Making your money work for you

If you are an installer, the last thing on your mind will be accountancy. But, your van’s livery, business cards and website all have a cost attached – and they all add up.

Being aware of what money is coming in and going out, and providing detailed customer quotations can really help you keep tabs on your finances and set you on the road to success.

Tax doesn’t have to be a challenge

In April, HMRC introduced ‘Making Tax Digital’, a new way to manage your business’s admin processes. Any VAT-registered business with a turnover above £85,000 for the previous 12 months, will need to use the new service to submit their VAT returns and digital records. 

The Expert Trades app saves installers just like you, hours on admin each week. With professional quotes and invoices, digital gas certificates, service reminders, late payment reminders and more it is designed to help you run a professional and profitable business. It has never been more important to move to digital as all businesses from next year will be required to use digital software for invoicing as part of HMRC's Making Tax Digital. Download the app to explore the benefit either via the app store or google play.

Managing your business’s finances will be more efficient, effective and easier from start to finish – removing one of the major barriers to success that many small businesses face.

Consider using an accountant

If you could do with a financial helping hand, consider using an accountant who can help save you money, leaving you free to do your job as a heating engineer.

Quote us on that

A small-business’s financial woes can sometimes be linked to quoting customers incorrectly at the start of a job. It’s important that you decide upon strict payment terms and uphold them – whether they involve payment on receipt or giving customers the industry-standard 30-days to settle their accounts.

You and your customers should sign a formal written contract – this removes any ambiguity around payment dates, ensures you are paid on time and it also protects you from ‘cowboy customers’.

Before filling in your quote, it’s advisable to take the time to identify any technical issues you may encounter and carry out any necessary assessments. For instance, will you need to balance the system, fit a system filter or flush the system? Talk through the options and recommendations with the customer before you submit the quote so it doesn’t come as a shock to them. You can set expectations of your service from the off, meaning you can avoid any unexpected extras that could cost you both time and money.

Running a business isn’t easy, but understanding your tax obligations, keeping records of your financial transactions and quoting right, first time, every time, can give you more time to enjoy the fruits of your labour!

Find out how the Baxi Toolbelt app can help your business when you’re on the move.

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