Organizing your finances to reach the pinnacle of success

admin March 24, 2021

Every business is set up with dreams of turning big. But success is not an overnight phenomenon.

A man who does not plan long ahead will find trouble at his door” – a Confucius quote.

As a meticulous business growth plan is developed, an in-depth plan organizing the business’s finances must also be put in place. As you are juggling about every other department, finance also requires your attention.

Let’s dive into knowing a few tips to organize your finances.

  • Set your financial objectives – Defining your financial objectives will give you a goal to achieve, a goalpost to reach. Keep in mind, the objectives must be achievable and quantified. They should have a specific timeframe to reach. Also, reviewing these objectives from time to time will keep you abreast with the changing times and requirements of your business.
  •  Do you need an Insurance solution? – to keep your business from running into unexpected roadblocks, do you need an insurance solution? This can be discussed with an insurance agent who can guide you with what type of coverage your business may require. There might be natural disasters you need protection from, or a bad loan or any unforeseen accident. All this can be covered by an insurance plan.
  • Income versus Expenditure – keep a tab on your cash inflow, outflow, and the balance regularly. Being mindful of not only the expenditures and income, but also which customer owes you how much is essential. The projected sales growth and profit margins can help you determine what type of risks your business can take on. 
  • Tax advises – a good financial advisor can recommend on all the aspects of tax saving. With suitable investments, tax liability for your business can be reduced. Having an advisor on your side, you now know how to escape high taxes and still be on the right side of the law. 

Being mindful of the type of assistance your business requires to be on the roadmap of success is the first step towards organizing your finances. Get in touch with a good financial advisor to help you navigate through your financial planning.

Start-up Costs in India

admin March 11, 2021

India is home to numerous start-ups with research showing that 2-3 start-ups spring up each day in our country. We have around 38 start-ups each with a valuation of 1 billion USD calling them the unicorn club!

From a nascent start-up to a unicorn club member everyone has to go through the same procedures and steps to set up a business. Then let us dive straight into briefly understanding the costs involved to consider setting up a start-up.

Research Costs

For a business proof of concept (POC) to be developed, a thorough research regarding the business idea, consumer behaviour, market requirements and industry demands is essential. Bear in mind that the POC can be finalized only after all the research results are considered carefully. This can be daunting, so hiring a market research company could be beneficial.

Licensing Fees and Setup Costs

A start-up requires registration according to the law and procuring a trade license. This involves various steps and other procedures. Right from helping to choose the type of company – sole proprietorship, limited liability partnership, one-person company or private limited company; to GST registration and PF & ESI registration there are a number of procedures and steps to be followed.

There are companies now that offer CFO services to start-ups. A part of your financial undertakings can be handled by a CFO services company, like having the benefit of a shared CFO. These will reduce the costs of hiring top executives like a CFO and an entire finance department. All these can be easily done with the help of professionals at Pratique CFO services who are experienced and qualified to carry out all this.

Equipment and Supplies Costs

Every business requires minimum equipment in the form of computers, fax machines, or other heavy machines / assembly lines. An office space or a factory to start the business in. Before purchasing all these and adding it as an expense, consider leasing or renting them too. This will minimize the start-up costs and liability.

Advertising and Promotion

 The new age marketing does not stop at placing a single advertisement. It requires an elaborate plan to create awareness and subsequent curiosity about the business or its products. A plan that can eventually convert the curiosity into purchasing. All these can be planned extensively with the help of a marketing company.

These are some of the basic costs that can cover the setting up of a start-up. For complete handholding and incorporation of your business contact Pratique CFO services.