7 Qualities of Highly Desirable Clients
Self Employed, Small Business Ronika Khanna Self Employed, Small Business Ronika Khanna

7 Qualities of Highly Desirable Clients

When you are a business owner/freelancer, there are few things that are better than landing a great client. Ones that ask great questions, respect our work and make us feel happy to have chosen the entrepreneurial route. Conversely there are bad clients who have unrealistic expectations, are unimaginative and often just plain clueless.

Of course, as the service provider, it is also incumbent upon you to provide an exceptional service. Having a client is not dissimilar from being in a relationship and for both sides to get the most out of it, you must also be responsive, respectful, fair and transparent.

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9 Tips For Managing Your Customer Receivables
Accounting, Self Employed, Small Business Ronika Khanna Accounting, Self Employed, Small Business Ronika Khanna

9 Tips For Managing Your Customer Receivables

Any sales that occur within a business where payment is not made up front (eg. retail) or in advance of the sale (eg. down payment for a car), will have “Accounts Receivable”, which is accounting terminology for amounts owing by customers. It is good to have accounts receivable, as this means you have a bona fide business that is generating sales. The downside, though, of having accounts receivable is that it represents cash that you don't have now, and along with that comes the possibility that your customers won’t pay you. Luckily a good system to manage your accounts receivable will help to reduce the number of non paying customers thereby avoiding bad debts. Below are some steps to help manage and collect on your accounts receivable:

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How to Prepare a Business Budget
Accounting, Cash Flow Ronika Khanna Accounting, Cash Flow Ronika Khanna

How to Prepare a Business Budget

One of the primary challenges facing a small business owner is uncertainty about the future. (It is also what makes entrepreneurship exciting).  We may have an amazing product or service, but we can’t be sure whether this will actually translate into a profitable business model.  A budget is an excellent tool to manage uncertainty and, contrary to popular belief, can actually be fairly straightforward to prepare, particularly for small businesses that do not have to worry about different departments, product lines and geographic areas .

A budget, very simply, is a tool that helps you predict your sales, expenses and profitability as well as your cash flow needs.  It is based on estimates, which in turn are based on a combination of experience, history and industry knowledge. In terms of presentation, a budget should essentially mirror your financial statements and will include the following main categories:

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10 Year End Financial and Tax Tips for Your Small Business

10 Year End Financial and Tax Tips for Your Small Business

As the end of the year approaches, some of us find ourselves overwhelmed by top 10 lists, the shopping masses and endless renditions of Christmas Music.  Businesses tend to experience a slowdown, which makes it the perfect time for small business owners to take a closer look at their overall business, financial and tax situation.  When you are not buying gifts for your customers, family and friends, a review and analysis of your business will allow you to optimize your current financial situation, implement some beneficial changes that can help avoid last minute tax preparation stress and also prepare for the future. 

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Employee vs. Self Employed: Criteria and Considerations
Regulatory/Legal, Self Employed Ronika Khanna Regulatory/Legal, Self Employed Ronika Khanna

Employee vs. Self Employed: Criteria and Considerations

For the majority of income earners, employment status is pretty evident.  If you are going to the same place every day,  have an assigned cubicle with a computer and a corporate stapler, and you have a boss that tells you what you need to do, chances are you are an employee.  Conversely if you have several clients, use your own laptop, and are worried about where your next sale is going to come from, you are probably self employed.

There are, however, some workers whose status is not that apparent.  For example you may work from home and use your own computer, but you report to one entity, where someone supervises and directs your work.  In these cases a determination needs to be made as to whether you are an employee or self employed.  It is not enough for the person paying you to determine your classification ; often, payers are biased as they may not want to take on the financial costs and responsibilities of having an employee (explained below).  As such, when in doubt about your status, it is helpful to answer the following questions:

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Self Employed, Small Business Ronika Khanna Self Employed, Small Business Ronika Khanna

Breaking Up with a (Likeable) Client

Many of us have clients who are annoying, cheap, stupid , high maintenance or some combination thereof.  As a new business owner, we are often stuck with these clients because we need them.  However, we look forward to the day when we will have the thriving business that we so deserve, and fantasize about the spectacular way in which are going to fire them (you can shove your business into your rear orifice etc.)  This is actually a productive fantasy as can help to channel and concentrate anger.  Of course, in the majority of cases, a firing should be conducted with slightly less vigour.

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