Saturday, October 20, 2012

Communicate With Your Bookkeeping

Does the thought of doing the bookwork send you into a frenzy? Do you find anything to do other than get your finances in order? You may be missing some great communication with your books, which could ultimately guide you to success in your business and your personal life.
Now this may sound a bit bizarre communicating with your books, yet so many things are communicating a message to you. You see I recently took a bookkeeping course and then QuickBooks so that I could manage my finances easier. It also deals with repetition on forms and statements saving even more time.
I realized how bookkeeping is just another form of communication. Your books tell you, on so many levels how your business is doing.
They show:
* What trends are developing
* Where most of your money is coming from
* Who your best customers are
* Where you are spending the most amount of your money
* How much is outgoing (expenses) compared with incoming(sales and revenue)
* Who is getting behind on their payments
* How much interest you're paying
* Whether you can get that purchase you wanted
In fact, math seems to have little to do with it and with today's computerized programs. They have taken care of the additions and subtraction for you. You are doing more sorting and compiling than math.
Your books tell you how things have been proceeding or not and assists you at creating long-term plans. You are supplied with the information that allows you to make a more informed decision.
For many people putting aside the math part of numbers and seeing them in a new light helps them to overcome the fear of looking at and dealing with them. When you see them as your friend, it becomes a whole lot easier to work with.
First, let say you have a question. Am I doing well enough to buy a widget for the company? When you have your books in order, they are able to give you a clear picture of how you are doing which gives you the proper information to make a decision.
You can easily put the information into a bar or graph if you are a visual person. This also gives you the data needed right at your fingertips to take to a bank for a loan or line of credit.
Some people have said it is hard to remember what all goes on a financial statement.And lists just shut them down.
I find it easier to have a picture in my head and change things into metaphors or something that I can visualize.
For example:
A financial statement gives you a clear view of how you are doing.
And on the financial statement is your:
This helps me to visualize and therefore remember what needs to be included. So the better you can communicate the details to yourself, the better the numbers will communicate how you are doing to make an informed decision.
So, what are you waiting for, get on to your books, save your self some time, stress and anxiety, and see what they are telling you.
All the Best!
Maria Boomhower
Come to my website and sign-up for my Communication Mastery Ezine
P.S. If you like what you're reading in this ezine, you'll love the book, “Overcoming Barriers to Communication.”

Saturday, October 6, 2012

Group Purchasing Organization Can Save Your Business Money

GPO's (Group Purchasing Organizations) have been around for about ten years primarily in the healthcare industry. The basic concept of a GPO is that a group of businesses can come together and buy products cheaper than any single company can. This model may or may not be beneficial for the Coca-Cola's, Wal-Mart's, or Johnson & Johnson's of the world, but they are great for the small to medium size business because they allow the little guys to buy their products on the discount level of one of these huge corporations.
As industries are expanding and products are being developed, we are seeing GPO's spread into the education, printing, office supplies, and consumer products fields. Manufacturers are willing to cut their margins and deliver products at wholesale prices for the volume of customers the GPO's offer. In most scenarios GPO's can save businesses anywhere from 20% - 40% off their already competitive prices.
GPO's are exclusive to members meaning that your business would pay a membership fee to be a part of the wholesale buying group.
Two things to consider before becoming a member of a GPO.
1. Know what and how much you're buying throughout the year for your business ex. (brochures, catalogs, envelopes, forms, paper, ink cartridges, etc)
2. Consider the membership fees versus your current cost and the savings that the GPO would deliver. If you are buying 500 business cards or 1,000 envelopes a year then a GPO would probably cost you more money than you would save.
All in all a GPO is a good way for you to effectively cut cost without having to compromise quality or service.