Starting and maintaining a business is always demanding. When you get tired, it is okay to take a break once in a while. However, as an entrepreneur, you should know of what tasks can be pushed aside and which should be addressed promptly.
Working in an e-commerce business does not make everything easier. It is equally challenging and sometimes even more difficult. Business owners need to manage their products and services, and also include the product shipping in the equation.
If there is one thing all entrepreneurs can do to make their work easier, it is to list down the priorities and act on important matters at the right time. If you are in the e-commerce industry, here are some business tasks you should not postpone:
Find better suppliers to work with
If your business involves other suppliers, it is always the best time to look for a better deal. Time is essential when it comes to investment. Whether it is a new supplier, or you are re-negotiating with your current supplier, the new pricing you get can make a big difference to your annual expense. It is also a simple and definite method of increasing your cash flow.
Pay your tax on time
Not filing and paying your taxes on time can lead to some serious consequences. Penalties differ depending on your case, and not paying them can bring harm to your business. Here are some tips to help you manage this tedious task:
Create a separate fund for personal and business. It will help you manage your finances better.
Using accounting software can help you anticipate your EOFY or End of Financial Year (aka End of Fiscal Year).
Prepare all your receipts and accounting data ahead of time. It is best to set your internal deadline in advance.
Ask your business advisor to review your financial records before filing.
Consult with your bookkeeper or e-commerce accountant if any concerns arise.
Review your business performance
It is not enough that you only focus on your cash flow and business profitability. As an entrepreneur, you should always conduct a business review at least once a year. This assessment can help you understand your business situation better. The information you get can also help create your next steps.
Here is a guide you can use during your performance evaluation:
Last year’s number projection vs the current number
Business areas to improve on
Your new number projection for the upcoming year
Opportunities to save more
Use the results you will gather as a reference when creating or adjusting your business plans.
It is also a good time to assess your current process, including the accounting software and automation you use. Are there anything else you can automate to streamline your work process. Are you using the best software for your business? Would you need software that has more features? How else can you improve your process for your customers?
These are the important tasks that are often overlooked once the business starts picking up. It is always ideal to have a break and focus on the things that are beneficial to the business’s growth. Continue to look for ways to improve your business and pay your dues on time. Allot a day once a year to reflect on your strategy and performance, and see how that can help your business moving forward.
If you need an accountant for your online business, we’re one call or email away. We are your online accountants that can help you from understanding your financial figures to goal setting and monitoring. We also offer accounting software solutions for your business. Browse through our e-commerce accounting services to know more about what we can offer.