Moving business cash safely and efficiently

There are all kinds of reasons why a business leader may choose to move cash around within the firm. Perhaps you’re planning to set up a new branch or service, and the team responsible for it needs funds in order to lease spaces or buy equipment. Maybe you’re looking to buy up a foreign company in order to expand, and you need to get cash abroad in order to secure the deal on the ground. Whatever reason you have for moving money around, though, it’s important to do it in a secure and cost-effective way – otherwise, you may find that it’s more trouble than it’s worth.

Keep records

The first thing that you should do when moving cash for your business is keep a record. When filing this record, you need to state clearly who received the money, what the amount was, the date, and – crucially – the purpose. Without this, it may be a nightmare for you or your accounts team to reconcile the transactions at a later date – and in the long run, it’s not sustainable to have endless disorganised records floating around. Not only will keeping accurate records of any money moves be a smart choice when it comes to working out your profit and loss, but these records will also often be needed by authorities of various types – including HMRC when the time to file your annual tax return rolls around.[Continue Reading…]