bm Flashcards
(22 cards)
all external professionals for a business
accountants
financial advisors
ict specialists
legal advisors
marketing advisors
role of accountants
help a business complete their paperwork
- important financial records such as income statement, balance sheets need to be accurate
- will audit books and prepare reports for tax purposes
role of financial advisors
- help reach specific goals
- outline strategies and timelineto help ahieve profitiablty - help you make many decisions as business owner
- assist in deciding investment to make more profit
- if you should take out loans
- identify where youre losing money
role of ict advisors
- -set up business intranets, phone system, software to run the business
- important to set up system on first day
- can help troubleshooting and even train stuff to use systems
role of legal advisors
- technically a lawyer
-gives advice on legal matters
-without a legal advisor business can still seek advice from many sources
role of marketing advisors
- analyses the market and implements strategies based of it - can help design marketing campaigns to get maximum exposure
- build brand awarness leading to sale and profit
key legal requirements for starting a business
registering name of business
registering a website
laws that need to be followed when trading
taxes that need to be paid
law that ensure the safety of the workplace
registering business name
reason of success - people remember your name
- without business name it can be stlen = you can no longer use
- if you want to protect name YOU must register
registering website
- a website / domain name is a internet address
- dont have to do it but good for growth -
90% of all purchases begin online - registering a domain name early is good and easy
- see if domain name is avaiablel
laws that need to be followed when trading
zoning - protects residnetial homes from business infring their rights
waste diposal - business will be required to dipose of waste legally
protection of consumer rights - ensures fair competition in areas such as advertising and falty goods
business tax compliance
necessary part of life
obligations include
- having tax file number
- paying tax on income
- colletcing income tax on behalf of ato from eployees
- collecting good and services tax from consumers if business earns over 75k
workplace safety
- business responsible for safe environment - consequences
- worksafe inspectors can visit any worksit any time for breachers
types of finance system
- bank accounts
- financial control systems
- record- keeping strategies
why is record keeping important
business must have seperate bank account for accurate record keeping
- entity concept which states personal and buiness transactions should be kept seperate
- insure research of types of accoutns avaiable
financial control system
- all processes of a business that relate to finance
- ensure business has control of its finance at the very start
- to track expenses, record all receipt and payments to prepare reports for stakeholders,
- systems can be made for .. - cash bank - credit terms - keep track of money that is owed and when customers dont pay
- discount for early payment
financial considerations
- record keeping is a strategy for efficient and accurate record keeping
- ato requires businesses to keep record of all financial transactiosn for tax purposes - source documents must be kept
- cashbooks recorded
- income stamtents prepared
- balane sheets produced
apporpiate suppliers
- price and quality
- exchange rates
- reliability and location
- corporate socially responsible (impact on environemnt, staff wages / treatmeant)
policies
written set of guidelines regarding issue - created withinlegal expectations including ohs policies / bullying polices / equal opportunity policies
procedure
series of steps must follow and should be clearly laid out for employes to read
how are polices and procedures differnt
policies are rules procedures are steps to do with policies
customer data base
- organised selection of customer details - customer names, adress, emial, product purchases, preferred brands, time they like to shop - business take advantage of new technology to gain this data - one way is loyalty cards which business can access your purchases
overseas retailers
- demand for our products over ases- have to adapt to new laws, packaging, even marketing but includes benefits of potenetial customers = sales profits = wider range of cusomters
