How to organize a new business – Stop Researching and Start Doing

Are you that someone who keep overwhelming themselves with more information than doing the actual work? Take the time to implement all that you have read and researched about?

Please commit this year to not purchase any more reading material until you start implementing – learn to stop researching and start doing.

I hope these tips help you get out of research mode and into action mode.

Let’s get to it!

1 | Remember your why

There’s a reason why you started your business in the first place and now’s the time to sit down, get quiet, and remember that why.

Your why is there to push you when things get tough.

When you want to give up.

When you’re feeling low and like you can’t keep going.

It’s also the reason why you need to do the work instead of research and plan for the work.

Did you start your business to have a flexible schedule?

Does the product you create bring you and your customer immense joy and/or solves a problem?

Are there monetary goals you’d like to hit to serve a bigger purpose?

Whatever the reason is for your business, identify it. Write it on a post-it note. Set a timer to remind you every day.

This will help you stop researching and start doing. You need to take action so you can achieve your goals.

2 | Limit your fact-finding time

Many of us could research until we reach the end of the internet.

That’s all well and good but if you aren’t doing anything with that information it’s not that valuable to you.

A key step I’ve found in how to stop researching and start doing is to limit my fact-finding time.

You can limit your time in multiple ways:

– Set a timer for yourself when researching for an upcoming project

– Block out specific times in your calendar when you’ll be researching

– Commit to learning one thing from one person at a time

The point is to be persistent about whichever path you choose. Remember, researching is great but only up until a certain point.

We want to move toward our goals and to do so means we need to do the work to get there!

3 | Set a deadline for yourself

Nothing moves me faster than a deadline!

To truly learn how to stop researching and start doing, you’ve got to set deadlines for yourself.

These deadlines are commitments to your original goals for your business. You should want to adhere to these deadlines because they directly correlate with your ultimate goals.

Sometimes we even like to announce things to our email list or social media to have you guys hold us accountable.
It helps us stay motivated and focused, while not letting perfectionism hold us back.

Do whatever works to motivate you!

4 | Set small, achievable goals

When you’ve got big goals it can be hard to stay motivated.

I’m sure many of you out there have goals so big they might take years to achieve. 
But with goals so big it can be easy to fall into planning mode and never execute.

A gamechanger for us has been to set small, achievable goals for ourselves.

5 | Get an accountability partner

The final step to stop researching and start doing is to get an accountability partner.

The best motivation is to be accountable to somebody else. Hello, this is why the entire coaching and personal training industry exists!

Getting an accountability partner will help you not only stay accountable to someone else but also to yourself.

Remember, no one is pushing these goals onto you. These are the goals that you set out to achieve.

You want to make these goals become a reality. Your accountability buddy is just there to support you along the way!

Final Thoughts!

I hope these tips help you get out of research mode and into action mode.

I think a big reason why I never want to move out of the research phase is that I’m too afraid of “making a mistake.”

But making mistakes and taking chances helps you grow as a person and isn’t that what we’re all here to do? Continuously improve ourselves, day after day?

Let’s challenge each other this year by committing to making mistakes so we can learn from them. I’d love to know what you’re going to try this year. Head on over to this post on all our social media platforms to let us know so we can cheer you on.

Stop procrastinating, overthinking and start doing!

Compiled by Ms. Dikeledi Seoloane on behalf of Matsobanemetja Business Consulting (Pty) Ltd – Registered Accountant and Certified Tax Practitioner.

Matsobanemetja Business Consulting (Pty) Ltd is your accounting partner that you can entrust with the bookkeping function, right up to financial reporting. We helps you keep accurate records of your business finances.

We have well trained and qualified staff that manages the aspect of both business and individual taxes.

We are the fast growing accounting service-providing agency in South Africa and across the globe.

If you need a consultation with us with regards to your business, any type of business – please reach out to us by email hello@matsobanemetja.blog

Matsobanemetja Business Consulting (Pty) Ltd offers a wide range of bookkeeping and accounting services, tailored to your business needs at an affordable price.

You may please inquire with us by sending an email to enquiries@matsobanemetja.co.za

“Change is hard at first, messy in the middle, and gorgeous at the end.”

— Robin Sharma

Refocus, Renew & Reset 🤎

CEO link-tree https://linktr.ee/DikelediS

How to record business transactions

Steps to Record Journal Entries for Your Business.

Appropriately prepared journal entries ensure all financial transactions are accurately recorded. You can begin by zeroing in on which transactions should be entered where. Accounting software will play a crucial role over here as it will enable you to automate journal entries by fetching data from various financial reports and statements.

On the contrary, if you rely on manual bookkeeping methods, you will have to identify each transaction impacting the company’s books.

Here’s a detailed approach for creating journal entries:

1. Find the impacted accounts
Begin the process by identifying which accounts are affected by the transaction. This process can be cumbersome if you aren’t conversant with accounting rules, principles, and terms. In this step, your primary objective is to identify which accounts will gain and which ones will lose during the transaction.

2. Classify transactions
The second step is to sort transactions based on various types, including bank deposits, expenses, purchases, borrowings, credits, and taxes. It will enable you to record these transactions as per accounting rules.

3. Track and trace the money
In this step, consider how it impacts values in terms of debits and credits in associated accounts. Ask yourself the following questions about the transactions:

i. What is the source of the money?

ii. What is the destination of the money?

iii. What did it add to the business?

iv. What did it take away from the business?

4. Identify your account type
Some transactions are simpler to map based on the debits and credits across various affected accounts. Rest may be a little more complicated to track. Remember the following points to assist you in determining the account type:

i. Learn about various account types. There are 5 basic account types: expense, liabilities, revenue, equity, and assets. Once you understand the aforementioned types, you will learn how various kinds of transactions impact them and how they relate to each other.

ii. Apply standard accounting rules to decide where to apply for debits and credits. In journal entries and financial reports, well-established accounting rules allow companies to standardize what goes where. For example, it helps decide where to apply credits and debits for a particular journal entry.

5. Build your journal entry
Adhere to the following process to prepare your journal entry:

i. Put the correct date. Correct date ensures that the data stored in journal entries are applied to the suitable accounting period.

ii. Allocate code and account name. Transactions are coded to a particular account to simplify the accounting process. And accounts are identified using a unique general ledger code and name.

iii. Enter the credit and debit amounts: One of the most significant benefits of using accounting software is automating the debiting and crediting of journal entries. On the contrary, if you are managing them manually, there is a high chance that they will be full of errors.

Self manual capture may require a review from someone qualified such as a bookkeeper or an accountant. You can hire them periodically if you are not ready to outsource the function altogether. This is to make sure that the reports are accurate and reveal the true status of the company.

Compiled by Ms. Dikeledi Seoloane on behalf of Matsobanemetja Business Consulting (Pty) Ltd – Registered Accountant and Certified Tax Practitioner.

Matsobanemetja Business Consulting (Pty) Ltd is your accounting partner that you can entrust with the bookkeping function, right up to financial reporting. We helps you keep accurate records of your business finances.

We have well trained and qualified staff that manages the aspect of both business and individual taxes.

We are the fast growing accounting service-providing agency in South Africa and across the globe.

If you need a consultation with us with regards to your business, any type of business – please reach out to us by email hello@matsobanemetja.blog

Matsobanemetja Business Consulting (Pty) Ltd offers a wide range of bookkeeping and accounting services, tailored to your business needs at an affordable price.

You may please inquire with us by sending an email to enquiries@matsobanemetja.co.za

“It doesn’t just help you calculate profit; it gives you peace of mind. You no longer have to guess or assume, you can finally see things clearly.”

— Firdaus.

CEO link-tree: https://linktr.ee/DikelediS

PERSONAL FINANCE | 9 New Year’s Goals Every Freelancer Should Make


It’s part of the magic of the season — each new year is a chance for a new beginning. For those of you who freelance, this time of year is particularly important. It’s a moment to reflect on what’s going right in your businesses (soleproprietor) / profession, what needs improvement, and what goals should shape the next 12 months. In short, it’s time to plan for the care and feeding of your self-made careers. With that in mind, here are eight New Year’s goals every freelancer should make.

1. Build your brand

No matter how small the enterprise, branding matters. If you haven’t established a brand for your freelance business, resolve to do it this year. Remember, a brand is more than a logo and tagline; it’s also the experience clients have with you.

If you’ve already established a brand, apply it consistently and flawlessly online, in all printed material, and in person. Remember, the goal is to make sure clients keep your business top-of-mind and recommend your services without hesitation.

2. Update your LinkedIn profile

LinkedIn has established itself as the social networking hub for all things employment-related. Its network connects professionals in nearly every field imaginable — and many of them are in desperate need of freelance help. If your LinkedIn profile is out of date, sloppy, or incomplete, it reflects poorly on you and your profession.

3. Learn a new skill

Regardless of what field you’re in, markets never stand still. Changing technologies, new tools, and shifting tastes all demand that freelancers adapt or die. Stay competitive by sharpening your current skills; stay engaged by learning new ones.

4. Expand your network

Freelancing can be isolating, especially for those who work from home. A strong network of colleagues will keep you engaged socially and plugged into new professional opportunities. Devote an hour or two each week to expanding your network through social media, blogs, and industry events.

5. Ditch toxic clients

Take a critical look at your project list for the past couple of years. Are there clients who consistently paid late? Had endless demands and unreasonable deadlines? They’re likely costing your more money than they bring in. Free yourself by phasing out chaotic professional relationships. But be diplomatic; bad clients often employ good people and you never know where those folks may land.

6. Bump up your rates

For many freelancers, it’s tempting keep rates low to draw in more business. But over time, this loss-leader strategy can do more harm than good. Not only does it keep you at a financial disadvantage, it implies your services aren’t as professional or in-demand as your competitors’.

Assess what price the market can bear and adjust your rates accordingly. Communicate the increase clearly in writing and give your clients at least 60–90 days notice.

7. Make time for downtime

When you work for yourself, the boundary that separates your personal and professional world can get a little fuzzy. This year, establish (and stick to!) a more formalized schedule — one that allows for real downtime and breaks from client calls, email, and paperwork.

8. Save for retirement

Without access to employee-sponsored retirement programs, freelancers must take the lead on saving for the future. Some retirement programmes have distinct benefits and limitations. Choose the one that works best for you and make regular contributions — starting now.

9. Have a dedicated accountant for your business

Freelancers should have a dedicated accountant to save time and money, ensure compliance with tax laws, and gain access to expert financial advice for business growth. An accountant pays for themselves by identifying potential deductions and avoiding costly errors or penalties. You do not want to find yourself doing great in your career and later realise the penalties of being non-tax compliant. They are costly and discouraging.

Compiled by Ms. Dikeledi Seoloane on behalf of Matsobanemetja Business Consulting (Pty) Ltd – Registered Accountant and Certified Tax Practitioner.

Matsobanemetja Business Consulting (Pty) Ltd is your accounting partner that you can entrust with the bookkeping function, right up to financial reporting. We helps you keep accurate records of your business finances.

We have well trained and qualified staff that manages the aspect of both business and individual taxes.

We are the fast growing accounting service-providing agency in South Africa and across the globe.

We.Do.Tax

We are a leading provider of personal tax return services in South Africa.

https://www.matsobanemetja.co.za/wedotax.html

We offer a wide range of services, including the completion and submission of personal income tax returns, provisional tax returns, and capital gains tax calculations. Our team consists of a very powerful team of registered and qualified accountants and experienced tax practitioners. We can help you to legally structure your income, deduct allowable deductions, and claim your rebate as and where relevant.

If you need a consultation with us with regards to your business, any type of business – please reach out to us by email hello@matsobanemetja.blog

Matsobanemetja Business Consulting (Pty) Ltd offers a wide range of bookkeeping and accounting services, tailored to your business needs at an affordable price.

You may please inquire with us by sending an email to enquiries@matsobanemetja.co.za

“A penny saved is a penny earned.” – Benjamin Franklin

CEO link-tree . https://linktr.ee/DikelediS

How do Budget for Beginners

Budgeting does not have to be a painstaking endeavor that makes you want to poke your eyeballs out. It actually can be fun. YES, I said budgeting can be fun! This budgeting for beginner’s guide will show you how easy it is and why you should make one.

A budget is simply a plan for your money. It’s seriously that simple.

A budget is what you make it. The budget itself is not an enemy.

If just the word budget makes you want run far far away – then call it something else!

Call it your money plan, treat yourself plan, profit plan, cashflow plan, dreams to reality plan – whatever resonates with you! Make it personal.

Having a budget doesn’t mean that you will be restricted and can’t have any fun.

It’s actually quite the opposite.

You get to have fun and not feel GUILTY!

You don’t have to call it a budget.

You don’t have to panic the next day thinking about how you are going to pay the credit card you just put all that fun on to!

The hardest part about making a budget is getting started. Once you have it done, it’s very simple month to month.

Budgeting for Beginners: A Step-by-Step Guide

So, now that we discussed why you need a budget, let’s get started on making one.

I highly recommend using pencil and paper for your first budget. There is something about writing it down that makes it feel more real. After you get the hang of it in a couple of months, then you can switch to a spreadsheet or an app.

But seriously, just write it down for now.

We are going to start with a general average month budget.

Step 1: Determine your income

This may seem like a no brainer but a lot of people don’t know how much money they actually make!

Pull up your bank account or pay slip and figure out how much each paycheck is. Jot down the amounts and make a total of all your income for the month.

Step 2: Determine your set expenses

This is the really hard part but the MOST important part. I want you to go through at least the last month or three if you really want to get accurate numbers and figure out how much your expenses are.

I want you to determine your set expenses, like rent/mortgage, power, water, TV, cell phone, insurance, car payment, credit cards, loans, and all other bills that come out every single month.

These bills really should be about the same every month. Make a list of all of these and their amounts. If you are not sure about a bill that may fluctuate, like your power bill, look at your averages, then estimate a little higher.

On your paper under your income box, write down your expenses.

Step 3: Discretionary spending

Then comes the even harder part. You need to figure out where all the rest of your money has been going.

This will be food, restaurants, gas, entertainment, impulse shopping, Amazon, clothes, ect.

This will be the eye-opening part. Look at the past couple of months and see where your money really has been going.

For example when I did this, we were spending R7 000.00 on food between groceries and eating out for a family of 4!

This will be where you can cut costs and start to save money! So it is very important to not skip this step.

In order to change your behavior, you have to face the facts. It’s hard and challenging and easier to ignore it and put your head in the sand.

BUT that won’t get you to where you want to be long-term.

So, let’s get busy and actually SEE where you money has been going.

Step 4: Determine your category amounts

Ok, you have your income and set bills and now you see where your money has been going. The next step is setting a reasonable amount for those categories. On your sheet, write them down:

Step 5: Determine how much is left

You should have your income and expenses laid out on paper. I want you to total your expenses on the sheet.

Then take your total income and subtract your total expenses.

At this point, you should have some left. We will use what is left over for our sinking funds and debt snowball.
You can utilise excel spreadsheet for this exercise.

Step 6: Sinking Funds

A sinking fund is simply saving for an expected expenses that doesn’t come up every month. You can save money for these items or pay for them with cash in that month depending on your budget.

When you can’t “cash-flow” it, then you need to save for it with a sinking fund.

Sinking fund examples: clothing, christmas, gifts, birthdays, house maintenance, vehicle maintenance,
property taxes, income taxes, vacation, medical expenses, general emergency savings, etc.

Depending on your personality and how you handle your money will determine the best way for you to save for sinking funds. They can be saved in cash envelopes, separate bank accounts, one bank account with a spreadsheet to track the amounts, or cash flowed.

I find I use a variety of these. I use cash envelopes, separate bank accounts, and cash flow expenses. For my personality, I like to focus on one big thing instead of several small things. SO, I tend to cash flow most small things month to month. I try to use the savings accounts for big expenses.

This will take some time to figure out which works best for you and your budget.

But for now, look at your budget and decide what sinking funds you want to save for on a month to month basis and which you can cash flow when they are due.

Step 7: Debt Snowball

At this point, you have all your bills, expenses, and sinking funds planned. You should have some money left over at this point. If you don’t, we will address that in a minute.

Now we are going to use what is left for your debt snowball. Using all of the money in the month for a category is called a zero-based budget.

What is a zero-based budget?

When using the debt snowball method, a zero-based budget is the best way to make sure that ALL of you money is working for you.

A zero-based budget is assigning every rand a job. So your cash balance should be zero.

The point of a zero-based budget is to make income minus the outgo equal zero. If you cover all your expenses during the month and have R1000 left over, you aren’t done with the budget yet. You must tell that 1000 bucks where to go. If you don’t, you lose the chance to make it work for you in the areas of getting out of debt, saving for an emergency, investing, paying off the house, or growing wealth. Tell your hands where to go.

Now you can and probably should leave a little bit of a buffer in your account and a miscellaneous category for your budget. Just in case you have something come up that you forgot or a mistake somewhere. It happens to all of us!

And by a little buffer, I don’t mean 500. I mean more like 100 or less.

But how can I budget when I am broke?

Even if you make R250,000 a year or R350,000 a year, you must have a plan for it. A budget is simply a plan for your money. If you don’t make a plan, then your money will disappear.

It doesn’t matter if you make a lot or a little, your money will not work for you, if you don’t tell it where to go.

When you are on a tight budget or a low income, it is especially important to do a budget. You don’t have as much leeway in your spending and a small mistake or emergency could be devastating.

How can a budget help me?

Well, most people find that after doing their first budget, they feel like they got a RAISE! I certainly felt this way as well. It’s a very eye-opening experience when you see the numbers on paper. It’s very likely that you have more money than you realize.

The issue most people have is that they don’t know where the money is going, so it feels like there is never enough.

When you start paying attention to every cent, it quits flying out the window and you can use more of it.

What is a debt snowball?

A debt snowball is where you take all extra money and apply it to your smallest debt first. You make minimum payments on everything but your debt with the smallest balance.

Then when the smallest balance is paid off, you move that payment and extra to the next smallest. You do this until the last debt.

You can use a debt snowball calculator to see the best way to do this.

FREE Budget Checklist

Step-by-step checklist to make your budget and manage your money! 

How can I budget with an irregular income?

If you have irregular income, your budget will basically look the same. The difference will be in how you pay your bills.

With an irregular income, I want you to estimate your average monthly income and use that for your budget. Some months may be more or less, but let’s start with a base line average and go from there.

You still have to list out your expenses and sinking funds and estimate your debt snowball.

The difference is that I want you to list your expenses in order of importance.

Food, shelter, and transportation, being at the top of the list. Those get paid first.

Then through the month as money comes in, you pay the next thing on the list.

Your debt snowball will have to wait until everything is paid and saved then start applying what comes in to the snowball.

Be sure to check things off on the budget as they get paid, so you don’t accidentally pay something twice.

How to budget when you get paid bi-weekly or weekly?

The monthly budget is good to see where all your money should go for the whole month.

I have been trying doing only a monthly budget this year, and honestly I find it hard to stick to. I have always done a budget for each paycheck, so this works better for me.

What if I make a low income?

Just like I explained at the beginning, you still need a budget. It may not look like the amounts that I have given as examples but just put your numbers into the budget.

You still need a budget on a low income and you still need to manage your money. Don’t wait until you have a big income to learn how to budget. If you cannot take care of the rands, how are you going to take care of the thousands?

If you have a low income it will be important to start looking for ways to cut costs and expenses.

How do I stick to the budget?

Sticking to a budget at first can be hard. Just remember that it takes 90 days to instill new habits and sticking to the budget will take some time to get used to.

No one is perfect with sticking to the budget, not even me. But don’t use that as an excuse to disregard the budget all together.

My biggest tips for sticking to the budget is when something comes up that messes up the budget, don’t give up. Just because you made an impulse purchase for unplanned item, don’t throw the budget out the window and be discouraged!

It’s easy to say “well I’ve already screwed up the budget, what does it matter now?”. It does matter, a small mistake is better than several hundred rands.

Other tips for sticking to the budget:

Make visuals of your goals- keep them around for when you are tempted. Put them at your computer, in your wallet, and at work.

Make sure you are your spouse are on the same page- make sure everyone is working toward the same goals

Have an accountability partner- if you don’t have a spouse or they aren’t on board, tell a trusted friend what you are doing and why and lean on them for support.

Get used to the comments- when you are making a lifestyle change, get ready for comments from friends and family about your choices. Not everyone will be supportive of your decisions. When you can’t do something or go out for lunch everyday, there will be comments. Don’t let it bother you and explain “it’s not in the budget”.

Leave money for fun- you won’t be able to stick to the budget if it’s so tight you can’t do anything fun at all. Now I don’t mean parties and concerts every weekend but budget in some fun money. This will help keep you motivated and stick to it.

How can I budget and save money?

Budgeting and saving money go hand and hand. Once you start budgeting, you will naturally start saving money.

Once you do a zero-based budget, it will be easy to save money. You just put it down as a line item.

You can also find ways to cut expenses and make money. Make a list of ways to make some extra money in the month.

Can you work some overtime, join network marketing sales, or sell some other things. Even if you don’t think you have anything worth selling, you will be surprised how quickly it makes a difference to your finances.

In conclusion:

A budget is the starting point for managing your money, finances, and future. Just get out there and do it.

It can be intimidating at first, but it gets easier every month.

Having a written budget is the first step in living your dreams.

With a budget and focus can help you get there. It helps you stop wondering where your money went and gets it doing what you want it to do!

Compiled by Ms. Dikeledi Seoloane on behalf of Matsobanemetja Business Consulting (Pty) Ltd – Registered Accountant and Certified Tax Practitioner.

Matsobanemetja Business Consulting (Pty) Ltd is your accounting partner that you can entrust with the bookkeping function, right up to financial reporting. We helps you keep accurate records of your business finances.

We have well trained and qualified staff that manages the aspect of both business and individual taxes.

We are the fast growing accounting service-providing agency in South Africa and across the globe.

If you need a consultation with us with regards to your business, any type of business – please reach out to us by email hello@matsobanemetja.blog

Matsobanemetja Business Consulting (Pty) Ltd offers a wide range of bookkeeping and accounting services, tailored to your business needs at an affordable price.

You may please inquire with us by sending an email to enquiries@matsobanemetja.co.za

A budget is telling your money where to go instead of wondering where it went

– Dave Ramsey

A budget is not a limit, it’s a declaration of priorities

THE ROLE OF TECHNOLOGY IN ACCURATE PAYROLL PROCESSING

Modern payroll software simplifies:

– Calculations

– Tax compliance

– Employee recordkeeping

– Direct deposits

Obviously, an automated payroll system reduces payroll errors and saves time.

Using payroll management solutions shows that your company is forward-thinking and invested in improving the employee experience.

METHODS FOR MANAGING PAYROLL

When it comes to managing payroll, small business owners have three main options.

Each comes with pros and cons:

MANUAL PAYROLL (SPREADSHEETS)

Best for: Very small teams (1-5 employees) and those with simple pay structures.

Pros: Low cost, full control.

Cons: Time-consuming, error-prone, increased risk of compliance issues.


OUTSOURCING PAYROLL

Best for: Businesses with limited time or in-house expertise.

Pros: Shifts administrative burden; access to expertise and tax filing support.

Cons: Higher ongoing cost, potential loss of control, may have data privacy concerns.

PAYROLL SOFTWARE

Best for: Growing small businesses, startups, and anyone wanting to streamline payroll.

Pros: Automation, built-in compliance, employee self-service portals, instant reporting.

Cons: Subscription costs, learning curve to set up and use effectively.

KEY BENEFITS OF EFFECTIVE PAYROLL MANAGEMENT

When you use the right payroll management system over manual processes, you get the following benefits:

EMPLOYEE SATISFACTION

Paying on time, every time, is key to keeping your staff happy and engaged.

Many modern payroll solutions even offer employee self-service features where team members can view pay stubs, update their information, and track leave balances.

TIME AND COST SAVINGS

Automation means less manual data entry, fewer errors, and more time for you and your HR manager to focus on what you do best—growing your business.

DATA SECURITY

Payroll data is sensitive. Secure, cloud-based systems protect employee privacy and your company’s financial information, lowering the risk of fraud or breaches.

SIMPLIFIED COMPLIANCE

Good payroll software integrates with changing tax laws and regulations, discouraging costly mistakes and missed filing deadlines.

STRATEGIC INSIGHTS

Consolidating accurate payroll data lets you identify trends, compare labor costs, track overtime or absenteeism, and gain business intelligence for better, data-driven decisions.


COMMON PAYROLL MANAGEMENT CHALLENGES (AND SOLUTIONS)

TOO MUCH MANUAL WORK

If you are still doing manual calculations, it’s hard to maintain accurate payroll records.

Manual payroll eats up your valuable time and is error-prone. Automation through software or outsourcing solves this problem.

KEEPING UP WITH CHANGING REGULATIONS

Tax laws, minimum wages, and filing rules change frequently.

Use software that stays current or partner with experts.

DATA ERRORS AND COMPLIANCE MISSTEPS

Mismatched hours, incorrect rates, or missed filings lead to disgruntled employees and penalties.

Double-check your processes, implement error alerts, and use systems with built-in compliance checks.

MANAGING EMPLOYEE RECORDS

A misplaced timesheet or outdated employee file can derail payroll. Adopt a secure, cloud-based system that allows for easy, centralized record management.


FAQS ABOUT PAYROLL MANAGEMENT

Below are answers to common questions about the importance of payroll management.

WHY IS KEEPING PAYROLL SO IMPORTANT?

Keeping payroll accurate and up to date is crucial for several reasons:

COMPLIANCE WITH GOVERNMENT REGULATIONS:

Payroll errors can result in penalties or fines from tax authorities, labor departments, and other regulatory agencies. By keeping payroll accurate and compliant, you can avoid these costly consequences.

EMPLOYEE SATISFACTION:

Pay is a sensitive topic for employees, and any errors or delays can cause dissatisfaction and mistrust. Making sure their paychecks are correct and on time helps build trust and morale among your team.

FINANCIAL STABILITY OF THE COMPANY:

Accurate payroll ensures that your business’s financesare properly managed. Incorrect payments can lead to cash flow issues or financial discrepancies that may impact the overall stability of the company.

WHAT’S THE DIFFERENCE BETWEEN PAYROLL AND HR?

As you think about the importance of payroll management, you need to also understand the difference between payroll and HR.

Payroll is about paying employees accurately, filing taxes, and keeping compliant records.

HR involves broader functions like recruitment, onboarding, benefits, and policy management.

CAN SMALL BUSINESS OWNERS HANDLE PAYROLL ALONE?

Yes, but know your limitations. Manual payroll is possible, but investing in payroll software or outsourcing pays for itself by minimizing risk and saving time.

WHAT ARE THREE IMPORTANT OBJECTIVES OF A PAYROLL PROCESS?

HERE ARE THE THREE IMPORTANT OBJECTIVES OF A PAYROLL PROCESS.

Accurate and timely payment of employees: The primary objective of a payroll process is to ensure that employees are paid accurately and on time. This not only builds trust and morale among employees but also ensures their financial stability and well-being.

Compliance with laws and regulations: Another important objective of a payroll process is to ensure compliance with various laws and regulations related to employee compensation, taxes, and benefits. Failure to comply with these laws can result in legal consequences for the company.

Proper record-keeping: Payroll processes also serve as an important tool for maintaining proper records of employee wages, taxes, benefits, and other related information. These records are crucial for audits, tax filings, and other legal regulatory requirements.

In addition to above, employee satisfaction and accurate budgeting and forecasting are also important.

WHAT IS THE MOST IMPORTANT PART OF PAYROLL?

One of the most important aspects of payroll is ensuring compliance with federal, state laws, and local regulations.

This includes calculating and deducting taxes, social security contributions, and other mandatory withholdings from employees’ paychecks.

Failure to comply with these regulations can result in penalties or legal consequences for businesses.

Another crucial aspect of payroll is maintaining accurate records for tax purposes. These records include employee earnings, tax withholdings, and employer contributions.


WHAT RECORDS DO I NEED TO KEEP FOR PAYROLL?

AT THE BARE MINIMUM, YOU NEED TO KEEP THE FOLLOWING DOCUMENTS:

Employee personal and tax information

Timesheets and leave records

Pay stubs

Tax filings and payment receipts

Keep these records for a minimum of five years.

HOW CAN I AVOID PAYROLL ERRORS?

– Use reliable payroll software

– Double-check entries before processing payroll

– Keep systems and employee data up to date

– Review records regularly for inconsistencies

WHAT FEATURES SHOULD I LOOK FOR IN PAYROLL MANAGEMENT SOFTWARE?

Top features to look for:

– Employee time tracking integration

– Automated tax calculations and filings

– Employee self-service portal with access controls

– Secure data storage and compliance support

– Real-time reporting and analytics including tax forms

FINAL THOUGHTS ON THE IMPORTANCE OF PAYROLL MANAGEMENT

Now you know that payroll management plays a vital role in the financial well-being of your small business.

From accuracy and compliance to morale and retention, the importance of payroll management affects every part of your business.

The quality of your payroll management sets the tone for employee satisfaction, compliance, and business growth.

By choosing the right tools and approaches, you’ll not only save time and money but also build trust with your employees and avoid costly legal risks.

Compiled by Ms. Dikeledi Seoloane on behalf of Matsobanemetja Business Consulting (Pty) Ltd – Registered Accountant and Certified Tax Practitioner.

Matsobanemetja Business Consulting (Pty) Ltd is your accounting partner that you can entrust with the bookkeping function, right up to financial reporting. We helps you keep accurate records of your business finances.

We have well trained and qualified staff that manages the aspect of both business and individual taxes.

We are the fast growing accounting service-providing agency in South Africa and across the globe.

If you need a consultation with us with regards to your business, any type of business – please reach out to us by email hello@matsobanemetja.blog

Matsobanemetja Business Consulting (Pty) Ltd offers a wide range of bookkeeping and accounting services, tailored to your business needs at an affordable price.

You may please inquire with us by sending an email to enquiries@matsobanemetja.co.za

“Empowering businesses through effective payroll.”

Every business need a reliable payroll service. Talk to us 🤎

CEO Link-tree

https://linktr.ee/DikelediS

Upcoming Blog: How to do budget as a begginer…

Payroll Tips every small business owner need

THE IMPORTANCE OF PAYROLL MANAGEMENT FOR SMALL BUSINESS

In today’s fast-paced and competitive business world, the importance of payroll management can’t be overstated.

A reliable payroll system is more than just issuing paychecks—it’s about ensuring accuracy, building trust, staying compliant with laws, and most importantly, keeping your team satisfied and productive.

When your employees are paid fairly and on time, they feel valued.

And when they feel valued, they perform better, stay longer, and contribute to a more positive work environment.

Employee satisfaction is the key to organizational success.

In this article, we will learn about the importance of payroll management, the crucial role it plays in business, employee wages, and what you can do to streamline your processes for growth and legal compliance.

We will cover essentials, common challenges, methods for managing payroll.

The Payroll Management Process (6 Best Practices)

1. Collect Employee Data

2. Track Work Hours and Leave

3. Calculate Gross and Net Pay

4. Issue Pay (Direct Deposit or Check)

5. File Payroll Taxes & Reports

6. Maintain Records and Compliance

5 Key Benefits of Effective Payroll Management

– Employee Satisfaction

– Time and Cost Savings

– Data Security

– Simplified Compliance

– Strategic Insights

5 Common Payroll Management Challenges (and Solutions)

Too Much Manual Work

Keeping Up With Changing Regulations

Data Errors and Compliance Missteps

Managing Employee Records

FAQs about Payroll Management

Why is keeping payroll so important?

Compliance with government regulations:

Employee satisfaction:

Financial stability of the company:

What’s the difference between payroll and HR?

Can small business owners handle payroll alone?

What are three important objectives of a payroll process?

Here are the three important objectives of a payroll process.

What is the most important part of payroll?

What records do I need to keep for payroll?

At the bare minimum, you need to keep the following documents:

How can I avoid payroll errors?

What features should I look for in payroll management
software?

WHAT IS PAYROLL MANAGEMENT?

Employee payroll management is the entire process of compensating employees for their labor.

This involves calculating earnings, withholding taxes, and paycheck distribution.

It also includes administering benefits, ensuring regulatory compliance, and keeping accurate record keeping.

A well-managed payroll system reduces the risk of errors and ensures that employees receive what they’re owed—accurately and on time.

WHY PAYROLL MANAGEMENT IS CRUCIAL FOR SMALL BUSINESSES

Proper payroll management and payroll operations are important for at least 4 big reasons:

TIMELY PAYMENTS IMPROVE EMPLOYEE SATISFACTION

Imagine the scene: It’s payday, and your full-time employees get paid on time, every time, with clear, accurate pay stubs.

The result?

Happy, engaged employees who trust your business and are motivated to do their best work.

Neglect payroll, and you’ll quickly see the opposite.

Late or inaccurate pay causes confusion, lowers employee morale, and may drive your best people away.

A streamlined payroll process ensures timely payments and demonstrates professionalism.

This significantly improves employee satisfaction and motivation.

LEGAL COMPLIANCE AND RISK MANAGEMENT

Payroll isn’t just about numbers; it’s also about compliance and avoiding costly legal issues.

Federal and state laws require you to pay employees on time and withhold the right taxes.

Failing to do so exposes your business to penalties, back taxes, and reputational harm.

Compliance also means keeping accurate records, reporting through institutions sushi as SARS – South African Revenue Services, UIF – Unemployment Insurance Funds, COIDA – Compensation for Occupational Injuries and Diseases Act, and being ready if regulators come calling.

We have well trained and qualified staff that manages the aspect of both business and individual taxes.

The importance of payroll management here is clear: it protects your business while ensuring your team is compensated lawfully and fairly.

By the way, your business is not legally protected if you are missing these legal documents.

BUDGET MANAGEMENT AND FINANCIAL HEALTH

For most small businesses, payroll is the largest ongoing expense.

Accurate payroll management helps you forecast labor costs, avoid cash flow surprises, and stick to your budget.

Missteps in this area can mean underestimating expenses or, worse, missing payroll entirely.

COMPANY REPUTATION & EMPLOYEE RETENTION

Think of payroll accuracy as the silent ambassador of your employer brand.

If word gets out that you struggle to pay on time or make mistakes with wages, you’ll have a tough time attracting top talent.

Consistent, transparent payroll sets you apart as a reliable employer and keeps current team members loyal.

Retention is built on high employee and job satisfaction.

Part of this satisfaction comes from reliable payroll systems, which decrease turnover.

Employees are less likely to leave an organization if they feel valued and compensated fairly.

A good payroll management system helps organizations retain talent, thus saving the time and money needed to recruit and train new employees.

THE PAYROLL MANAGEMENT PROCESS (6 BEST PRACTICES)

Payroll management is a cycle of tasks that keep your employees paid and your business protected.

Here’s what goes into a solid payroll process:

1. COLLECT EMPLOYEE DATA

You need to keep detailed, up-to-date records for each employee, including:

Legal name and address

Tax file number

Start date, pay rate, and pay frequency

Tax withholding and deduction preferences

Bank account details

2. TRACK WORK HOURS AND LEAVE

If you employ hourly or shift workers, use reliable time tracking systems (e.g., time clocks, scheduling apps) to record:

Hours worked (including overtime)

Sick days and vacation time

Breaks and shift swaps

3. CALCULATE GROSS AND NET PAY

This is where accuracy matters most. For each pay period:

Calculate gross wages (hours worked x rate)

Deduct taxes (payroll taxes applicable)

Subtract benefits and voluntary deductions (health insurance, retirement)

Arrive at net (take-home) pay

4. ISSUE PAY (DIRECT DEPOSIT OR CHECK)

Get paychecks or direct deposits out on time. Reliable payroll software makes this process easier and error-free, and many employees appreciate payday notifications.

5. FILE PAYROLL TAXES & REPORTS

Every pay cycle, you must calculate, withhold, and remit payroll taxes.

Ensure that EMP201 and EMP501 are completed and submitted according – N.B. PAYE

Check the legal requirements and tax obligations of where your business is located to ensure compliance.

6. MAINTAIN RECORDS AND COMPLIANCE

Keep documentation on everything—from timesheets and pay stubs to tax filings and leave requests.

This isn’t just best practice; it’s required by law.

Compiled by Ms. Dikeledi Seoloane on behalf of Matsobanemetja Business Consulting (Pty) Ltd – Registered Accountant and Certified Tax Practitioner.

Matsobanemetja Business Consulting (Pty) Ltd is your accounting partner that you can entrust with the bookkeping function, right up to financial reporting. We helps you keep accurate records of your business finances.

We are the fast growing accounting service-providing agency in South Africa and across the globe.

If you need a consultation with us with regards to your business, any type of business – please reach out to us by email hello@matsobanemetja.blog

Matsobanemetja Business Consulting (Pty) Ltd offers a wide range of bookkeeping and accounting services, tailored to your business needs at an affordable price.

You may please inquire with us by sending an email to enquiries@matsobanemetja.co.za

“Accuracy is the soul of payroll.”

Bookkeeping, Accounting, Payroll, Tax.

Upcoming Blog Topic: THE ROLE OF TECHNOLOGY IN ACCURATE PAYROLL PROCESSING

Business Ethics | What it means to operate your business in an ethical manner

__________________________

Generating an income is always something we concentrate on when we are running our businesses. But that’s not the only thing that makes the business grows. Like an entity, a business flourish because it was afforded the accessories to be able to function. Some of these accessories are soft skills that can be easily overlooked by many.

Today I would like to talk about ethics.
Implementing best practices tailored to the specific needs of the business goes a long way.
Growing a business is not merely about compliance; it is about building a sustainable, responsible business that can lead by example in the global marketplace.

What is business ethics?
Business ethics refers to the moral principles and values that guide how a company and its employees behave, dictating honesty, fairness, and respect in all business practices. It involves making decisions that are not just legal, but also morally right, considering the impact on stakeholders like customers, employees, and the community.

Key principles include accountability, integrity, transparency, and respect for others. 
Key aspects of business ethics

Moral principles:
It is the application of good manners and moral principles to business situations, helping to resolve ethical dilemmas. 

Stakeholder consideration:
Businesses are expected to consider the impact of their decisions on various stakeholders, including customers, employees, suppliers, shareholders, and the communities in which they operate. 

Honesty and fairness:
Ethical companies act with integrity by being honest with customers and stakeholders, treating employees fairly, and engaging in transparent operations. 

Corporate social responsibility:
This includes a company’s commitment to corporate social responsibility, environmental concerns, and treating its employees well, such as providing fair wages and a safe working environment. 

Leadership and integrity:
Ethical leadership is crucial for embedding these values into the company culture. It sets the tone for employees and can lead to greater stability, trust, and a better reputation.

Legal compliance:
Operating within the boundaries of laws and regulations.

Why business ethics are important

Builds trust:
Ethical behavior builds trust with customers, employees, and investors, which is crucial for loyalty and long-term relationships.

Enhances reputation:
A commitment to ethics creates a positive public image and a strong brand reputation.

Attracts talent:
Ethical companies can attract and retain employees who value a fair and principled work environment.

Ensures legal compliance:
Ethical practices help a company stay within the law, avoiding legal penalties and reputational damage.

Drives profitability:
A strong ethical culture can lead to a more successful and profitable business in the long run.

Examples of ethical and unethical behavior

Ethical:
A company that pays fair wages, provides a safe workplace, has transparent pricing, and engages in community volunteer programs.

Unethical:
A company that misleads customers with false advertising, engages in price-fixing, or ignores environmental regulations.

Compiled by Ms. Dikeledi Seoloane on behalf of Matsobanemetja Business Consulting (Pty) Ltd – Registered Accountant and Certified Tax Practitioner.

Matsobanemetja Business Consulting (Pty) Ltd is your accounting partner that you can entrust with the bookkeping function, right up to financial reporting. We helps you keep accurate records of your business finances.

We have well trained and qualified staff that manages the aspect of both business and individual taxes.

We are the fast growing accounting service-providing agency in South Africa and across the globe.

If you need a consultation with us with regards to your business, any type of business – please reach out to us by email hello@matsobanemetja.blog

Matsobanemetja Business Consulting (Pty) Ltd offers a wide range of bookkeeping and accounting services, tailored to your business needs at an affordable price.

You may please inquire with us by sending an email to enquiries@matsobanemetja.co.za

A man without ethics is a wild beast loosed upon this world.

Dikeledi Seoloane – CEO link-tree 🤎https://linktr.ee/DikelediS

How to create systems in your business  so you can focus on the core operational issues

Creating Business Systems

Today I’m going to tell you how you can use systems in your business so you can show up to your desk to get work done, have clarity, no stress, navigate easily to meet the deadlines.
There are so many layers to being unorganized it can be really hard to know where to get started. I am breaking down how to create systems in your business into two major categories. The first is to identify and the second is to execute. The goal for this post is for you to be able to know what system you need to put into place so you can have more time to the pressing business demands.

The things that are on your mind and distract you are so much bigger than they need to be and can be systemized.

So let’s look at the first part of this which is identify and it has three steps inside of it.

Identify

Follow these steps to identify which areas inside your business need systems.

You need to know how many hours you are working each week. If you do not know you need to clock yourself for a week. This includes any time spent on your phone. Write down a really honest number.

Write down how many hours you actually need to do your job.

Identify what is causing you the most stress. What is it that is keeping you from working? Maybe it’s your phone but if you’re not sure start time tracking. I do that whenever I feel like I’m being unproductive in my work block. I know you know what is stressing you out. Start paying attention to those tasks that you are resentful of. There may be 5-50 of these things but that’s ok, just start with the biggest thing. Once you tackle the biggest thing it will give you the most amount of return on the back end so you can then start chipping away on the smaller things.

Those are the three parts to identifying where you need systems in your business, let’s move onto the second phase of this.

Execute

As I go through execute, I’m going to be using the example of client work being your biggest frustration.  If yours is something else like emails or phone calls it will still all be the same process.

First establish your ideal workflow for this major pain point. Establish what you really want this system to look like either on paper or an electronic system / software.  This help to get your thoughts organised.

As soon as a client contacts you what do you want that to look like? Lay out all the steps exactly how you want it. Here are some good questions to ask yourself:

– What in your current process needs to be tossed?

– What are you doing right now that is not working?

– What has to stay and is working really well?

– What can be outsourced? I got creative with this. My first “hire” was with an intern.

– What can be automated? Just remember time is money.

When you get these things figured out there is going to be some work to do. You will have to establish the spreadsheet or whatever it is. You are going to build the system and it will take work. Alright onto step number two.

Now that you have all your steps put them in the order you want them to go in. Then outline what happens in each one of those steps. Is there a contract that needs to be signed and where is that held?

Then put this information into some type of workflow. This can be a spreadsheet. There is no right or wrong way to do any of these things it’s just about getting these processes into one spot so it is repeatable and you do not have to think about it anymore.

I know you are already overwhelmed but this is not about magic making and unicorns. It’s going to be awkward for a little while and it’s going to take a lot of work. These are the things you need to do so you can get your things done in a lesser amount of time so you can get back to loving on your family well. The point is not to just hustle harder so you’re chronically overwhelmed and exhausted.

The third step is to transition. You’re going to have every new person that comes in go through this but you are also going to have old people that will slowly transition. There will be a period of time where it feels like you have created more work for yourself but in the end, you will gain freedom mentally from your business. You will gain back hours of time when you are prepared and mentally not thinking through all these little things.

If you are just dealing with a problem like emails you do not need a whole workflow but you do need a process. What’s your ideal flow for managing your emails? Maybe you show up at 9 am and 3 pm and check your inbox for 5 minutes. Maybe one card you open up inside your workflow that tells you exactly what to do. I don’t know what your process will be but figure out what would be ideal for your business.

Working hard must yield results thus being organised is also vital to this effect. Plan, execute, achieve. Do not confuse building systems to a “to do list”
Systems are a guideline to perform a specific function at work / in the business. If you are in a service kind of business or product base and any type of business for that matter systems assist in executing the job at hand.
The good thing about having systems is equivalent to having a culture. It is extended from one employee to another. Can easily referred to organisational culture.

A to-do list is a list of tasks, goals, or activities that need to be completed, often organized by priority and deadlines. It serves as a planning tool to increase productivity and organization by helping you track what needs to be done, set priorities, and break down large projects into smaller, more manageable steps.

A to do list and systems – both have one thing in common i.e. they both enhance productivity!

Compiled by Ms. Dikeledi Seoloane on behalf of Matsobanemetja Business Consulting (Pty) Ltd – Registered Accountant and Certified Tax Practitioner.

Matsobanemetja Business Consulting (Pty) Ltd is your accounting partner that you can entrust with the bookkeping function, right up to financial reporting. We helps you keep accurate records of your business finances.

We have well trained and qualified staff that manages the aspect of both business and individual taxes.

We are the fast growing accounting service-providing agency in South Africa and across the globe.

If you need a consultation with us with regards to your business, any type of business – please reach out to us by email hello@matsobanemetja.blog

Matsobanemetja Business Consulting (Pty) Ltd offers a wide range of bookkeeping and accounting services, tailored to your business needs at an affordable price.

You may please inquire with us by sending an email to enquiries@matsobanemetja.co.za


“We shape our buildings; thereafter they shape us,” 

– Winston Churchill.

Some – 8 | Often Forgotten Small Business Tax Write-Offs


It is said that when you are a non-finance person, the only bookkeeping / record keeping that you recognize is only capturing the income 

It is a common perception that bookkeeping primarily involves tracking income, but in reality, it encompasses a comprehensive range of financial activities essential for a complete and accurate picture of a business’s financial health. 

Dealing with taxes and the legal aspect of running a small business can be a nightmare.

As an entrepreneur or small business, you know that taxes can be pretty harsh. Make sure you’re taking advantage of everything you’re able to.

8 Often Forgotten Small Business or Entrepreneur Tax Write-Offs:

1 | Plants Hire

In accounting, “plant hire” refers to the rental of machinery and equipment for a specific period, treating the hire cost as an operating expense rather than a capital investment. This is common in industries like construction and agriculture, where businesses pay a fee to use equipment for projects without the large upfront cost of buying it. The accounting treatment depends on whether your company is the hirer or the provider of the equipment.

2 | GIFTS TO CLIENTS
I know a lot of businesses in their nature they use the business funds to purchase gifts as a token of appreciation for long-term / returning clients. Just to thank them for the continuous supports. This is also a marketing technique. It could be welcome bags or thank you bags with goodies, so this would be a perfect example.
A marketing tool because when clients feel appreciated they stay with the business, they go as far as recommending your services or products to their associates / network. With that said – the customer service must be equally be good. Freebies should not be a substitute or compromising the quality of the service rendered.

3 | SOFTWARE

Most small business owners know to deduct their expenses for accountants and legal advice, but sometimes it can be easy to forget the smaller software necessary to run your business. This could be anything such as invoicing software, anti-virus software or Evernote.

4 | INSURANCE PREMIUMS

There are many different insurance premiums that might affect your business.  If you work from home, you can also include your home owners insurance or renters insurance.

Don’t forget to deduct your own medical premiums, as well.

5 | RESEARCH/ TRAINING TRIPS

Writing off travel for business can be tricky, but there are times when you should. If your trip was related to furthering your business, even if it’s writing an ebook, you may be able to deduct it.

You may still be able to deduct certain parts of your trip, like 50% of a client/prospect meal and travel to see a particular client.

6 | TOOLS OF THE TRADE

Some tools of the trade are easy to identify, like a new laptop.

But say you’re a food blogger who makes money from developing recipes and posting them online or compiling them into an ebook. In that case, you should consider deducting props, cook books, utensils, and potentially even the food.

Speak with your accountant on the exact rules that would apply to your situation.

7 | REPAIRS AND Renovations / Maintenance

If you work out of a home office, you may be able to deduct a percentage of the cost for the repair or renovation, even if it wasn’t directly related to your office. Speak to your accountant to make sure you follow IRS guidelines.

8 | PROCESSING FEES

Don’t forget to deduct all those fees incurred from Paypal! Did you know you can also deduct the interest accrued if you use a credit card specifically for your business purchases? Or the fees associated with having a business checking account? Pay gates, etc.

If you’ve already done your taxes for the year, I recommend pinning this infographic for next year.

In summary, it’s important to track every little thing associated with your business throughout the year, even if you’re not sure you’ll be able to write it off.

What was/is the most confusing tax write-off question you’ve dealt with since starting your business?

It’s easy to book a consultation with us. You can take advantage of our free 15 minutes virtual consultation

Compiled by Ms. Dikeledi Seoloane on behalf of Matsobanemetja Business Consulting (Pty) Ltd – Registered Accountant and Certified Tax Practitioner.

Matsobanemetja Business Consulting (Pty) Ltd is your accounting partner that you can entrust with the bookkeping function, right up to financial reporting. We helps you keep accurate records of your business finances.

We have well trained and qualified staff that manages the aspect of both business and individual taxes.

We are the fast growing accounting service-providing agency in South Africa and across the globe.

If you need a consultation with us with regards to your business, any type of business – please reach out to us by email hello@matsobanemetja.blog

Matsobanemetja Business Consulting (Pty) Ltd offers a wide range of bookkeeping and accounting services, tailored to your business needs at an affordable price.

You may please inquire with us by sending an email to enquiries@matsobanemetja.co.za

“Your most unhappy customers are your greatest source of learning.”

– Bill Gates

How To Understand Your Business Cash Flow

When you chose to start a business get to grips with How to Understand your Cash Flow.  You might have thought that your idea was a direct route to success. It might well be, but one part of a business is cash flow and you cannot ignore it!

Cash in, cash out, it can all become overwhelming. Furthermore, you might have big plans to grow your business but to get there, you need control of your money.

Don’t dive in and hope for the best. Take a breath, take a step back and consider the bigger picture by managing your cash flow better. However, if cash flow is something new to you, what is it and what does it mean?

How do you begin and take that next step in understanding your cash flow.

Start with a Cash Flow Template

You don’t have to venture out into the world of cash flow all alone. This is because you can use a cash flow template to get you started. This prestructured document will enable you to understand cash flows and set your business on the right path with minimal input from you!
Capture the money coming in and the money going out. Make it less complicated and easy to understand.

How to Manage Cash Flow

Keep on top of bookkeeping 

Bookkeeping underpins the success of your business. When you ensure you keep on top of your accounts, you will have a greater overview of your business. From here, you can take those next steps to growing your business.

Create cash flow statements 

Paperwork might drag you down but none comes more important than your cash flow statement. This enables you to carry out cash flow reviews and analyse your cash flow. You’ll then have the ability to understand how your decisions impact the health of your business.

See how your money moves

Money is the golden ticket to business success. Therefore, seeing how it moves through your business is vital. When you understand more about this, you can gain greater control and take your business to the next level.

Increase cash flow 

The aim is to have more money coming in than out. So, if you use your credit card frequently, it’s a sign that you need to increase cash flow.

Cut back on spending

It can seem too easy to spend, spend and spend some more. Your business can seem like an endless pot of cash but it will end if you don’t get on top of things.

Speed up invoice payments 

Your cash flow depends on the money you receive. Through the use of a cash flow template, you can see what needs to come in. Therefore, you’ll have the ability to decide whether you want to speed up invoice payments. As a result, this will give you more money in your pocket.

Make cash flow analysis routine

Cash flow is ongoing and never stops. Furthermore, taking your eye off your cash flow could lead to disaster. However, you are in control and it’s your business, so you’ve more reasons than ever to make sure you make it part of your routine to monitor cash flow. As a result, you’ll find that your finances become a lot healthier.

Conclusion

Cash flow forecasting is an important step for all businesses, no matter how big or small. By understanding your finances and having a clear plan of action, you can make informed decisions about the future of your company. I hope this article will help to demystify cash flow forecasting and show you that it’s not as difficult as you might think.
If you’re ready to take control of your business finances, sign up for our retainer contract today – we offer a monthly reasonable fee so you can stay on top of your finances.

And if you have any questions, don’t hesitate to get in touch – we’re always happy to help.

Compiled by Ms. Dikeledi Seoloane on behalf of Matsobanemetja Business Consulting (Pty) Ltd – Registered Accountant and Certified Tax Practitioner.

Matsobanemetja Business Consulting (Pty) Ltd is your accounting partner that you can entrust with the bookkeping function, right up to financial reporting. We helps you keep accurate records of your business finances.

We have well trained and qualified staff that manages the aspect of both business and individual taxes.

We are the fast growing accounting service-providing agency in South Africa and across the globe.

If you need a consultation with us with regards to your business, any type of business – please reach out to us by email hello@matsobanemetja.blog

Matsobanemetja Business Consulting (Pty) Ltd offers a wide range of bookkeeping and accounting services, tailored to your business needs at an affordable price.

You may please inquire with us by sending an email to enquiries@matsobanemetja.co.za

Cash flow is the heartbeat of the business.

– Dikeledi Seoloane