Introduction

In the contemporary business landscape, small and medium-sized enterprises (SMEs) are seizing opportunities in the gig economy, offering specialized products and services to a global audience. The team here at Coffey&Co are industry trusted accountants and financial experts. We recognize the significance of financial success for SMEs. Let us will guide you through the process of building wealth as an SME, specifically within the framework of a multi-vendor marketplace.

The Landscape of the Gig Economy

The gig economy has reshaped the way the world conducts business, providing SMEs with flexibility and the ability to showcase their offerings outside the traditional business model. Joining multi-vendor marketplaces presents SMEs with a chance to broaden your reach and access new markets.

The Role of Financial Planning

1. Building a Robust Foundation

Before delving into the dynamics of a multi-vendor marketplace, it is essential for SMEs to establish a robust financial foundation. This includes creating a dedicated business account, organizing expenses, and setting achievable income goals.

2. Understanding Marketplace Dynamics

A successful financial strategy begins with a deep understanding of the marketplace. SMEs must comprehend the fee structures, payment processing methods, and any additional costs associated with selling products or services on the platform.

3. Vendor or Seller Accounts

Many SMEs within multi-vendor marketplaces have the opportunity to set up their vendor or seller accounts. This allows you to create a personalized storefront, showcase your offerings, and manage transactions seamlessly.

4. Financial Transparency

We always emphasize the importance of financial transparency. As a SME, you need to maintain accurate records of your income and expenses, including fees associated with the marketplace. This transparency aids in financial reporting and provides a clear overview of financial health.

5. Setting Competitive Prices

Pricing is a critical aspect of SME success. You must carefully assess your costs, competition, and the value you bring to clients. Setting competitive prices ensures a steady stream of income while remaining attractive to potential buyers.

6. Saving and Investing

Beyond day-to-day finances, as a SME you should prioritize saving and investing for long-term financial stability. Allocating a portion of income for emergencies and future goals is a prudent strategy.

Conclusion

In the ever-evolving landscape of the worlds new gig economy, your SME can achieve financial success by adopting strategic financial planning and embracing the opportunities presented by multi-vendor marketplaces. The team here at Coffey&Co can assist your SME with the knowledge and tools needed to navigate the complexities of your financial journey and build a path to lasting prosperity.

Remember, financial success is a journey, not a destination. By implementing sound financial practices and leveraging the unique opportunities offered by multi-vendor marketplaces, your SME can pave the way for a financially secure and fulfilling future.

Introduction:

In the dynamic world of business, staying ahead of the competition and navigating the complexities of the market requires more than just number-crunching. Today, businesses, especially small and medium-sized enterprises (SMEs), are seeking not only financial guidance but strategic insights that can drive growth and sustainability. This is where the role of accountants in business advisory services becomes increasingly vital. In this blog post, we’ll explore the evolving role of accountants and the value they bring to SMEs as trusted advisors.

The Changing Landscape of Accounting:

Traditionally, accountants were often seen as financial historians—focused on recording past financial transactions, ensuring compliance, and preparing tax returns. While these functions remain essential, the role of accountants has evolved dramatically to meet the demands of a rapidly changing business landscape.

Business Advisory Services Defined:

Business advisory services encompass a wide range of strategic activities that go beyond traditional accounting. These services are designed to help businesses make informed decisions, solve complex problems, and achieve their financial goals. They include:

• Strategic Planning: Accountants assist businesses in setting clear, achievable objectives and developing a strategic roadmap to reach them.
• Financial Analysis: Accountants analyze financial data to provide insights into a company’s financial health, identify trends, and pinpoint areas for improvement.
• Risk Management: Accountants help businesses assess and mitigate financial risks, ensuring long-term stability.
• Budgeting and Forecasting: Accountants work with businesses to create budgets and financial forecasts, offering insights into resource allocation and growth potential.
• Cash Flow Management: Accountants advise on managing cash flow effectively, ensuring businesses have the liquidity needed for daily operations.
• Tax Planning: Accountants identify tax-saving opportunities and ensure businesses remain tax-compliant.

The Accountant as a Trusted Advisor:

In the realm of business advisory services, accountants take on a new role as trusted advisors. They form close partnerships with SMEs, gaining a deep understanding of the company’s goals, challenges, and industry dynamics. As trusted advisors, accountants provide:

• Proactive Insights: Rather than waiting for a fiscal year’s end, accountants offer real-time insights into financial performance, helping businesses make timely adjustments.
• Objective Guidance: Accountants provide unbiased, data-driven advice that is not influenced by personal interests or emotions.
• Problem Solving: Accountants help SMEs tackle financial and operational challenges, offering solutions that align with the company’s goals.
• Long-Term Planning: Accountants work with businesses to create sustainable, long-term financial strategies, fostering growth and adaptability.
• Compliance and Regulation Expertise: Accountants keep SMEs abreast of changing tax laws, financial regulations, and industry standards.

Conclusion:

The role of accountants in business advisory services is evolving from number-crunchers to strategic partners. For SMEs, this means gaining a dedicated, objective, and knowledgeable ally in the complex world of finance and business. With our expertise in financial analysis, strategic planning, and risk management, accountants are well-positioned to guide businesses toward their financial goals and navigate the ever-changing business landscape. The transition from accountant to trusted advisor marks a positive shift in how businesses can leverage financial expertise to thrive in a competitive world. The team here at Coffey&Co are always happy to have a chat to discuss your accountancy needs.

Introduction

Small and Medium Enterprises (SMEs) are the backbone of Ireland’s economy, accounting for over 99% of all businesses in the country. These businesses play a crucial role in driving economic growth and creating jobs. However, for SMEs to thrive in the long term, effective financial planning is essential. In this blog post, we will explore the key considerations for SMEs in Ireland when it comes to financial planning for long-term success.

Budgeting and Cash Flow Management

One of the fundamental aspects of financial planning for SMEs is budgeting. Creating a well-defined budget helps you allocate resources efficiently and make informed decisions. In Ireland, where cash flow challenges can be particularly acute, having a robust budget is vital.

Consider implementing a rolling budget that is regularly reviewed and adjusted based on your business’s performance. This flexibility can help you adapt to changing market conditions and avoid financial pitfalls.

Additionally, actively managing your cash flow is critical. Late payments, unexpected expenses, and seasonal fluctuations can all impact your cash flow. SMEs in Ireland should focus on efficient invoicing, debtor management, and establishing lines of credit to bridge any cash flow gaps.

Tax Planning

Tax planning is another crucial aspect of financial planning for SMEs in Ireland. The tax landscape can be complex, and tax liabilities can significantly impact your profitability. It’s essential to stay informed about changes in tax laws and regulations.

Consider working with a qualified accountant or tax advisor, such as the team at Coffey&Co, to ensure you are taking advantage of all available tax incentives and deductions. This can help reduce your tax burden and improve your bottom line.

Funding and Financing

Access to funding and financing is vital for SMEs looking to achieve long-term success. Ireland offers various options for businesses to secure capital, including government grants, bank loans, venture capital, and angel investors. However, choosing the right funding source and structuring your finances effectively is critical.

Before seeking external financing, thoroughly assess your business’s financial health and consider alternative funding options like bootstrapping or crowdfunding. Diversifying your sources of financing can also provide greater stability in the face of economic uncertainties. At Coffey&Co we are experts in this area and are on hand to advise you of your possible options.

Risk Management

Every business faces risks, and SMEs in Ireland are no exception. Effective risk management is integral to financial planning. Identify potential risks to your business, such as market volatility, supply chain disruptions, or regulatory changes, and develop strategies to mitigate them.

Insurance can also play a significant role in risk management. Ensure that your business is adequately insured to protect against unexpected events that could disrupt your operations or lead to financial losses.

Investment in Technology and Innovation

In today’s rapidly evolving business landscape, investing in technology and innovation is essential for SMEs in Ireland. While these investments may have upfront costs, they can lead to long-term efficiencies and competitiveness.

Consider embracing digital transformation initiatives, such as adopting cloud-based software, improving your online presence, and exploring automation to streamline processes and enhance customer experiences. These investments can position your SME for sustainable growth.

Conclusion

Financial planning is the cornerstone of long-term success for SMEs in Ireland. By focusing on budgeting, cash flow management, tax planning, funding and financing, risk management, and investment in technology and innovation, you can build a solid financial foundation for your business.

Remember that financial planning is an ongoing process. Regularly assess your financial strategies, adapt to changing circumstances, and seek professional advice when needed. With a proactive and well-thought-out approach to financial planning, your SME can thrive and contribute to the continued growth of Ireland’s economy.

Introduction:

Cash flow management is the lifeblood of any business, and for small and medium-sized enterprises (SMEs) in Ireland, it’s especially critical. Smooth and effective cash flow management ensures that your business can meet its financial obligations, seize opportunities for growth, and weather economic uncertainties. In this blog post, we’ll explore some indispensable cash flow management strategies that the team at Coffey&Co recommend to Irish SMEs, helping you secure your financial stability and prosperity.

Forecast Your Cash Flow:

The first step in effective cash flow management is creating a cash flow forecast. This invaluable report provides a forward-looking view of your expected income and expenses. It allows you to anticipate potential cash shortfalls and surpluses, enabling you to plan and make informed financial decisions.

Maintain a Cash Flow Cushion:

Operating without a financial safety net can be risky. Set aside a portion of your profits as a cash flow cushion or emergency fund. This reserve can serve as a buffer during lean months or unforeseen circumstances, preventing you from resorting to costly loans to cover immediate expenses.

Accelerate Invoicing and Collections:

Speed up your invoicing process and encourage prompt payments from clients. Consider offering early payment discounts to incentivize timely settlements. Regularly review your accounts receivable and follow up on overdue invoices to ensure a steady cash flow stream.

Negotiate Supplier Terms:

Just as you aim to speed up collections, negotiate favorable terms with your suppliers. Longer payment terms or discounts for early payments can help you manage cash flow more effectively. Building strong relationships with suppliers can lead to mutually beneficial agreements.

Optimize Inventory Management:

Efficient inventory management is essential for cash flow. Excessive inventory ties up capital, while insufficient stock can lead to lost sales. Implement just-in-time inventory practices to reduce holding costs and improve cash flow efficiency.

Control Operating Expenses:

Regularly review your operating expenses to identify areas where cost savings are possible. Consider renegotiating contracts with suppliers or service providers, streamlining internal processes, and eliminating unnecessary expenditures. Even small savings can add up to significant cash flow improvements over time.

Monitor and Adapt:

Regularly monitor your cash flow against your forecasts. If you notice deviations, take swift action. Adjust your operations or financial strategies as needed to align with your cash flow objectives. Consistent monitoring ensures that you remain proactive in managing your finances.

Conclusion:

Effective cash flow management is non-negotiable for Irish SMEs. It’s the key to maintaining financial stability, seizing growth opportunities, and navigating economic uncertainties. By implementing these cash flow management strategies, including cash flow forecasting, building a cushion, optimizing invoicing and collections, negotiating supplier terms, managing inventory efficiently, controlling expenses, and vigilant monitoring, you can position your SME for long-term success.

Remember, cash flow management isn’t a one-time task – it’s an ongoing process that requires diligence and adaptability. By staying proactive and making informed financial decisions, you can ensure that your Irish SME thrives in a dynamic and competitive business environment. Our team at Coffey&Co are well positioned to both advise and assist you with your cashflow needs so please contact us if this is an area you could do with a helping hand.

Introduction:

Small and medium-sized enterprises (SMEs) often find themselves grappling with a handful of critical financial challenges that can significantly impact their growth and stability. In this blog post, we’ll explore the top 5 financial challenges faced by SMEs and provide actionable strategies to overcome them. By addressing these challenges head-on, you can position your business for success in a dynamic marketplace.

Cash Flow Management:

Cash flow woes can disrupt even the most promising SMEs. The irregularity of incoming and outgoing funds can lead to operational hurdles and missed opportunities. To counter this, create detailed cash flow forecasts, establish a financial cushion, negotiate flexible terms with vendors and suppliers, and incentivize prompt client payments through discounts or offers.

Access to Funding:

Securing funding is a common hurdle, particularly for startups and SMEs in growth phases. To conquer this challenge, diversify your funding sources, prepare a compelling business plan backed by solid financial projections, and explore options like business loans, venture capital, or even government grants tailored to SMEs.

Tax Compliance Complexity:

Navigating the intricate web of tax regulations can be overwhelming for SMEs. To triumph over this challenge, stay informed about tax laws, collaborate with expert accountants, maintain meticulous records, and consider outsourcing tax-related responsibilities to professionals who specialize in compliance.

Economic Uncertainty:

Economic turbulence can destabilize even the most resilient SMEs. To mitigate this challenge, build a financial buffer, diversify your customer base, and emphasize exceptional customer value to foster loyalty during tough times. Developing a robust business continuity plan can provide a clear roadmap for navigating uncertainties.

Strategic Scaling:

Scaling up is a goal, but it comes with financial complexities. Poorly planned expansion can strain resources and lead to inefficiencies. Counter this by conducting thorough market research, projecting finances meticulously, and aligning growth strategies with your business’s capacity. Regularly monitor key performance indicators to ensure sustainable growth.

Conclusion:

Every SME encounters financial challenges, but proactively addressing them is the key to success. By focusing on cash flow management, diversifying funding sources, understanding tax compliance, preparing for economic volatility, and scaling strategically, you can transform challenges into opportunities for growth. These strategies empower your SME to navigate the dynamic business landscape with resilience and confidence. Each obstacle conquered brings your SME closer to achieving its full potential in the marketplace. Our team at CoffeyandCo are experienced and well positioned to assist you as needed, feel free to call and we can chat about how we can help you navigate and overcome these challenges.

Starting a business takes a lot of hard work and dedication. If you want to set up your own business, there are many things to consider.  What is your business model? , Who is your target market? Or how will you finance your business? You have to plan everything out, and then you also have to think about what you need to do every day to keep the business running. 

Understanding what an accountant does is an essential step when starting a business. This article explains what accountants do and how they can help your startup business grow.

 Setting up your business and take care of necessary paperwork

If you’re thinking of taking the plunge and setting up your own business, there are a few things you need to keep in mind. One Prominent decision is whether to do it yourself or hire professionals. For some tasks, like setting up a bank account or registering with the government, you don’t need help. However, for some things, like filing taxes or drawing up contracts, you can get the help of an expert.

An accountant can help you set up your business and file the necessary paperwork, making the process smoother and less stressful. So before you start, consider hiring an accountant to assist you with your new venture.

Understand your financial situation and make sound financial decisions for your business

 Before making crucial financial decisions, look at your overall financial situation and see where you stand. That means understanding your income, debts, and expenses. Once you have a clear picture of your finances, you can start to make sound financial decisions that are right for you.

Are you feeling overwhelmed by your financial situation? Are you not sure where to start when it comes to making changes? A qualified accountant can help. They can explain your financial situation and help you make sound decisions to improve your finances. Don’t hesitate to reach out for assistance – Accountant for Start-Ups Limerick can be a valuable asset in getting your finances under control.

Provide tax advice

Ensuring you’re taking advantage of all tax deductions and credits available to your business is essential for keeping your taxes as low as possible. A qualified accountant can give you the advice you need to get the most from your tax return.

They can also help you stay on top of any changes in the tax code that could affect your bottom line. For businesses large and small, that is a valuable resource for minimizing taxes and maximizing profits.

Act as a liaison with banks and other lenders

 An accountant can be a helpful person to work with when trying to get money from a bank or lender. They know how to communicate with these organizations and can help make the process easier for everyone involved.

They can help make it easier for your business to get a loan and do this by giving accurate financial statements and projections. That makes it easier for the bank to your business the money it needs.

 If you want to secure investment for your business, it can be very fruitful to get help from an accountant. They’ll be able to help you put together a professional presentation that will make a great impression on potential investors.

Establish good bookkeeping practices

No one is immune to the difficulties of a breakup, especially if you are talking about finances. If you are splitting up with your significant other, it’s critical to establish good bookkeeping practices to keep track of your ex. An accountant can help make this process easier and ensure that both of you are protected financially.

 If you are looking for help in starting your business, an accountant for startups Limerick can be a great resource. They can assist with everything from filing taxes and setting up bookkeeping to creating a financial plan for your company. Accountants can also advise on how to grow your business and manage your finances.

For more information or to find an accountant near you, visit our website today.

Irish people now live longer than ever, and retirement makes up a considerable portion of our lives. With the life expectancy in Ireland being 82 years and the state retirement age at 66 years, you’ll spend about 16 years in retirement. It is an expensive time because it’s likely that your income will have stopped or been considerably reduced. This is why it’s essential to plan for your retirement.

A solid retirement plan is invaluable for retirement and financial matters. But retirement planning is more than just stashing away money for the future. We want to help you to live a rich and fulfilled life. This retirement planning guide will help you to work towards a happy retirement.

Before you retire, here are a few things you should consider:

Start Planning For Retirement Early

It would help if you started planning your retirement as early as possible. It’s never too early. Set up a pension as soon as you can so you have more time for it to grow instead of waiting until you reach your fifties or even older. A small regular payment started in your twenties or thirties could deliver big results in your retirement. Several pension products are available, including self-administered pensions, personal pension plans, and corporate pension schemes. 

Establish a plan to monitor your income and outgoings. This helps to monitor and control your revenues early enough so your spending doesn’t spiral out of control in retirement. It’s also important to acknowledge that you’ll spend more money when you’re not working. 

File Your Tax Returns

One of the essential steps in retirement planning is filing your tax returns. Why? Regularly filing your PAYE returns ensures that you’re entitled to many tax benefits and credits that can give a fund boost to your pension plan. These include medical expense reliefs, flat-rate allowances for different professions, and even age allowance. Not to mention that there’s tax relief for pension contributions.

Make New Friends

While most of our social network is work-related while in employment, it’s essential to get involved in your community and get to know people in your local area. Take part in local events during the weekends, volunteer for community charities, and have time for a chat in the pub or café. In retirement, this regional network of friends can be a considerable comfort. It will also help you to stay active. You’ll need more than money for retirement to be a pleasure for you.

Get Professional Advice

When it comes to retirement planning, everyone will have some advice to give. Family, friends, and even colleagues. But it’s essential to consult professionally qualified financial advisors for your retirement planning. They’re in the best position to inform you about available pension plans and other investment opportunities. Financial advisors also give you impartial guidance and advice.

Want Help From The Experts?

Even with state support for pensioners, you still need to manage your retirement planning. We can help you take control of your retirement plans by carefully finding and planning suitable pension product structures to achieve your goals. We will also help you leverage various tax savings to grow your retirement fund. 

If you would like to learn more about how we help our clients achieve their retirement objectives, we’d be glad to schedule an appointment with an expert.

Reach out to us!

The Budget 2022, announced on October 12, 2021, set out several measures intended to broaden businesses and other sectors post COVID-19. These include personal tax increases and increased incentives for people working from home. Besides modest changes to income tax rate bands and credits, the government also announced expenditure measures in critical sectors such as social welfare, health, housing, education, and employment. For example, the Employment Wage Subsidy Scheme (EWSS) was extended to April 30, 2022.

This article looks at Budget 2022 highlights and some of the key tax changes you should know. Let’s get right into it:

1. Personal Tax

While the Finance Bill 2021 retained the income tax rates, there are changes to income tax bands and increases to tax credits. The government announced an addition to the standard rate tax band of €1,500. This will see the income tax standard rate band for single earners increase from €35,300 to €36,800 while married couples and civil partners’ band increase from €44,300 to €45,800.

The widow or surviving civil partner (without a dependent child), employee, earned income, personal tax credits will also increase by €50.

Employees who work from home will be able to claim a 30% tax relief for vouched expenses for broadband, heat, and electricity. The Universal Social Charge (USC) will remain the same, but the band will be increased to €21,295 so minimum wage workers’ salaries can stay outside the higher rates of USC. 

The Help to Buy Property Scheme will also be extended to December 2022.

2. Business Tax

As mentioned, the EWSS will be extended to the end of April. The Employment Investment Incentive (IEE) scheme will also be extended and expanded. The corporate tax for most Irish companies will still be 12.5%. However, businesses with over €750 million in annual turnovers will pay 15% corporate tax. 

Businesses in the digital gaming sector will enjoy a 32% tax credit on eligible expenditures of up to €25 million per project. Additionally, accelerated capital allowances for energy-efficient equipment will be extended up to the end of 2024. Pay Related Social Insurance (PRSI) threshold increased from €398 to €410 per week. This ensures that employers don’t reduce the working hours for full-time minimum wage employees.

Lastly, the Finance Bill 2021 plans to introduce anti-avoidance legislation for multinationals.

3. Covid-19 Recovery

To support economic recovery from Covid-19 restrictions, the government is pumping €7 billion in funding to various sectors. Nearly €3 billion will be allocated to industries with high certainty on costs while over €4 billion has been placed in a contingency fund.

The funding includes:

• €100 million for Pandemic Unemployment Payment (PUP) payments for January 2022
• €800 million for Covid-19 testing, contact tracing, vaccinations, personal protective equipment (PPE), and the HSE Winter Plan
• €200 million to support public transport
• €200 million for the live entertainment, hospitality, and tourism sectors 
• €150 million for the safe running of schools, and for additional education and training places
• €600 million for the extension of the EWSS up to April 2022

The other tax measures include a tax increase on tobacco products, a 0.1% decrease on farmers’ flat rate, and the revision of vehicle registration tax (VRT) upwards. If you have any questions on Budget 2022 or taxation, our experienced expert accountants will be happy to share their insights with you. Get in touch with us.