Your SlideShare is downloading. ×

This Week in Startups - Top 5 financial mistakes

290

Published on

Top 5 financial mistakes to avoid for startups and small businesses

Top 5 financial mistakes to avoid for startups and small businesses

Published in: Business, Economy & Finance
1 Comment
0 Likes
Statistics
Notes
  • Be the first to like this

No Downloads
Views
Total Views
290
On Slideshare
0
From Embeds
0
Number of Embeds
0
Actions
Shares
0
Downloads
7
Comments
1
Likes
0
Embeds 0
No embeds

Report content
Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel
No notes for slide

Transcript

  • 1. Beautiful accounting software Top 5 Finance Mistakes Sunday, August 18, 13
  • 2. President, Xero USA Hi! I’m Jamie Sutherland. Sunday, August 18, 13
  • 3. • Global leader in online accounting • 160,000+ paying businesses • 6000+ Xero accounting partners • 400+ staff (US HQ in San Francisco) • A new release every 3 weeks • Unlimited users with different roles • Bank feeds from 5000+ institutions 2007 2008 2009 2010 2011 Introducing Xero 2012 Sunday, August 18, 13
  • 4. The Facts Sunday, August 18, 13
  • 5. Marketplace Facts • ~500,000 small businesses open their doors each year • ~65% of new jobs are created by small businesses • ~2,000 startups get venture capital funding in the US each year • ~50,000 startups get funded by angels each year Good Sunday, August 18, 13
  • 6. Marketplace Facts • ~500,000 small businesses open their doors each year • ~65% of new jobs are created by small businesses • ~2,000 startups get venture capital funding in the US each year • ~50,000 startups get funded by angels each year • 67% of small business don’t last longer than 5 years • Over 90% of tech startups fail Good Bad Sunday, August 18, 13
  • 7. Sunday, August 18, 13
  • 8. Why? Sunday, August 18, 13
  • 9. Financials Matter Compliance Business Success Sunday, August 18, 13
  • 10. Financials Matter Compliance Business Success Insight & decision making Sunday, August 18, 13
  • 11. Financials Matter Compliance Business Success Insight & decision making Cashflow Sunday, August 18, 13
  • 12. Financials Matter Compliance Business Success Insight & decision making Cashflow Manages sales & customers Sunday, August 18, 13
  • 13. Financials Matter Compliance Business Success Insight & decision making Cashflow Manages sales & customers Monitor expenses & vendors Sunday, August 18, 13
  • 14. Financials Matter Compliance Business Success Insight & decision making Cashflow Manages sales & customers Monitor expenses & vendors Funding sources Sunday, August 18, 13
  • 15. Finance Quiz Sunday, August 18, 13
  • 16. What is the biggest expense for most businesses?1. Sunday, August 18, 13
  • 17. What is the biggest expense for most businesses? Answer 1. Staff Sunday, August 18, 13
  • 18. At the end of the month you subtract your income from your expenses. Does that equal cash flow? 2. Sunday, August 18, 13
  • 19. At the end of the month you subtract your income from your expenses. Does that equal cash flow? 2. Answer No Sunday, August 18, 13
  • 20. “What is the strangest item your client has tried to deduct from income”? 3. Sunday, August 18, 13
  • 21. “What is the strangest item your client has tried to deduct from income”? a) A family vacation disguised as a business trip 3. Sunday, August 18, 13
  • 22. “What is the strangest item your client has tried to deduct from income”? a) A family vacation disguised as a business trip b) Traffic tickets 3. Sunday, August 18, 13
  • 23. “What is the strangest item your client has tried to deduct from income”? a) A family vacation disguised as a business trip b) Traffic tickets c) Escorts 3. Sunday, August 18, 13
  • 24. “What is the strangest item your client has tried to deduct from income”? a) A family vacation disguised as a business trip b) Traffic tickets c) Escorts d) Gambling losses 3. Sunday, August 18, 13
  • 25. “What is the strangest item your client has tried to deduct from income”? a) A family vacation disguised as a business trip b) Traffic tickets c) Escorts d) Gambling losses e) Clothes for their dog 3. Sunday, August 18, 13
  • 26. Top 5 Finance Mistakes Sunday, August 18, 13
  • 27. 1. Cash flow projection mistakes Sunday, August 18, 13
  • 28. Understanding Cash Flow Your Business VendorsCustomers ExpensesSales Money OutMoney In $ $ Sunday, August 18, 13
  • 29. Ask yourself: What money do we need to get through next week/month? Sunday, August 18, 13
  • 30. 2. Suck at collecting payment Sunday, August 18, 13
  • 31. Get Paid Faster Sunday, August 18, 13
  • 32. Get Paid Faster • Invoice promptly • Set shorter payment terms • Email invoices with link to pay • Accept credit cards • Get an upfront deposit/retainer Sunday, August 18, 13
  • 33. 3. Waiting too long to track spending Sunday, August 18, 13
  • 34. Sunday, August 18, 13
  • 35. Sunday, August 18, 13
  • 36. 4. Not keeping financials up to date Sunday, August 18, 13
  • 37. Sunday, August 18, 13
  • 38. 5. Aren’t using an accountant Sunday, August 18, 13
  • 39. 225% Sunday, August 18, 13
  • 40. • Get taxes done • Keep me out of jail • Proactive advice • Monthly reporting • Improve cashflow • Someone who knows your game-plan New age accountants have emerged... Old school accountant New school accountant Sunday, August 18, 13
  • 41. Sunday, August 18, 13
  • 42. Sunday, August 18, 13
  • 43. $300/month Sunday, August 18, 13
  • 44. Questions? Sunday, August 18, 13
  • 45. Xero Beautiful accounting software Sunday, August 18, 13

×