inspire-inform you with jargon free info-tools-tips about your best Business Friend, your numbers.

Please hit the Subscribe button, feedback, share the podcast with those who will need it.

What does turnover in business tell you

Turnover tells us how well our business is doing financially so it’s important to know what it means! If turnover goes up then this usually means more money coming into our business but if turnover goes down then this usually means less money coming into our business which could mean trouble ahead for some businesses! So make sure to keep track of turnover numbers so that you can see where we're going financially!

Keep track of turnovers by using accounting software like Xero Accounting Software ! They'll help us stay on top of things without having to do any calculations yourself,

Turnover is one measure of your financial performance.  Your turnover in business has some importance, but it should not be your main financial priority.  This sounds bonkers,

Listen now  to find out more.

Watch out for next week's podcast.  I will dive deeper into profit, what it is and why it's so important.

If you found this podcast useful then share episode on social, leave a review on Apple podcast, connect with me on  ….

Conclusion

Moreover, you need to know what turnover in business is. This podcast tells you all you need to know, calculations, tips, and advice.

Listen to find out more.

I love to help business owners connect with and understand their numbers, improve their attitude to money, make more profit, save tax and time.

Help me share Number Love by telling your friends and family about the show.  Listen now and subscribe to I Hate Numbers, so I can send it straight to your inbox every week with all the latest updates from I Hate Numbers podcast! are

If you found this podcast useful then share episode on social, leave a review on Apple podcast, connect with me on Instagram ,

As a business, you have to track and measure your performance in order to succeed. Developing Effective KPIs that work for your business (KPIs) is the way to go for all businesses.  A KPI allows you determine goals, set objectives and evaluate progress over time throughout your business. KPIs may differ based on industry, but there are some fundamental metrics that apply across the board.  In this week's I Hate Numbers podcast I discuss Effective KPIs that work for your business.

The key performance indicators discussed today should increase the understanding of effective KPIs. Having clarity on cash flow, gross margins, break-even, receivables collection period, inventory term, payables payment period, working capital cycle, customer lifetime value and conversion rates is important to the success of a business.

Having Effective KPIs that work for your business drives growth and efficiency. Knowing when target KPIs are being met as well as spotting potential problems early will ensure business owners are always ahead of the game. Therefore, every business owner should be familiar with these key indicators for increased success. If you would like to learn more about effective key performance indicators for your business make sure to subscribe to my I Hate Numbers podcast for regular advice and tips that are easy to understand and accessible to everyone from experts to beginners in business.  Subscribe now!

Conclusion and good to know

The I Hate Numbers podcast isn’t just about financial performance though.  Other topics are covered, for example, cash flow management, budgeting, forecasting, tax, accounts, and more! Every episode provides actionable advice from me, Business Finance coach, accountant and educator who explains that stuff in an easy and no-nonsense way.

Are you a small business owner, social enterprise or organisation passionate about change? Managing your finances can be a lot of work, trust me.  Finally, there’s software that makes keeping track of your cash flow and financial planning easier: Numbers Know How. It helps you stay organised so you can focus on what matters to you; the creative work and the impactful change. Take a step away from the chaos with fast setup & easy navigation – numbers just got real…for the better! Get organised & make sense of it all with Numbers Know How today!

Using a Risk Register to manage risks is this week's I Hate Numbers podcast

When it comes to risk management, most business owners and entrepreneurs think of insurance policies and legal contracts. While these are both important aspects of risk management, they're not the only ones. In fact, there are a number of other tools that can be used to help you identify and manage risks, both big and small.

One such tool is a risk register. Let's look at what a risk register is and how you can use it in your business.

• Firstly, a reminder of what risk is
• Secondly, the benefits of a risk register
• Thirdly, how to build a risk register
• Fourthly, quantifying risk with examples
• Lastly, how to use a risk register

Conclusion

So there you have it! You now know what a risk register is, some of the benefits of using one, and how to build your own. We’ve also looked at ways to quantify risk, which will come in handy when making decisions about whether or not to take a particular risk. As with any tool, the key is to Using a Risk Register effectively is making sure it’s tailored to your specific needs. If you want more information on risk registers or other ways to manage risk, be sure to subscribe to my podcast and leave a review. I love getting feedback from listeners – hearing from you helps me make my content even better. Thanks for tuning in!

Subscribe now so you don’t miss an episode.  For more business and finance, news, advice and tips, don’t forget to subscribe and watch our weekly videos on I Hate Numbers.

Furthermore, my mission is to inform, inspire and educate you to get closer to your numbers.  You can make more profits, save tax and time, improve your well-being and your money mindset.  My book , I Hate Numbers will change your relationship with numbers, in a good way.  Click to find our more.

Help me to help you and others by subscribing and sharing this episode in your network.  Listen now and subscribe to I Hate Numbers, so I can send it straight to your inbox every week with all the latest updates.

If you found this podcast useful then share this episode on social, leave a review on Apple podcast.  Connect with me on Instagram, YouTube, Twitter, LinkedIn and 

How you Build your cash flow with a spreadsheet

I'm going to show you how you build your own cash flow forecast by tapping into the most powerful resource in your financial toolbox, the spreadsheet.  In this week’s episode of I Hate Numbers I'm going to look at

• your initial steps, the first thing you should do
• I'm then going to be looking at the principles or spreadsheet building
• general considerations
• the business Lego bricks approach

Cash is the commodity that keeps your business going, your business lines burning.  Spreadsheets are not the preserve of the accountants, the finance people or at least it shouldn't be.

The principles in this podcast will apply whether you use Microsoft Excel, Google Sheets, or any other package.

Using spreadsheets to tell your business and cash story

Spreadsheets are a powerful tool in your business toolbox. They take the heavy lifting out of number crunching and are a practical help in the world of finance and numbers. Above all we need to think about the look and feel of our spreadsheet. You don't need to be an IT or math’s genius to build a good workable spreadsheet, but take care with its look, design, and use.

My I Hate Numbers Food Palace business will be used to show you how you build your cash flow forecast with a spreadsheet.  The business prepares and delivers delicious food to corporate clients. And your business may not be a food business, but that's okay. Because the knowledge and approach is very transferable.  Check out my video to see a visual demonstration.

Think about what you want your spreadsheet to show you.

Above all I want to see the financial outcome of my planned activity for the next 12 months? What does that mean in terms of

• Cash contribution
• The cash left over after paying for your overheads and cash commitments
• How much money I left in your bank at the end of each month?
• Will you be clenching your buttocks or relaxing as the cash depletes or piles up

Putting information into your spreadsheet

When you build your cash forecast do not edit as you go along.  Do not stop yourself and say I can't afford to do that. The key thing is, is to get the story, get the numbers in the spreadsheet, see what the spreadsheet is telling us.

Your cash flow spreadsheet reflects your wish list, aspirations, and how you see your business unfolding.  It's the story of what you're trying to do with your company.  You have the option and power to change it.

Your numbers are telling a story about what you want for yourself and for your company - don't let them tell a different one !

Listen to find out more.

Conclusion

Above all, how you build your cash flow forecast with a spreadsheet is good to know.  It keeps you closer to your business numbers, and a key business tool, the spreadsheet!  This week’s podcast tells you this, plus calculations, tips, and advice.

Listen to find out more.

My mission is to inform, inspire and educate you to get closer to your numbers. You can make

Using the balance scorecard plays a major role in managing your business.  You're a business owner, so you know that making money is important. But it's not the only thing that matters.

You need to have a balanced perspective when looking at your business. That means looking at the numbers and dollar signs, but also customer and employee satisfaction, innovation , and more.

When everything is in balance, it's easy to stay on track and make good decisions for your business.

Check out my podcast episodes to learn more about how I can help you take a balanced view of your business!

Conclusion

Using the balance scorecard is so important to have a balanced perspective when looking at your business. You can’t just look at the numbers and dollar signs- you also need to factor in other elements like customer satisfaction, employee morale, innovation potential, and more.

Without this balance, it’s easy to get off track and make poor decisions that could hurt your business in the long run.

I want to help you maintain a well-rounded view of your business so you. And if you have any thoughts or comments on today’s episode (or previous ones), please head over to Apple podcasts and leave us a review! We love hearing from our listeners, and we’ll be sure to stay in touch through our social media channels as well. Thanks for joining us today – until next time!

I love getting feedback from listeners – hearing from you helps me make my content even better. Thanks for tuning in!

Subscribe now so you don’t miss an episode.  For more business and finance, news, advice and tips, don’t forget to subscribe and watch our weekly videos on I Hate Numbers.

Furthermore, my mission is to inform, inspire and educate you to get closer to your numbers.  You can make more profits, save tax and time, improve your well-being and your money mindset.  My book, I Hate Numbers will change your relationship with numbers, in a good way.  Click to find our more.

Help me to help you and others by subscribing and sharing this episode in your network.  Listen now and subscribe to I Hate Numbers, so I can send it straight to your inbox every week with all the latest updates.

If you found this podcast useful then share this episode on social, leave a review on Apple podcast.  Connect with me on Instagram, YouTube, Twitter, 

If you're like most business owners, you think of being financially accountable as a necessary evil. It's something that you have to do, but it's not always fun or interesting. However, what if I told you that being financially accountable can actually be good for you? Believe it or not, there are a lot of benefits to being responsible with your money. So if you're looking for a reason to start tracking your finances, listen to find out more.

You've heard the saying "time is money." Well, that's especially true for entrepreneurs and small business owners. The more efficiently you use your time, the more money you make. Money management is essential to your success.  One way to improve your money management skills is to be more financially accountable.

Conclusion

So, being financially accountable is a good thing. How do you go about being financially accountable? By having a financial story plan and following it. What's your Northern star?

What's the end goal that you are working towards? Once you know that, everything else falls into place. You can start to map out how much money you need, where it needs to come from, what resources you'll be using along the way and all of the other bits and pieces that go into making up a successful financial journey.

If this sounds like something you want to learn more about, join my Numbers Know How Financial Story Plan Community, connect to my I Hate Numbers YouTube channel,  I'd love to have you there!

Subscribe to I Hate Numbers now so you don’t miss an episode.  My book, I Hate Numbers will change your relationship with numbers, in a good way.  Check out what people have said, buy the book and make your own mind up, you won’t be disappointed.

If you found this podcast useful then share this episode on social, leave a review on Apple podcast.  Connect with me on Instagram, YouTube, Twitter, LinkedIn and Facebook.

How Information and Communication helps Build your Business Resilience is this weeks theme. Last week’ we looked at what Business Resilience was, and how your leadership plays a big part.

Listen to find out more

How Information helps Build your Business Resilience

Firstly, we looked at the three parts of business resilience. Leadership information and communication. Further to that, and in addition we talk about information and communication in this episode of I Hate Numbers. To clarify, you as business owners are leaders in your own business.

Your gut feeling for making decisions is important, however, gut feeling alone is bonkers. Above all facts and good information drives effective decision making. Good information needs excellent record-keeping systems. You also need to that ability to understand, use and apply that information.

Listen to find out more

Why Communication helps Build your Business Resilience

In addition, your communication is the last part of your Business Resilience. How you communicate with your stakeholders, what to say, and how to say it is key.

What is good communication and why is it a key part of Business Resilience. Certainly, these questions and more are dealt with in this podcast episode.

Listen to learn more

In conclusion, we have seen what makes up your Business Resilience. To sum up, it's your leadership, information and communication. In short, it is not too late to learn and develop this for your business.

Want to learn more? Check out our Business Growth Club to move your business forward.

In This Episode

• Understanding the importance of Information for your Business Resilience
• Appreciating what good information is, and how to get it
• Being aware that effective communication is vital for your business
• What does good communication look like in your Business?
• Developing your own Numbers confidence and decisions
• Take more control of your numbers to help make you money, survive and thrive

Links

https://podcasts.apple.com/podcast/proactiveresolutionss-podcast/id1500471288

https://play.google.com/music/m/I3pvpztpjvjw6yrw2kctmtyckam?t=I_Hate_Numbers

https://open.spotify.com/show/5lKjqgbYaxnIAoTeK0zins

https://www.stitcher.com/podcast/proactiveresolutionss-podcast

https://tunein.com/podcasts/Business–Economics-Podcasts/I-Hate-Numbers-p1298505/

In the realm of business, understanding financial terminology is essential. It unlocks insights, reveals trends, and empowers decision-making

At the "I Hate Numbers" podcast, we're committed to demystifying the complex world of numbers. In this episode, we'll delve into the essential concepts of capital and operating expenses, shedding light on their significance for businesses across diverse sectors.

Explaining Capital Expenses

Capital expenses are the backbone of business investment, laying the foundation for future growth and prosperity. Whether you're an arts organization, restaurateur, manufacturer, or airline company, capital expenses encompass vital infrastructure and assets. Think lighting equipment for theatres, ovens for restaurants, machinery for manufacturers, and planes for airlines. These investments, also known as fixed assets or non-current assets , are pivotal for long-term success.

Understanding Operating ExpensesExplaining assets and liabilities

Operating expenses, on the other hand, fuel the day-to-day operations of a business. From electricity bills to maintenance costs, operating expenses ensure the smooth functioning of capital investments. Whether it's powering equipment in an arts organization, maintaining kitchen appliances in a restaurant, or servicing machinery in a manufacturing plant, operating expenses are indispensable. They're the lifeblood that sustains business operations, often referred to as overheads or running costs.

Differentiating Capital and Operating Expenses

While capital expenses pave the way for future growth, operating expenses directly impact profitability. The key distinction lies in their treatment within profit calculations. While capital expenses are excluded from profit calculations, operating expenses play a crucial role in determining net profit. Understanding this difference is paramount for effective financial management and strategic decision-making.

Exploring Cost of Goods Sold (COGS)

Cost of Goods Sold (COGS) represents expenses directly attributable to the production of goods or services. Whether it's actors' fees for performances, ingredient costs for restaurants, or raw materials for manufacturers, COGS encapsulates essential expenditures. This metric provides insights into the profitability of core business activities, serving as a cornerstone for financial analysis.

Importance of Profit Measurement

Profit serves as the ultimate gauge of business performance; consequently, it reflects the effectiveness of financial strategies and operational efficiency. Gross profit and operating profit are key metrics; therefore, they encapsulate revenue generation and expense management. Whether it's EBIT or PBIT, understanding these profit figures is essential for assessing business viability and sustainability.

Conclusion

Understanding financial terminology is not just a matter of semantics; it's a strategic imperative for businesses of all sizes. By deciphering concepts like capital and operating expenses, businesses can navigate the intricacies of financial management...

In this episode of the I Hate Numbers podcast, we explore "Inheritance Tax Exemptions and Reliefs." We'll explain the key elements that affect inheritance tax, including thresholds, gifts, and the importance of keeping records.

What is Inheritance Tax?

Inheritance tax began in 1986, replacing capital transfer tax. This tax applies to the transfer of capital value when an individual dies, certain lifetime gifts when the donor passes away within seven years, and some gifts taxed immediately. However, not everyone pays inheritance tax. Only estates exceeding the current threshold of £325,000, including any assets held in trust and gifts made within seven years of death, are liable for this tax.

Key Exemptions to Consider

Marriage and Civil Partnerships

Married couples and registered civil partners can increase their threshold to as much as £650,000 when the second partner dies. To achieve this, the personal representatives must transfer the unused inheritance tax threshold from the first spouse or civil partner to the surviving partner. Additionally, any assets transferred between spouses or civil partners remain free from inheritance tax. However, this exemption does not apply to assets transferred to others.

Exempt Gifts

Several exemptions allow you to avoid inheritance tax on gifts. Gifts to your spouse, UK charities, national institutions, and political parties remain exempt from inheritance tax. Wedding or civil partnership gifts can also be given tax-free: £5,000 for each parent, £2,500 for grandparents or other relatives, and £1,000 for others.

An annual exemption allows you to give up to £3,000 each tax year without inheritance tax implications. Smaller gifts of up to £250 per person per year are also allowed, but cannot be combined with other exemptions. Thoughtful planning of your gifts can reduce the taxable value of your estate significantly.

Importance of Keeping Records

Accurate record-keeping of all gifts and exemptions used is crucial. Such records assist executors or personal representatives in efficiently managing estate matters and claiming all available exemptions. Clear documentation simplifies the completion of probate forms and ensures you avoid unnecessary tax payments.

Conclusion 

By understanding inheritance tax exemptions and reliefs, we make better decisions for our financial future. We encourage you to listen to the I Hate Numbers podcast for more insights on this topic and other tax matters. For more information or assistance, check out the show notes to book a call with us.

Until next week, happy planning!