Putting the Spotlight on Cashflow Management
As the summer holidays quickly become a distant memory, small business owners across the country are facing the challenging task of managing their cashflow amidst multiple tax payments due and the cost of trading through the summer holiday period. With bills piling up and revenues still slow to recover from the holiday season, many entrepreneurs are feeling the pressure and are seeking assistance to navigate this financial hurdle.
The period following our holiday period typically presents a cashflow crunch for small businesses as non-retail businesses closed for the 2-3 week summer break yet operational costs remain the same. Compounding this challenge are the looming tax deadlines, including provisional tax payments and GST returns, which can further strain the finances of those already struggling to stay afloat.
In response to these difficulties, local business associations and financial advisors are stepping up efforts to support small business owners. Workshops, webinars, and one-on-one consultations are being offered to provide guidance on cashflow management strategies, budgeting techniques, and tax planning.
"We understand the financial strain that many small businesses are facing at this time of year," says Sarah Thompson, president of the Auckland Small Business Association. "Our priority is to ensure that entrepreneurs have access to the resources and support they need to navigate through these challenges and emerge stronger on the other side."
Additionally, government agencies are offering assistance programs and financial relief measures to alleviate the burden on small businesses. This includes flexible payment options for tax obligations, grants for eligible businesses, and access to low-interest loans to bridge short-term cashflow gaps.
Amidst these efforts, small business owners are encouraged to proactively assess their financial situation, communicate with creditors and tax authorities about payment arrangements, and explore all available support options.
"We're advising our members to be proactive in managing their cashflow and seek assistance if needed," adds Thompson. "By taking proactive steps and leveraging available resources, small businesses can better weather this challenging period and position themselves for long-term success."
As the summer season winds down and tax deadlines approach, the resilience and resourcefulness of New Zealand's small business community are being put to the test. With support from industry associations, financial experts, and government agencies, entrepreneurs are working tirelessly to overcome cashflow challenges and navigate through uncertain times.
If you need help with managing your cashflow then please contact us today! We will book you in for a complimentary business review meeting with one of our leading business advisors to look at a strategy to get your business working for you.