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When it comes to assets, you need to list absolutely everything that you own. We mean it! Do you have a tractor? A new combine harvester? Whatever it is, just list it and estimate its worth. At this point you do not have to worry if you have borrowed money to buy the asset. Most people find it e...

Not only do people sometimes forget what they own, they also forget what they owe. It is vitally important that you know exactly what you owe and to whom. This is what your accountant refers to as liabilities. CMK has found that it is easier to focus on the business debt first, as people genera...

To get an accurate picture of what you are worth, you need to list and compare what you own and what you owe. This way you can see everything.      Assets                                                                               Liabilities       Land and buildings  $5,000,000.00           ...

A business can only be managed well when the owner has an understanding of cash flow the need for a budget. It is often too easy to continue to pay outgoings and expenses and lose track of what is coming into the business. You may then realise that you don’t have enough funds to support business ...

The purpose of a budget is to determine if the plans you have set in place for a specific time frame are achievable and profitable. A budget will also identify if you have a sustainable model. A budget allows you to determine your breakeven point. Working to a budget is a way to improve on, make ...

A cash flow forecast is a model of the future financial liquidity of your business over a specific time period. It estimates the flow of cash into and out of your bank account. This flow of cash is the life blood of any business. Yes, cash is king. A typical cash flow forecast sets out the income...

A cash flow forecast helps to identify potential shortfalls in cash that may hinder your business operation. A cash flow forecast can also identify possible cash surpluses which can be utilised elsewhere in the business. A cash flow forecast also provides a clear direction to external stakeholder...

Don’t be tempted to complete your budget and cash flow and then place them in a desk drawer and forget about them. Things do change during the season and it is good practice to update your records regularly. At the same time, remember to note pay-out differences and to measure how you are actual...

Setting a budget and having a cash flow forecast is only the beginning. The status quo budget is another part of your business numbers that you have to be familiar with. Your business position can change throughout the year and be influenced by many factors. Monitoring these changes is important...

A balance sheet is a comprehensive document, usually prepared by your accountant, that is a complete summary of your agribusiness activity and position. It gives you a bird’s eye view of how your business is faring. This is one document you don’t want to forget about! The Three Sections of Yo...

Knowing whether you have made a profit is the most important question for an agribusiness owner or manager. That’s the difference between knowing whether your business is worth continued investment and hard work, or not. Unfortunately, there are a great number of agribusiness owners who do not kn...

Have you watched the popular U.S. TV programme ‘Shark Tank’ or perhaps the British TV programme ‘Dragon’s Den?’ In both shows, inventors and people with new business ideas seek investment from a panel of successful business people and entrepreneurs. One of their key catch phrases is  “Turnover i...

As a result of the distribution of our first two books over recent months we have met with a number of business owners, ranging from those new to the industry to those with several years in the game. There has been a constant theme from our discussions that clearly identifies that there is a ...

Our Autumn Business newsletter covers Personal property security, tax on student loans and GST on offshore web purchases.   Click here for the Autumn 2016 Business Newsletter

The early quote is likely to get the worm Be very quick with your quotes and give the appearance of efficiency. Not everyone gets multiple quotes and even when they do, half the time they never hear again from the tradesman. Why use a cash flow forecast? A cash flow forecast helps to id...