Updated on August 10, 2017 by admin
Keeping good records of the status of each of your vending machines when you service them is both a critical and very easy practice. Even for those who strongly dislike record keeping and struggle with the practice, the process is not overly taxing. The benefits, after all, far outweigh the small inconvenience that it presents. After all, by keeping records, you will be able to see how you are doing over time so you will know exactly which machines are offering the best performance, how many of what product is being sold, and what profits you can anticipate in the weeks and months to come.
As a business owner, this is information that you need. With even the most basic record keeping, you will have a much more thorough understanding of your business and how it is doing from one machine to the next. This allows you to continue what you are doing right with some machines, and consider the relocation of other machines that just aren’t performing as they should be.
That being said, you will also greatly appreciate your efforts to keep accurate records when tax time comes around. Nothing is more painful than trying to scrounge together exact numbers from records that are either sketchy or non-existent.
The two kinds of records that you will want to consistently maintain within your vending machine business are a basic ledger and a report of all of the locations on your route. The basic ledger is essentially your general bookkeeping. It should document all of the income and expenses totaled from all of the locations on your route. You can do this on paper, but it is much easier and faster if you use a simple bookkeeping program on your computer. If you save all of your receipts and keep a good route report, you will be able to update your ledger quickly and easily each time you complete a service route.
While on your service route, you should keep a record of the status of all of your machines at each location. Each machine should have its own page where you take notes from each servicing. This way, you will be able to flip to the page for any given machine to observe its performance including expenses, income, the placement of products, and the popularity of each of the products.
When your business is still small enough for you to do all of the routes yourself, you will be responsible for all of the record keeping for both the ledger and the route. However, once your business gets large enough that you need to hire someone to run some or all of your routes for you, you will need to make sure that that individual is also keeping the detailed, accurate records that you need to make all the difference in understanding the success of your business.
The same thing goes if you wish to hire a bookkeeper to keep track of all of the income, expenses, and other …
Updated on August 10, 2017 by admin
We are all unique individuals having different personality types. Some are more enthusiastic when it comes to learning new things compared to others. However, we are all capable of motivating ourselves to face challenges as well as gaining new experiences for our continued personal development.
In terms of career opportunities, outstanding managers endeavour to improve themselves so as to be ready to face this fast changing world. They are aware of the significance of continued personal development.
Continued personal development helps in improving the knowledge that you have. This is mainly because continued personal development is an experience wherein you can achieve self-awareness as well as self-improvement.
If you want to engage in self development, you should be open to changes and challenges from people around you. You might as well ask yourself these questions, What is my comfort zone? Am I ready to let go of it for the sake of self-improvement? Am I willing to accept and learn new things as well as listen to fresh ideas from other people?
Then, ask the help of those around you, your employees or team members, to motivate and encourage you by asking challenging things and question your decisions in order to compel you into considering other perspectives. Do not forget to thank them for helping you out in your quest for self improvement.
To learn more is to gain more knowledge and skills. The skills and knowledge you have gained may be a big help to be successful in your line of work. Keep in mind that past experiences and knowledge are slowly becoming obsolete. For this reason, self development is needed for you to succeed and come out on top of your field.
The most valuable assets that you have are the knowledge you have acquired from your experiences as well as the action that results from it. By cultivating these assets, you can be on top. Improving your knowledge with the help of self improvement techniques can give you the success you desire to have in your life.
You earn more by learning more. Engaging in continued personal development could make you live your life with confidence. When you commit and dedicate yourself to continued personal development, you are continuously developing your knowledge, skills and abilities which could pave the way for your success. You should not be afraid of change, for change is the only constant thing in this world and only continued personal development can make you face these changes.…
Updated on August 4, 2017 by admin
Debt financing means to borrow funds or to arrange for investments from external sources. Large scale businesses and organizations are not able to run all their affairs from their own capital so it is usual for them to take loans. The most prevalent example of this type of finance is the loans taken from banks. The amount of the loan is to be repaid in agreed installments along with interest at a specified rate.
Merits of Debt Finance:
Following are the merits of debt finance:
(i) Scope for Expansion: Debt financing allows business to expand its operations. New branches can be opened in other cities and countries. New lines of business can be adopted to increase revenues. The easy availability of credit encourages entrepreneur to take new risks and float new products. It also enables businessmen to increase the scale of their operations and to upgrade their products in time.
(ii) Research and Development: Debt financing allows the process of research and development. Loans taken from banks can be used to accelerate R & D activities. Earning potential of the company increases when the research hard products are floated in the market. The new innovation, besides increasing companies reputation, also reduces its cost of production.
(iii) High Profit: Due to expansion of business and use of new techniques the revenues and profits of the business also grow. Huge revenues means that there will be a room for further expansion of the business. Higher profit can also be used to repay the bank loans. Thus increasing the solvency of business.
(iv) Ease of Working Capital: Debt financing helps in maintaining adequate working capital of the business. It also provides a room for making regular payments easily.
(v) Revival of Sick Units: Debt financing may be used to give a breathe to the sick industrial units. The organization’s loans can be rescheduled and new credit can be taken for such units so that they can start their production. Besides providing finance, proper supervision and guidance should also be given. All this will rehabilitate the sick units and can help them to be successful and profitable units.
(v) Saving from Insolvency: Debt financing may be used to save the business from insolvency. In case any essential payment is to be made and there are not enough equity funds then a loan can be taken to make payments and to save the business from insolvency.
(vi) Tax Advantage: As the interest charge is subtracted from net income before applying tax rate, so this leads to lower tax liability.
Demerits of Debt Finance:
Following are the demerits of debt financing:
(i) Interest Payments: Very huge amount out of net profit of the business have to be paid on account of interest on borrowed capital.
(ii) Depression: If a business comes under depression and losses occur, then the payments of interest could become a great problem due to inadequacy of funds.
(iii) Suit Against Business: Creditor can file suits against business if business fails to make …