In world, many techniques are practiced by businesses to limit the working money balance necessity. You can get some handy insights about cash management in this article.
We, being a listed name among the reputed bookkeeping and accounting firms in Dubai, can offer you the best insights on this and they will be considerably significant to you. By implementing these essential techniques, you can optimally utilize your money.
It should be noteworthy that we are the provider of one of the best accounting services in Dubai, offer a large array of services. In this respect, we offer outsourced accounting and bookkeeping services, UAE VAT registration online, VAT filing UAE, etc.
Hereunder, we share some proven money-saving tips which will largely help you. You may use these simple tips as a regular practice for cash management.
Money-saving Tips from the best Cloud based Accounting Services provider:
Tip 1: Keep necessary cash for 6 months
This tip is very important. For this, you should talk to the key decision makers in your family and jot down the household and business expenses in an excel sheet.
We insist you to be realistic! When you are building up your savings, you should always maintain an approximate cash worth six months.
Besides, you should do it in such a manner that you can easily access it in difficult situation, in case you have to.
Tip 2: Mange your risk
Well, you never know what the life has in store for you. It may be some crisis or some sort of an emergency, and for that, you may need funds. Hence, you should always be prepared for an unforeseen event. To combat such a situation, you have the option of insurance.
Insuring your health and other valuable assets keeps you cash healthy and provides you financial cover for the difficult times.
Therefore, when you are in a crisis like situation, you don’t feel low on cash. You don’t have to worry about the hospital bills either and you can take care of the medical expenditure without stress.
Tip 3: Keep home and business cash separate
If you run a business, it is advisable to maintain separate cash accounts. Being the owner of the business, you should take a certain amount as salary from your own company. This way, you will have a clear idea about how much cash needs to be spent on both the fronts.
Let’s take an example in which you land up in a situation where you have little cash left in your bank. At this crucial juncture, you may be in a dilemma; whether to pay the house rent or pay salary to the staff. In such a situation, this strategy will largely facilitate you.
We reiterate you to obtain more valuable insights on this aspect from our experts or from some professional bookkeeping and accounting firms in Dubai.
Tip 4: Avoid instinctive buying
Our next tip is on the need to abstain from instinctive buying. Look at it this way.
Buying is a kind of behavioral pattern. In this pattern, there are people who either buy haphazardly or take time and buy sensibly. If you are the first type of buyer, you may end up spending valuable cash on the stuff which is not so valuable to you. So you should better be the second type of buyer.
Experts advise you that you should prevent yourself from such a buying temptation and instead, linger on your purchase for a later period. But they also say that you should buy if you feel that the purchase is worth.
Tip 5: Cash on your assets
Our next tip on this subject is that you should review your business and personal assets from time to time. It is equally important to keep a check on your redundant assets, if any.
Experts say that it is better to sellout such assets at an appropriate time and in return, make some cash out of it. They also mention that it is not a good idea to wait for a crisis or an exigency to do that. If you wait, you may end up wasting time in selling such assets and also, you may not get the real worth.
Tip 6: Lease things instead of buying
As a last tip, we suggest that you must try to lease out things that you can. You may do this for items such as car, furniture, home, office, machinery and other stuff. While doing this, you can come to know about the better options or versions of the same items available in the market. This information may be useful to you later. Further, keep in mind that leasing out is not difficult when in crisis.
Before we conclude, we see that there are a lot of proven practices which you can adopt for smart cash management. These tips can be largely help to you if you apply them in your business and life.
We hold a long experience in providing the best accounting services in dubai along with the payroll in use. In addition, we are a pioneer in rendering a wide assortment of specialized accounting services in dubai.
We insist you to associate with us. When you associate with us, you will stay abreast with the latest duty laws related to your business. Furthermore, you will also get our help with your financial assessments. We are a Cloud Based Accounting Service provider in UAE which makes accounting easier for SME business.
You may fully rely upon our advice and services for hassle-free assistance. To get more help in lessening your overheads and costs and for obtaining our free consultation, contact us.
