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cash flow

How stock holding and inflation will affect your cash flow

If your business processes materials or assembles goods for sale it will usually need to keep a stock of items to ensure that future sales can be met.

How will the basis period reform affect your business cash flow from the 2024-25 tax year?

The new rules will not change the accounting period of the business, however the tax position will move from a current year basis to a tax year basis. This will mean that  business profits will be calculated for the tax year rather than for the period of account ending in the tax year. 

Beware of being an over-trader

Business owners will need to consider their options and creating a cash-flow forecast will reveal the peaks and troughs in your bank balances and give you time to consider your choices.

Beware of being an over-trader

Whisper it quietly but we may be approaching the end of the major disruption to the economic activity of the past two years. This would be great news for those trades badly affected by previous lockdowns and other restrictions.

Temporary extension of loss relief carry-backs

The policy aims to provide a cash flow benefit to businesses by providing additional relief for trading losses, thereby generating repayments for tax paid for two additional years.

Tips for businesses to positively emerge from lockdown stronger and fitter

Whilst HM Government’s tougher restriction measures at the start of 2021 will continue to have an adverse impact for many people and businesses, there are reasons why the outlook for 2021 is more positive.