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Business Habits that can ruin Small Businesses and how to avoid them.

Do you feel like you’re treading water with your small business and not making progress towards your goals?

Every entrepreneur wants to own a successful and profitable business, but it’s not always clear what to do and what to avoid.

If you want your business to be more profitable than ever before, here are few tips on habits that can ruin a business and how to avoid them.

  1. Using one Account for both Personal and Business Transactions.

It is often found that a lot of small business owners make it a habit of using one account for running both personal incomes and expenses and business incomes and expenses. This is bad practice as they will not be able to track/monitor business expenses and transactions and in the long run, performance of your business.

Solution: Open a Business Account separate from your personal account, this will help you keep track of the inflows and outflows of your business. You can create a Business Current Account with Glade Banking in less than 5 minutes by logging on to www.glade.ng now. On our platform, you also have free access to management tools that will help you run your business smoothly with just your mobile device or a laptop.

  1. Making Late Payments

If your goal is to get approved for a loan, a lease, or a line of credit for your business, a late payment can make it more difficult to do so. Simply put, a late loan payment may interfere with your business credit score and make it a challenge to start or grow your organization. Banks and investors make use of this score to evaluate the risk posed by lending money to a business and the probability of paying back. 

Solution: Make sure you keep records and make repayments when due. If you are not sure of when you are to pay back, clarify with your account officer or the officer in charge.

If you are looking to get a loan capital and overdraft to grow your business, Visit us at www.glade.ng to open a Business Current Account for free and get access to quick funds to grow your business.

  1. Not keeping Financial Records 

Poor record-keeping leads to problems with a rippling effect and can be very serious when you need your records for things like taxes, budgets, or payroll. If there are no records to accurately track expenses and income, you could end up spending more than you earn and will eventually end up in debt. 

Although it sometimes may go unnoticed, which results in a range of consequences, and if not nipped in the bud early, it can potentially leave an impact as large as causing a company to close its doors. 

Solution: Start keeping records so you can plan more effectively for your business. There are tools out there that help to automate your records like the kinds you can easily access with Glade banking for small businesses like yours. Gladebanking provides a range of business tools that helps you keep track of what’s happening with your transactions and run reports against your transaction on the go. 

  1. Impulse Purchases

Most business owners have no control over their spending habits and want almost everything they come across and end up buying a whole lot of things they never needed in the first place.

You need to sit back and evaluate that item if it will add value to your business, successful entrepreneurs always say “spend less than you earn” and that is the key to business success.

Solution: Every time an impulse buy gets you jazzed, wait a little longer and give yourself some time to think about whether you need that item, you would find that you never really did.

  1. Not Delegating Tasks

In the Business world, time costs money and you can’t do everything. If there is an issue that needs to be attended to immediately, you can delegate it to someone you trust can get the job done while you concentrate on more important issues that are worth more and requires your attention and expertise.

Solution: Consider the time versus the money that will be spent on a task. Will it be better to pay someone to do it or do it yourself? You can hire someone to work on tasks you are not skilled enough to handle so you can spend time on other important tasks. 

Also on the Gladebanking platform, you can delegate tasks by creating a role on the dashboard for someone in your team and assign controllable features and tasks to the team member.

Want to open a Business Account? Click the link www.glade.ng

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