What’s new this march

GST Home!

  • GST deadline is almost here and numberz is chasing it all the way! We are sweating and slaving to make sure that you are able to transition to GST smoothly so that you continue to enjoy the awesome numberz experience.
  • We have made it more real for you – you can get a sneak peek of shape of things to come. Just head to ‘Tax Filing’ tab on the panel. You would get a glimpse of GSTR1 and other filings.  You can also follow the space to keep yourself updated with knowledge, processes and our offerings.

 

iOS App Release

  • The numberz web application that you love has a soulmate! The swanky new numberz iOS app is up and running on the apple store – in an all new avatar! Carry your business with you. Use the app to create and send invoices on the move. Spend and record your expenses instantly. All your business numbers with you always! Download the app now from here

 

Re-imagined Cash flow graph on the home / dashboard page

  • Based on your feedback, we have re-imagined the cash flow graph to be more straight forward in understanding where your cash flow is trending relative to the invoices raised and expenses incurred. Take a look and let us know what you think! Along the way, we have also fixed some issues with our Invoice, Expense widget.

 

Revamped Weekly Dashboard

  • Your favourite Monday morning report has got a makeover! Now get your entire business snapshot straight in your inbox and get a leg up on your financial planning – as you begin your work week.

 

Other nifty improvements!

  • You can now create invoices with or without tax options. Choose the applicable tax option and decide if you want to include or exclude it from the final published invoice.
  • No need to keep clicking on pages while looking for bank data or bills. You can scroll down infinitely and see all of your data in one single page.
  • The date you signed up on numberz is landmark date for your business! You can see the date in the settings tab!
GST Registration

How Will GST Impact the e-com Industry in India?

The e-com industry is booming ever since it ventured into the Indian business industry. Unfortunately, it has to deal with a very complicated taxation system. There are all kinds of indirect taxes levied by both the State and the Central government. The digital payment systems such as e-wallet and credit card/net-banking, etc. also add more woes for the dealers/operators. However, this will change soon.

From 1st July(tentative), the government is going to replace the current taxation regime with a new GST regime. This is expected to bring a number of significant changes that will not only make tax calculations easier but also bring transparency in the entire system.

If you are a merchant who is selling goods/services online, then you are required by the GST law to get your registered irrespective of your turnover. But there’s more.

In this post, we will learn about how the GST will impact the e-commerce industry specifically.

Elimination of Tax Arbitrage Advantage

In the current taxation system, the rates of several taxes such as VAT vary from one state to another. For instance, the rate of VAT on mobile phones in Goa is 12.5%, but in Kerala, it is a modest 5%. So, the merchants based in Kerala can offer low prices to their customers on the e-commerce portals and have an arbitrage advantage over others.

With the implementation of GST, however, all the states will have to levy the same tax all across India. Thus, no merchant will be able to get an unfair advantage on the pricing over others.

Faster Delivery of Shipments

The supply chain of the e-com industry is today crippled by a variety of regulations and compliances that not only make transportation of goods complicated but also lead to huge delays. However, with GST the process is expected to become a lot smoother. E-com operators will be able to deliver the goods to their customers faster, mainly because of the elimination of tax collection at the check posts which cause long queues today.

Easier Identification of non-Complaint Merchants

Once GST is implemented, it will become almost impossible for the merchants to misrepresent their sales. This is because they will need to report their sales online through a common portal. They will need to file the report on a monthly basis along with the GSTIN of their aggregator (owner and manager of the online portal such as Flipkart, Snapdeal, etc.). Even the aggregators will have to disclose their sales and returns along with the details of their merchants.

Another major change that GST will bring is the implementation of public compliance rating. Through these ratings, the aggregators will able to easily identify the merchants who are irresponsible with their tax filings and detach them from their platform for a better customer experience.

Tax Collection at Source (TCS)

According to GST every e-commerce aggregator has to collect a 2% tax called the TCS on the total value of the taxable goods supplied on their platform.  Consider the example below to get a better idea how this works:

Let’s say E-biz is an online shopping portal, and MobileZone is a seller on this portal. So, if MobileZone sold goods of the total value of Rs. 100,000 in a day, then E-biz will collect Rs. 2,000 from it in the form of TCS. The same follows for all the other sellers on the platform.

GST is to bring many major changes in the Indian business realm, and e-commerce is no different. While the existing online sellers may find it troublesome to adapt according to the new regime, they are likely to benefit in the long run.

how to manage cash flow with a small business loans

How to Manage Cash Flow With a Small Business Loan

Cash flow is the lifeblood of every business, whether it’s big or small. However, when small businesses or startups have to take business loans, it changes everything. Not only the business has to maintain enough cash flow so that they can pay for inventory, staff, and other expenses but also the loan installments as well. Money management also becomes a challenge as there are several factors to keep an eye on.

If you are having difficulty in managing your business cash flow along with a small business loan, then here are a few tips that can help you:

Planning Ahead

Don’t leave any room for surprises. Nothing is more daunting than desperately searching for cash when you have to pay your employees or the loan EMI that’s pending. It always helps to keep a record of your previous cash flow statements and expense reports when you have to anticipate future expenses. This will help you maintain a healthy cash flow as you can easily check where your money is going and what’s to come in future.

Shrinking Cash Outflows

Running a business along with a loan can make it difficult to stay cash flow positive. While you can’t usually reduce your loan EMIs easily you can still reduce your cash outflows to some extent by:

  • Buying used equipment: Why invest in 100 new computer systems when you can get used ones for less than half the price? If you are lucky you can get them in excellent condition at a local auction or at a classified ad posting website.
  • Cutting Down on Luxuries: Hosting weekly office parties can be good for boosting the morale of your employees, but when you have to save money such kind of luxuries can be avoided, at least until the loan is fully repaid.
  • Finding a Better Provider: Many businesses depend on vendors who supply hardware or software services to them. Maybe you can replace your existing vendor with someone else who is providing equally good services at better prices.

Securing a Line of Credit

With the rise of new FinTech companies, even small businesses are now able to enjoy a variety of financing services. One of these is Line of Credit or LOC.

An LOC is akin to traditional loans, but you only need to pay interest on the amount withdrawn. For instance, say you secured an LOC of Rs. 3 lakhs from a financial institution, then this is the amount of credit available to you. You don’t have to pay a penny until you actually withdraw the money. So, if somewhere along the way your business runs into some problems with the cash flow then you can withdraw a portion (or even full amount) of the credit amount, say Rs. 1 lakh. With this, you only need to pay the interest and the fees (if applicable) on the withdrawn amount only, which in this case is Rs. 1 lakh.

LOC is a really convenient and affordable option if you want leverage when you have a business loan but need to maintain cash flow at the same time.

Becoming Stringent With Payments

Do you let your customers delay payments without any repercussions? This could be extremely bad for your business. You can’t organize your expenses and keep the cashflow under control unless you get your payments on time. You can thus create a strategic process for dealing with delinquent payers that could involve:

  • Sending an initial email 10 days following receipt asking for payment.
  • Calling up the customer directly after 20 days for the payment.
  • Sending away a clerk to the customer’s address in person for payment collection.

Being nice is one thing, but in business you should not let your emotions affect your decisions. You can’t run your business successfully if won’t put your feet down when needed.

 Embracing Technology

Since small businesses often have to struggle to create an identity and obtain market share, it doesn’t help that they have to track their expenses as well which alone by no means is a walk in the park. Thus, it helps to have a specialized software that can do all the formatting, updating, and calculation of all these expenses for you. If anything, this makes one less thing to worry about, and you can use the time saved in building your business.

Cash flow Management at a Whole New Level

A comprehensive business software can greatly improve your existing cash flow by limiting the margin of errors in calculations and expediting invoicing and payments altogether. Here is how you can make the most of it:

Organizing Your Billing Schedule

You should keep a track of pending payments and send the invoices on time every time. This ensures that your cash flow doesn’t dry up and your business stays operational. You can also take care of your loan payments without worrying about debt accumulation when you know that everything is on schedule. Managing the same without an automated system can be quite difficult, and thus not even advised by most professionals.

Keeping the Pricing in Check

Are you charging adequately for your services and products? Many times businesses become so caught up with expansions and other business operations that they delay raising prices with inflation, etc. This can be detrimental to the cash flow. However, with a billing software you can easily check if you are imposing reasonable tax on the products, and price them adequately as well. You may need to charge certain clients more due to some extra services, their location, or requirements, etc. This can make creating custom invoices for them difficult. With an Invoicing software, you can easily customize a base template depending on your clients. You can add or delete certain fields from the invoice as per your requirements and send custom invoices in a matter of minutes.

Analyzing Weekly Cashflow Statement

Monitoring your cash flow is extremely important to ensure there is a healthy balance between the cash that’s incoming and outgoing. There are so many expenses to cover, loan payments to take care of, employees to be paid, and more. At the same time money can come from various sources- individuals, businesses, and more. The best way to review these transactions is to use a billing software that can provide all the details in an organized and simple manner. You can check these details on a weekly basis to ensure you are on track. Even if for some reason you notice that the cash flow is depleting you can pinpoint the weakness and take appropriate measures for restoration.

numberz is one of the few business management software in India that comes with a full range of tools and services that can take your company to the next level. In an industry where businesses are facing neck to neck competition, automated software can certainly give you an edge and improve the cash flow.

Everything You Need to Know About Filing GST Returns

The GST Council recently released the final draft of the laws governing CGST (Central GST) and IGST (Integrated GST), and efforts are in full swing as we get closer to the implementation date i.e. 1st July 2017.

According to the GST regime, every taxable person has to submit their Tax details online through the GST portal at https://www.gst.gov.in.

There are in total 4 types of forms that every normal taxpayer will have to fill and submit in the new GST regime. These are:

Return Form What to file? By Whom? By When?
GSTR-1 Details of the outward supplies that are taxable under GST Registered taxable supplier 10th of every month
GSTR-2 Details of the inward supplies that are taxable under GST Registered taxable recipient 15th of every month
GSTR-3 Monthly GST returns that are based on the details of outward supplies and inward supplies Registered taxable person 20th of every month
GSTR-9 Annual Return Registered taxable person 31st December of the next financial year

GST filing

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Details to be added in the returns:

GSTR-1

  • Your business name, GSTIN, and the period for which the return is filed.
  • Details of the invoices issued in the previous month along with the taxes paid on them.
  • Details of the advances paid for a supply to be delivered in the future.

GSTR-2

GSTR-2 will be prefilled based on the details provided by you through GSTR-1. You will need to just go through it, and make changes if required.

For instance, if you have bought raw material from a certain company A. Then company A will file a GSTR-1 form and put your name as the buyer in it.  As you will check your GSTR-2 form, you will find these details already filled. You will just need to verify the auto-populated details of the purchases made by you.

GSTR-3

GSTR-3 is just GSTR-1, and GSTR-2 put together. Just like GSTR-2 the GSTR-3 form is also auto-populated from the information received. You just have to approve the details provided in it, which are:

  • Details of the cash ledger, liability ledger, and ITC ledger.
  • Tax payment details of different taxes- SCGT, CGST, and IGST.
  • The option of claiming a refund for excess payment.

GSTR-9

GSTR-9 sums up the transactions and tax payments made in a financial year. So, you need to fill all the details of all the monthly returns along with the collective tax payment details.

Composition Businesses

The government has issued a Composition Scheme to make GST compliance easier for small businesses. If your annual turnover does not exceed Rs. 50 lakhs then you can opt for GST payment under the composition scheme. By doing so, you have to file returns in the following manner:

Return Form Frequency Due Date Details to be included
GSTR-4A Quarterly NA This form will be prefilled/auto-populated with the details provided by your supplier via form GSTR-1
GSTR-4 Quarterly 18th of the next month Details of all the outward supplies of goods and services along the prefilled details of the form GTSR-4A. If there are any changes required in the Form GSTR-4A then you can also add those in the Form GSTR-4.
GSTR-9A Yearly 31st December of the next financial year Combined details of all the quarterly returns along with the tax payment details.

 

How to file GST Returns?

Since GST returns can only be filed online in a digital form, you need to login in the GST portal with your credentials. Otherwise, you can also prepare the returns yourself and submit the same through a facilitation center or a tax return preparer (TRP).

Every business will be assigned a unique identification number called the GSTIN number. You will be filing your returns against the very same number.

GST has also proposed to impose an automated late fine for those who don’t file the returns on time. This is to discourage non-filers. For each day of delay, you will have to pay a fine of Rs. 100 (tentative), with a maximum limit of Rs. 5,000. In the case of annual return again the fine is Rs. 100 per day, but the maximum limit is 0.25% of the aggregate turnover. Thus, be sure to file the returns on a timely basis.

6 reasons why you shouldn't use excel to manage finances

6 Reasons Why You Shouldn’t Use Excel to Manage Finances.

  1.  If only Excel was designed to create professional invoices or email them.Create Professional Invoice

  2. If only Excel could analyze your money for youReal Time Tracking Of Your Invoices

  3. If only Excel could talk to your bank.Auto Reconcile your bank account

  4. If only Excel could get you a loan.Wokring Capital Loans For Small Businesses

  5. If only Excel could help you get paid faster.get paid faster

  6. If only Excel could be mobile like you.invoice mobile app

 

Submit your contact details & we will tell you how numberz helps you manage business finances.

 


GST uplifts india

What is GST Input Tax Credit? How Does it Work?

The Goods and Services Tax is a game-changing reform for the Indian economy as it will bring the net applicable tax on goods and services down to a great extent, and make the very act of doing business simpler and easier. However, one of the biggest features that GST will bring to the table is the elimination of cascading effect of taxes through Input Tax Credit. But what is it anyway?

Simply put, Input Tax Credit allows you to reduce the total tax you pay on the goods/services you are selling. For instance, in the traditional system when you buy raw materials as inputs to produce and sell a certain product you pay tax on them. Similarly, when you finally sell the finished product you again have to pay a tax on it. Input tax credit allows you to eliminate this repeated tax. So, using the Input Tax Credit, you can deduct the tax you have paid on the inputs from the total amount or the final amount at the point of outputs.

Let’s consider an example to understand how ITC makes a difference in our current taxation system.

Selling a Product in the Current System

Let’s say a dealer A from Mumbai sells a product worth Rs. 1,000 to another dealer B in Nagpur. After levying VAT @ 10% the cost of the product becomes

Rs. 1000 + 10% of Rs. 1000 = Rs. 1000 + Rs. 100= Rs. 1100

Now, dealer B keeps the profit margin at Rs. 1000. So, the selling price of the product becomes:

Rs. 1,100 + Rs. 1,000 = Rs. 2,100.

Before selling he also has to levy a CST (Central Sales Tax) @10%. Thus, the actual selling price, i.e. the price the dealer C in Chennai will have to pay becomes:

Rs. 2,100 + 10% of Rs. 2,100 = Rs. 2,100 + Rs. 210 + Rs. 2,310.

GST Registration india

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Selling a Product in the new GST System

Taking the same example, the product is sold by the dealer A to dealer B at Rs. 1,000. However, in the GST regime, there are just two indirect taxes instead of VAT, which are CGST (Central GST and State GST). Let’s say they are both levied @ 5% each.

Thus, the price becomes:

Rs. 1,000. + 5% of Rs. 1,000 (CGST) + 5% of Rs. 1,000 (SGST)= Rs. 1,000 + Rs. 50 + Rs. 50= Rs. 1,100

Now, dealer B sells the product to the dealer C in Chennai after adding his profit margin i.e. Rs. 1,000. Thus, the selling price is:

Rs. 1,100 + Rs. 1,000 = Rs. 2,100.

Since it is an inter-state supply of goods and services; the center will collect another tax called Integrated GST (IGST).

If IGST is levied @ 10% then the tax amount is:

10% of Rs. 2,100= Rs. 210

However, the credit of both CGST and SGST can be taken against IGST.

Thus, the net applicable tax will be:

IGST- CGST-SGST= Rs. 210 – Rs. 50 – Rs. 50= Rs. 110

and the final price of the product is:

Rs. 2,100 + Rs. 110 = Rs. 2,210

Thus, this is how GST eliminates repeat taxes and makes the final cost of a product more reasonable.

Now, ITC has its advantages, but not everyone can avail them. You must satisfy the following conditions in order to use GST Input Tax Credit:

  • You must be registered under the GST Common Portal.
  • You can only claim ITC on those goods and services that have been used for commercial purposes.
  • You can only claim ITC for zero rated (exports) or other taxable supplies.
  • If you have sold or transferred your business then the unused ITC have to be transferred to the new business.
  • You must possess a valid tax invoice or relevant customs importation documents (in the case of imports).
  • The tax invoices must be issued under the name of the registered person.

Practical/Relatable Examples on How to Claim ITC under GST

Broadly speaking, there can be three different situations in which you can claim ITC:

  1. When you are liable (or have already applied) for GST registration

If you have been registered for GST then you are allowed to claim ITC. However, you must to do it within 30 days from the date you become liable for GST registration to avail the benefit. For a better understanding take a look at the example below.

Let’s say that you are a manufacturer of blankets and have crossed the threshold limit for GST registration on 5th November 2017. You have raw wool in stock worth Rs. 2 lakhs and have paid a GST @ 18% i.e. Rs. 36,000 on it. So, you must apply for GST registration before 5th December 2017 (within 30 days) if you want to claim the ITC i.e. Rs. 36,000.

  1. When you decide to register for GST on your own accord

Even if you have not crossed the threshold limit for GST registration and thus not liable, you can still apply for it voluntarily. By doing so, you automatically become eligible for claiming ITC.  However, in this case you can only claim ITC on inputs on the goods held in stock on the day before the registration has been granted. Let’s consider an actual example now.

GST Registration india

Image Source

Let’s say you run a shoe store and even though you are not liable for GST registration you apply for it voluntarily on 26th September 2017. Thus, you are eligible for ITC on inputs held in stock as on 25th September 2017.

Circumstances in which you are ineligible for ICT

There are certain circumstances that make you ineligible for claiming ICT. These are:

  1. When purchased goods and/or services are used for personal consumption

Say you bought electronics worth Rs. 1 lakh from the manufacturer and paid a GST of Rs. 18,000 (18%). However, you picked a TV worth Rs. 10,000 out of the complete order for yourself. Thus, you can’t claim for the GST paid on the full amount but only on:

Rs. 1,00,000- 10,000 = i.e. Rs. 90,000

Since GST on Rs, 90,000 is = 18% of Rs. 90,000= Rs. 16,200. Thus, you can only claim an ITC of Rs. 16,200 instead of Rs. 18,000.

  1. When goods are stolen, damaged, lost, or disposed of as free samples or gifts

Taking the previous example, if you have bought electronics worth Rs. 1 lakh from the manufacturer and paid a GST of Rs. 18,000 (18%), and if one TV worth Rs. 10,000 gets damaged to the point that it is useless then again you can only claim an ITC of Rs. 16,200.

  1. When payment has not been made within 3 months from the date of invoice of a certain service received by you

For example- say you have received marketing service from a certain company and they have charged you:

Rs. 30,000 (cost of service) + Rs. 5,400 (GST at 18%) = Rs. 35,400

If it has been over 3 months and you haven’t cleared the invoice then the ITC i.e. Rs. 5,400 will be added to your liability and cannot be claimed.

There are many other situations in which you cannot claim ITC. For instance, you cannot claim ITC on motor vehicles and other conveyance, cosmetic surgery, outdoor catering, food, and beverages, etc.

Any more questions regarding GST? Ask in comments below.

Celebrating the Silver Jubilee Release! The Coolest One of the Year!

It has been a wonderful journey – and we didn’t realise that we have had 25 glorious sprints – of providing you with some pathbreaking solutions! Each one crafted with great care, innovations and your valuable feedback – continuing to push ourselves to deliver the very best!

We are excited – and grateful too! We do hope that our efforts added significant value to your business – and we promise to continue to work towards making numberz your best business buddy ever! 

So what’s new with the 25th one? Well – pretty significant stuff we must say! Something special! Here goes :

  1. Home Dashboard : All of your business financials at one place! This is where you start! The new dashboard helps you in getting a quick view of how your numbers fare, across the key cashflow areas that really matter! Get an overview, before you delve deeper – and take quick decisions. The dashboard also comes with many quick action links and many other interesting callouts. So head to your new ‘home’!

     2. Still Smarter Invoicing : The place that helps you get business, just got even smarter!

  • Automatic Mails! When you set up recurring invoices, you can set them up to be sent automatically too!  So you don’t have to worry about any delays at all! 
  • Receipts, at your service! The moment you get paid by your clients, send the receipts too – straight from numberz. The expense entries, of course, get updated too!
  • Reconciliation on Steroids! You raise many invoices and receive a single payment – and this happens many times. You don’t have to spend time in figuring out which invoices got paid. numberz all powerful reconciliation engine can do it for you in a jiffy! It surely pays to add your bank account!
  • Lists made easy! Customer and Item lists became more handy. Arranged in alphabetical order – just as you told us to do! 

     3. More Power to the People : Collaborating on numberz is not just easy, but secure too.  Here’s the new stuff on the multi-user front :

  • Role based access :  You decide who does what with his/her numberz login! Assign different view or edit rights.  
  • Switch companies with ease:  No we are not talking jumping ship! Users who manage multiple companies – as owners or service providers – can switch companies while continuing to be logged in. No more hassles! 

     4. Cool Notifications: Some new and important notifications got added to the list! Hope you are making it a habit to check the notifications tab on numberz! Do check it out. Here’s what just got added :

  • Expense due reminders – so that you never miss a deadline! 
  • Remember the recurring invoice you created. You will be notified every time it’s created and ready to be sent out.

Those are some really cool ones we have added right at the beginning of the year! And we promise that with your trust, we will continue to pour in that sweat and toil (and a lot of coffee) into that numberz engine that keeps churning good stuff!

 

 

Everything you’ve ever wanted to know about working capital

When you start your own business, and don’t come from a finance or accounting background, there are certain terms that you must learn and working capital is one of them.

What is it exactly? Let’s take a look…

Working Capital can be understood as the measurement of the operating liquidity of a company.

Why is important?

This is important as it allows startups to:

  • Borrow
  • Increase their share value
  • Meet short-term debts
  • Pay expenses

Working Capital is essential acts as the lifeline of the company when there are limited options for startups to finance themselves and move past their breakeven point. It is a measuring tool that gives insights into a company’s financial structure.

The five sources that startups use to procure working capital are:

1. Utilising venture capital: With Venture Capital funds, you are assured a sizeable investment and the best mentorship in the business. This enable you to plan how you can scale your business. Venture Capital is best suited for small businesses that are looking at expansive growth. Though VCs look to help your company grow, they also look to capitalise on their investments.

2. Raising equity: A good way for your business to become profitable is through issuance of equity and short-term working capital funds. When your personal finances diminish, equity shares will create the required capital necessary to help your business grow. You need to determine the rate of dividend per share based on the profits earned. This allows a business to reduce their financial burden but you will need to give up some company ownership.

3. Discounting Bills of Exchange: When your goods are sold on credit, you can draw a bill of exchange for goods that are sold. These bills of exchange include the acceptance by the buyer to clear the bill on the date of maturity. Your firm can discount these bills of exchange with a commercial bank for a bank discount. This will help you raise finances when payments are due for a cost against the bill of exchange that you make with the bank.

4. Acquiring short-term notes: When you establish a good relationship your bank and they are willing to provide you with a short-term note based on inventory, orders and future receivables. This is undertaken by the bank against a guarantee that is issued by the borrower against a collateral for business needs only.

5. Building a line of credit: Most banks do on not offer a line of credit to new entrants but exceptions are made for businesses with a good equity and sound collaterals. A line of credit provides startups the funds needed for short-term needs. These funds are repaid when the accounts receivables have been collected.

 The benefits of having a sound working capital strategy is that banks provide funding based on assets that will be purchased and expenses that would be covered. Letters of credit are given as a guarantee for non-funded facilities that are made on credit and available in the local and foreign currencies. By having a sound command over your working capital, you can control your operating expenses, purchasing inventory, receivables financing, either by direct funding or by issuing letter of credit and other similar instruments.

Start-up Costs your Business needs to take into Account

It’s great starting up on your own and finally getting your business plan off the ground! But before you know it, you could run out of steam. Your budget and financing will decide the course of your business so it important to analyse you initial expenses and avoid stumbling on the way.

Gauge Your Start-up Expense:

Before you draw a budget for your start-up costs, evaluate your business requirements. Once you know how your business needs to be set up and run, you can chalk out the two types of expenses – one-time and periodic. Base your expenses on a yearlong plan that takes into account changes that may occur in the market. Avoid optional expenses and concentrate on absolutely essential resources – employees, office space, and equipment – with quality output. This will help you also cover expenses quickly with a profit margin. Your start-up costs will help you get a clearer sense of your cash flows and you can adjust your payment cycles accordingly.

Now, let us take a look at four costs you need to be aware of as you set out to be the boss of your own business:

1. Setting Up:

Setting up your office is the next step in getting your start-up going. You will need to consider the following expenses while setting up your business physically:

  • Purchasing/renting/leasing an office space along with basic furnishing
  • Purchasing one-time office equipment
  • Buying softwares and digital tools for all your business works
  • Setting up communication needs like internet and phone lines

These are one-time costs that you will incur in the first year of your business, after which maintenance costs for communication, softwares and office space may arise. These are essential expenses that you cannot ignore so make sure that you are backed up well by your finances.

2. Resources and Vendors for your Business:

To get your business working, you will need resources – a team that will see you through in delivering every little aspect of your business. Always review who you hire and don’t make the mistake of expanding your team too quickly in the initial phases. A small team with good deliveries is more impactful than a larger workforce with average returns. Hire the essential ones but make sure you pick the best ones. For periodic business operations, you can even outsource your work or hire freelancers to do the job. Do not compromise on paying extra for quality staff as they hold the potential to give your business huge turnovers.

3. Estimated Cash flow and Recurring Expenses:

While starting a business, it is often hard to recognize how your business will progress. Operational costs, however, will keep running and you will need to take these into account as part of your initial costs. These will include utility bills, employee salaries, software registrations, and employee benefits. Besides, you will also need to consider a range of miscellaneous expenses that may arise, such as – travel costs, communication reimbursements, insurances, etc. While assessing your recurring expenses, estimate your cash flow and possible turnovers every month. This will help you determine how much amount to set aside from your start-up capital.

4. Promoting Your Business:

Once your business is set and existing, your consumers and clients will have to be made aware of your presence in the industry. Initial marketing costs will include:

  • Name and branding
  • Outdoor promotions like posters or hoardings
  • Digital promotions like social media ads, SEO, and sales campaigns

Your promotional content should include what makes your business different and what your prospective customers should take notice off. If you choose to outsource your advertisements, ensure that you message is clear and your product gains the right amount of visibility to leverage paying customers.

By determining these costs, you will be at a better position to review payments that should be made and spend on those that provide a significant change to the business. With these guidelines in place you will be in the best possible position to have a check on payments and smoothly get your business off the ground and running.

What’s new in numberz this December

 

Expenses Redesigned

 

Let numberz help you spend smartly with these new additions :

 

  • Managing Bills is quicker than ever. Enter quick bills without clicking anywhere else – fast and painless! You can also add quick bills in bulk mode too – in a jiffy. And the Automagic bank connect works well still!
  • The all critical Vendor bills (with more information) got a new look – same as that of invoices.
  • No more searching for bills on the next page. You can easily view all the bills in one page with infinite scrolling!
  • Recurring expenses need not bother you recurringly. Just set them up on numberz and they are created automatically!

 

Simplified Banking :

 

Banking on numberz becomes more rewarding – and secure!

 

  • Keeping your transactions secure – and yet convenient – will always be a priority for us. We  have now added support for multi factor authenticated banks (e.g. kotak mahindra). You can now connect to more diverse list of banks without having to worry about security. You can continue to easily reconcile your payments and expenses.
  • Infinite scrolling meets banking! You can see upto last 500 transactions without even going to the new page!

 

Power of invoicing

 

Invoicing gets a shot in the arm!

 

  • Now users can add miscellaneous charges such as transportation charges, installation charges etc.
  • To ensure that the invoicing continues to be accurate, users will also get a warning message for duplicate invoice numbers.
  • Payment terms got more flexible. Choose between additional payments terms of 7,15 and 45 in addition to the ones available.
  • And if you are recommending numberz to your fellow business folks, we made the first time experience on numberz super nifty! So go ahead – get some brownie points this new year!