Financing business

In a sales control account, the total of outstanding invoices at the beginning of the period and invoices raised during the period, less payments received for invoiced income, will give a balancing figure of invoices still outstanding at the end of the period - your debtors.

When you enter records of money paid into and out of your bank account into the cash book, there is a delay of at least a couple of days until these transactions are cleared through the banking system and appear on your bank statement.

We recommend you tell your bank manager what is required, and ensure that you present him or her with a proper proposal for consideration. Banks are in business and make a considerable profit from lending money.

If you were asked to list the most important assets of your business, what are the first things you would think of? Your staff? Your premises? Or perhaps your stock? One asset you should never overlook, or underestimate, is your goodwill.

Most businesses come into being because an entrepreneur has identified a niche in the marketplace - and in the early months or years there may be relatively little pressure from competitors. But your very presence in the marketplace invites competition, and before long you find yourself in a tightening market with competitors, large and small, snapping at your heels. How do you stay ahead of them?