Category: Business Blog

Online shopping is always evolving and expanding, and an increasing number of consumers are choosing to buy goods through their devices, and having them delivered. The growing success of online retail is making the running of a physical store more challenging for their owners. However, there are still plenty of customers who enjoy a trip to the shops to look and feel items and to purchase them in-store. Independent and artisan businesses are an appealing alternative to mass produced items found online, so there’s definitely still an opportunity for success on the high street. By ensuring that you’re proactive and implementing some of the following steps to the best of your store’s ability; you’ll have a queue of loyal patrons waiting to get in before you know it.

A Welcoming Exterior

If your shop-front looks unkempt and dirty, then it won’t be a very appealing option for shoppers to enter. Check that your paintwork is kept clean and fresh, and that any signage you have, on your building or on the street outside, is clear and clean. You want the outside of your shop to look as good as it does on the inside, as people will already get a sense of what to expect when they walk through your commercial doors. Pot plants, benches, and a roll-out covers are all excellent ways to adorn your store and welcome everyone inside.

It’s worth checking to see if the street your shop resides on is well maintained; see if the road and curb need any work, and ensure that road lights and signage are in good condition. A tatty pavement can make any row of shops look unappealing, and people will avoid walking or driving there in the first place. If you’re worried that the street outside is negatively affecting your footfall; speak to your neighbouring stores and organise contacting the right people to fix what’s needed.

An Appealing Interior

Ensuring everyone in your premises or store  are motivated and happy each day, will keep them smiling and moving around the space to complete tasks. If a potential customer looks through the window; they are more likely to be inclined to enter if there seems to be a cheery and bustling atmosphere. However, if the staff look unhappy, still, and bored; there will be a gloomy and awkward portrayal of your shop’s ambiance, which nobody will want to walk into. It’s worth getting your friends and family involved by offering them a discount is they come and visit your shop in their free time; ensure that they have a thorough look around at all your merchandise, and encourage people to touch and pick up items.

Constant movement within your shop will make it seem even more tempting to passers-by, and they’ll often pop in just to see what everyone else is looking at. If you have paperwork and admin to do; set up a suitable and neat space within your store to complete it in. Behind the cash register or a counter is an excellent place to sit and finish any tasks, so that you can offer your help as soon as somebody walks inside.

Whichever way you look at it, money will play a crucial role in the successful running of your business, but what should you do when you come across a financial problem? Well, knowing how to handle a financial issue ahead of time is the best way of minimising any damage that it may cause. To that end, read on for some advice on how to do just that.

There has been a mistake in staff wages.

Mistakes in staff wages are not good news. They can create problems with motivation and morale, and if they happen on a regular basis, they can also eat away at the trusting and positive relationship that you work so hard to create with your employees.

If at all possible, it is preferable to prevent this issue from happening in the first place. Something that you can do by using suitable payroll software and giving enough time to your accounts team to process and authorise payments in the correct way.

If you do find yourself in a situation where a mistake occurs, it’s better to inform your employees of this rather than letting them find out for themselves. Also, if possible it can help to make a small 0% loans available for those that are struggling to pay their bills until the neck cheque is issued.

Your tax code gets changed.

Tax codes can easily turn into a financial disaster.

Tax codes can cause a raft of financial issues in your business, and if you are not on the right one, you could be paying way too much or way too little tax. Something that can then be hard to reclaim, or you could end up paying back out of future profits!

One way to deal with tax code issue is to spend hours and hours trying to get through to and then on the phone with the HMRC to clarify that you have the correct one.

However, a more straightforward method of dealing with this may be to use an invoicing company that deals directly with the HMRC for you. Then they take on the responsibility of getting this part of things right, as well as even answering your more detailed questions such as what is ir35, and what can I do to avoid being stung by it? After all, haven’t you got enough on your plate already running a small without having to worry about things like tax codes as well?

You get landed with a lawsuit.

Often time when your business has been landed with a lawsuit that you have not been successful in rebuffing, you are left with a hefty bill as well as compensation to pay. Obviously, this is something that can quite easily eat into your profit margins and affect the success of your business in the long term.

Of course, running a tight ship is a good way to shrink the risk of this happening. Although, if it does occur then attempting to negotiate a deal with the court where you don’t have to pay the sum all in one go can be a useful way of making this financial burden less of a disaster.

The process of a business needing to close is far longer and more drawn out than many people think. It’s incredibly unlikely that you will wake up one day and realise, for the first time, that your business is on the brink of having to close. You will have warning; you will know that your business is struggling, and you’ll probably have made an effort to try and prevent the worst from occurring.

Sadly, it is an unavoidable fact of the business world that sometimes the worst does happen. No entrepreneur wants to think that they will be contributing to the business failure statistics, but someone has to be at the helm of the companies that fail. If you find yourself in that position, the fact you have had forewarning is, at least, helpful— as it gives you time to strategise your next steps.

If your business is on the brink of failure, then figuring out what you’re going to do next is essential. As this is undoubtedly a confusing and upsetting time for you, you’re unlikely to be at the top of your decision-making ability, so we’ve put together a step-by-step guide that can help you manage this difficult time.

Step One: Write down everything you have learned

There is no better time to write down everything you have learned from your experience of running a business. Do this now while it’s fresh in your memory. While you should, of course, note down the reasons you feel the business has failed and what you could have done differently, it’s also important to note the positives too. You will one day see the failure of this business as a learning process, so make sure you take the time to record everything you need to learn.

Step Two: Begin to consider your next options

Before you begin the process of wrapping up your business, take a moment to think about what you want to do next. Most importantly, you need to know whether you’re going to go back into employment or try and open another business.

This decision is crucial, as it will influence a number of steps as you close down your business. It’s important to note that there’s no “right” or “wrong” answer here; you just have to do what works best for you.

Step Three: Find out where you stand in terms of taxes

If you are winding up your business, you’re going to need to know what’s in store for you in terms of taxes. The fact that your business will no longer be in operation means that everything you have currently known or been expecting regarding taxation is no longer relevant, so start from scratch. Realistically, you will need at least some input from an accountant on this— tax is incredibly complex at the best of times, and even more difficult when you’re struggling with the emotional impact of your business closing down. It’s therefore important to obtain expert advice to help you navigate this complex process.

Step Four: Strip the company for assets

As the business begins to wind down, turn to stripping the assets from the company. How you do this is entirely dependent on the type of business you have been running. If you have been running a beauty salon, then the leftover products you have can be sold on to other salons. If you have been running a construction company, you will want to consider auctioning heavy equipment. These are just two examples, but they make the point: consider your business niche and then break the assets down from there.

Remembering that every business has different assets is incredibly important at this juncture. You won’t be able to make checks against an “assets to sell when closing down” list, nor can you look at examples of what other closing-down businesses chose to sell off. Your business’ assets are unique, so spend a little time identifying them, and remember there may be money where you least expect it.

Ideally, you want to break even on the sale of assets, but this might not always be possible. If that’s the case for you, then that’s okay— it’s better to get some money back than nothing at all.

Step Five: Settle any outstanding debts

When you have made as much money as you can from the sale of the business assets, your first priority is to pay off the company debts. The last thing you need is creditors chasing you when you’re trying to move on to a new phase in your life, so even if you aren’t compelled to pay off the debts, you should do so anyway. It’s a clean break, and that matters most of all at this point.

If you can’t settle all of your debts, then you will need to consider your other options. This is likely to be an extremely trying time, but try to see it as another step on the road to a brighter future for you.

Step Six: Close down the bureaucratic avenues

With the finances dealt with, it’s time to start closing down all the bureaucracy from your business. For example:

• Shut down business bank accounts
• Close your tax accounts with government offices
• If you rented premises, end the tenancy and cancel the utilities payments
• Close subscriptions and professional memberships related to the business…
• … and so on and so forth.

It may take awhile to go through this process, but you’ll feel so much better when you have finished.

Step Seven: Start again

Starting over after a business failure is never easy, but you can do it. Whether you use any leftover cash from the asset sale to restart a new business or return to life as an employee, it’s vital to remember you’re right at the start of a new journey. It’s a shame that your business didn’t work out, but who’s to say that’s the end of the story? There could be something even bigger and better waiting in your future. Good luck.