Janice opened the email from her accountant.
How in the world was her corporation tax bill that high?
She wondered if her struggle was all in her head. She opened her bank statement for the end of the last financial year on her other screen.
Nope, not her imagination. That balance was far too close to zero for her liking – and for this high of a tax bill.
After all, you’re taxed on profit in the UK. If the profit isn’t there in the bank account, where did it go?
She’d remember if it had come to her!
Cash flow and profit in the accounts are separate (though related) things.
In my latest series of blog posts, we’ll explore some of the metrics that impact your cash flow, including those that cause this particular discrepancy.
If you’ve ever been mystified at how your tax bill could be so high given the lack of cash on hand, check out my latest blog, How can your Debtor Turnover Ratio help you?
We start from nil here, so don’t let the title put you off – I explain in the blog post what debtors are, along with all the rest.
This is the latest in my bigger series exploring different metrics and how you can use them to make more data-led decisions in your business.
Using your numbers to help make your business better
Do you wish you understood how to use your data to make decisions more confidently?
That's what I'm here to help with.
Hi, I’m Sara-Jayne Slocombe of Amethyst Raccoon. I help your small business thrive using the power of your numbers, empowering you so that you have the confidence and knowledge to run your business profitably and achieve the goals you’re after.
I am a UK-based Business Insights Consultant, which means I look at your data and turn it into information and insights. I separate the noise from the signal and translate it all into actions that you can actually take in your business.
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