By Tracc on Small Business – Advice and Ideas for UK Small Businesses and SMEs
It’s a rare small business that doesn’t go through some periods of financial adversity, whether it’s right at the start or as it begins to scale up. Andrew Walsh believes that entrepreneurs will be much better placed to deal with those difficult periods if they take the time to learn at least the basics of accounting.
In this case a little learning shouldn’t be a dangerous thing, because it will mean you’re exposed to far fewer of those nasty moments when your banker jabs a finger at your balance sheet and asks, “how are you going to fund this?”
You’ll still need to hire an accountant and a credit controller of course, unless you want to spend a lot of your precious time with your company’s books, but when you need to go to the bankers for a loan it’s a big help if you can speak their language.
It’s great if you can start up without any debt, but it’s important not to be underfunded. If you don’t have enough cash in a young business, you risk stunting its growth. If you do decide you need finance, check