7 Easy Tips of How to Manage Small Business Finances?

How To Manage Your Small Business Finances On The Go

by | posted in: Small Business | 0

Running a business isn’t just about coming up with innovative ideas and disrupting the market. You have to manage a team, balance inventory and keep an eye on your finances. Managing finances is a challenge for all entrepreneurs. 61% of small business owners find it hard to manage cash flow and nearly one-third experience cash flow issues that make it hard to pay vendors, loans or their employees. 

To a large extent, knowing how to manage business finances will determine your brand’s success. So, here are a few tips that can help.

7 Simple Tips to Manage Your Small Business Finances

  1. Control Operational Costs
  2. Invest in Growth
  3. Develop Innovative Billing Strategies
  4. Distribute Tax Payments
  5. Don’t Be Afraid of Loans
  6. Distinguish Between Personal And Business Finances
  7. Find The Right Financial Tool

 

The Office Pass South Delhi
The Office Pass (TOP) Coworking Space in Delhi

1. Control Operational Costs

Start by creating a budget. You know the funds available to you so divide that amongst your expected expenditures. Include your business fixed costs like the office rental space, etc and variable costs. Having a structured budget will help you identify ways to save money as well as unnecessary expenditures. 

Take your office space rental for example. Let’s say your team currently has 10 employees but you’re expecting to grow and have an office that could seat 20. To control this expense, you could move your operations to a coworking office space. 

Lease only as much desk space as you require and scale up your space requirements to match your team growth. When you put the figures down on paper, you’ll see how this small change can make a big difference to your overall budget. 

2. Invest in Growth

When it comes to understanding finance in business, you must know where to save and where to invest. Lowering rental expenses is a great idea but lowering your budget for salaries is not. Your team is your biggest asset and their growth is the company’s growth. 

Every small business finance budget must keep funds aside for research into product innovation, improving the level of customer service, etc. This gives employees and customers faith in the company and generates goodwill.

3. Develop Innovative Billing Strategies

When you’re learning how to manage finances, one of your biggest challenges will be getting payments from certain customers. You’ll always have clients who are consistently late. This affects your cash flow and day-to-day operations. Sending them duplicate invoices and calling them every day may not work. Hence, you need to come up with creative ways to get them to make timely payments. 

You could look into changing your payment terms to receive full payment in advance or start charging late fees. You can also incentivize on-time payments by offering customers a small discount for payment within a stipulated time.

Grow Your Business Fast with Coworking Spaces

4. Distribute Tax Payments

Budgeting for taxes is one of the features of business finance management. Taxes are usually payable every quarter but you might find it difficult to make these lumpsum payments. 

Not paying your taxes on time is bad for the company’s reputation and could put you at risk of paying additional penalties. Instead, maybe you could spread your tax payments throughout the 12 months so it becomes a monthly expense. 

5. Don’t Be Afraid of Loans

The thought of taking out a loan is scary for most people. You don’t have to think about just paying back the principal loan amount but also the interest that accumulates on it. But, it doesn’t have to be this way. The capital obtained through loans can be critical to your company’s growth. 

You may need it to purchase new equipment or increase your inventory or expand your team. In lean periods, you may need a loan simply to maintain cash flow and make payments on time.

Don’t be afraid of loans but be aware and careful about taking a loan. Look for loans at competitive interest rates and hassle-free application processes. Once your loan is disbursed, be disciplined about paying it back. 

6. Distinguish Between Personal And Business Finances

One of the main reasons why there is a need of business finance knowledge is because many people tie up their personal accounts with their business accounts. Irrespective of the size of your business and team, you must separate your business and personal finances. This means having separate accounts to begin with. Make sure you give yourself a salary just like any other employee. 

If you don’t maintain separate accounts, you risk overspending on both fronts. It makes your account balancing harder and you might also find it difficult to claim tax deductions for business-related expenses.

7. Find The Right Financial Tool

Managing a business and finance takes time and effort. Balancing credits and debits can be confusing especially today when your team may be spread across locations. The good news is that there are many financial tools and apps you can use. They help you track budgets and expenses even when you’re on the go. You can use apps for invoicing, data capturing, accounting, payment transfers, etc.  

In Conclusion

Managing finances is an important part of running any business. You need to have full control and visibility over all your expenditures. Wherever possible, minimize expenditures. Switching from an independent office where you need to pay expensive monthly rentals and bear the cost of operational expenditures to working from a coworking space where you can lease affordable all-inclusive desk space is one of the many ways to do so. 

The Office Pass (TOP) has shared office spaces in Delhi, Noida and Gurgaon. Each coworking office is easily accessible, air-conditioned, fully furnished, equipped with a range of productivity tools and frequented by a vibrant community of freelancers, budding entrepreneurs, small business owners and remote workers. To know more, reach out to us at +91 89998 28282.

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The Office Pass Plans To Open 2 New Neighborhood Coworking Spaces Before Diwali

The Office Pass (TOP) Plans To Open 2 New Neighborhood Coworking Spaces Before Diwali

by | posted in: Coworking Spaces | 0

Gurugram, 30th August 2022: Neighborhood Coworking operator The Office Pass (TOP), which currently runs 12 Coworking offices in Delhi and NCR region, plans to open 2 new offices in the city before Diwali. This expansion is a result of strong demand for flexible workspace post covid. Companies and employees want to work in an office space close to their residence / business and that is creating a tailwind for Neighborhood small office format. This expansion will strengthen TOPs dominant position further and will make it the largest Coworking operator in Delhi NCR with 14 offices.

Coworking Space in Sector 3, Noida

  • To open the first office in Sept 2022 and the second in Oct 2022 around Diwali
  • TOP will become the only Coworking operator to have 14 Coworking offices in Delhi and NCR region 

The first office will be launched in September 2022 at Sector 3, Noida (walking distance from Sector 16 metro station). This will be followed by the second office at Unitech Cyber Park, Sec 39, Gurgaon (near HUDA City Centre metro station). The latter will be launched in October 2022 around the festival of Diwali. They will have a combined capacity of over 650 seats.

“As companies move away from traditional leases and people prefer to work from an office close to their place of residence, we are experiencing good demand for our Neighborhood Coworking model. This has encouraged us to scale faster. If there are no covid related disruptions & business sentiment remains unaffected by the impending global slowdown, we hope to open one new Coworking office every 45 – 60 days,” said Mr Aditya Verma, Founder & CEO, The Office Pass (TOP).

Last year has been extremely healthy for the Coworking industry. TOP’s revenue in FY’22 grew by 135% and the business turned EBDITA positive (in spite of many Covid related disruptions). The company expects an even stronger growth in FY’23.

Commenting on the company’s expansion Brijesh Damodaran, Partner, Auxano Capital one of the early investors in The Office Pass (TOP) said, “TOP is the first player in the Neighbourhood Coworking space and today it’s a market leader in this space. Managing the working capital efficiently along with being diligent in identifying new office spaces has been its USP. Increasing its geographical reach outside of NCR is the next big step for TOP and 2022 should see this in action.”

TOP’s 12 existing offices (10 in Gurgaon and one each in Noida and South Delhi) are running at over 90% occupancy. The company hopes to achieve break-even in the new offices within 3-4 months of their respective launch.

“The current growth in the Coworking business is driven by four key factors. Firstly, new companies are opting for flexible workspaces over traditional leases. Secondly, there is headcount expansion among existing customers. Next, Coworking operators like TOP are able to pass on an economic benefit to corporates that helps them lower their office operational expenses by 18-22%. Finally, less competitive intensity in the Coworking segment post covid. Many of these factors will continue to be in play over the next 12-18 months,” added Aditya.

Office Space in Sector 3 Noida

The Indian flex space market has seen huge growth over the last few years. It is still very early days for Coworking players. It is pertinent to note is that the current flex market penetration in total office stock stands at approximately 3.5%.  According to JLL’s office market report, India’s average penetration rate for the top seven cities could reach around the 4.0-4.5% mark over the next two years.

The demand for flexible workspace was largely driven by freelancers and start-ups in 2015-2019. However, post COVID, organisations of all sizes have developed a fancy for this format. Going forward the demand will be largely driven by small to mid-sized companies and large companies and MNCs using Coworking for their distributed / hybrid office formats.

About The Office Pass (TOP)

The Office Pass (TOP) is a technology driven Neighbourhood Coworking & Managed Office space provider. TOP is the only Coworking & Managed Spaces Company in India that promotes #Walk-to-Work. TOP’s vision is to have multiple Coworking offices spread across the city. TOP offices are located in CBD areas and around residential Neighbourhoods, so one can find the nearest office in less than 10 minutes. You can think of TOP as a convenient store for Coworking (like 7-ELEVEN).

TOP currently runs 12 offices across Gurgaon, Noida and Delhi. 127 mid to large size companies are using TOP Coworking and Managed office services. The company plans to open over 50 Neighbourhood offices over the next 2 years with presence in multiple cities across India.

To learn more, visit www.theofficepass.com and follow TOP on LinkedIN, Facebook and Twitter.

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5 Reasons Why Coworking Future Looks Bright With Hybrid Work?

Coworking Future Looks Bright With Hybrid Work

by | posted in: Coworking | 0

When people look for a job, flexibility is one of the highest-ranking criteria. After proving that their physical presence in an employer-controlled office isn’t linked to their productivity, employees are not keen on reverting to traditional work styles. 43% of respondents to a survey actually said that flexible working hours helped them be more productive.

While most employers aren’t keen on maintaining a WFH policy, they are open to the idea of a hybrid workspace. The key here is to give employees a structured yet convenient place to work from. Coworking spaces provide the balance between employees and employers expectations and hence, the coworking space future too looks bright. Here’s why:

5 Reasons Why Coworking Future Looks Bright With Hybrid Work?

  1. Leveraging A Coworking Office Space Optimizes Costs
  2. Coworking Offices Maintain A Professional Environment
  3. Coworking Spaces Have All The Required Infrastructure
  4. Desks Can Be Leased For As Little As A Day
  5. Coworking Spaces Allow Workers To Set Their Schedules

1. Leveraging A Coworking Office Space Optimizes Costs

For corporates, the switch to a hybrid working style helps lower costs. The corporate office is not likely to be at full strength at any given point in time. Hence, the space required is lower. Smaller offices mean lower rents. If the employees were to work from home, the company may need to reimburse them for the cost of setting up a home office, higher speed internet, etc. the cost may not be much for one individual but can add up to quite a bit depending on team size.

On the other hand, coworking space leases have an all-inclusive cost. This is much lower than the cost of renting a traditional corporate office. Further, choosing a coworking space close to an employee’s residence reduces the cost and time associated with commuting.

2. Coworking Offices Maintain A Professional Environment

When employees work from home, they’re faced with constant distractions. A survey found that 38% of remote workers struggled with finding a suitable workspace. Working from the bedroom puts employees at risk of back issues and makes it hard to stay focussed on working while working from the dining table opens one up to constant distractions. Childcare responsibilities were cited as a challenge by 22% of the survey respondents.

Source: Ipsos

On the other hand, a coworking space is designed specifically for working professionals. Each member gets his or her own desk space. There are no distractions of children asking for snacks, maids wanting instructions, etc. There’s no chance of having a 5-minute break turn into a binge-watching session either. When an employee feels distracted, one looks around to see everyone else focussed on their work can help bring him or her back on track.

3. Coworking Spaces Have All The Required Infrastructure

One of the issues with hybrid corporate shifts is making sure that employees have the infrastructure required to stay productive when they’re working from outside the office. This ranges from the basics like an ergonomic desk and chair to hi-speed internet and video conferencing equipment. For most employees, a laptop and a printer are the limits of the infrastructure they have available at home.

A survey saw slow internet speed and connectivity are listed as major challenges by 52% of the respondents. Unreliable connectivity affects the WFH employee’s ability to participate in online meetings and collaborate with their teams.

Since coworking spaces are designed for remote workers, they are fully furnished and equipped with all the productivity-related infrastructure that may be required. From hi-speed Wi-Fi connections to audio-visual equipment for hosting presentations, a coworking member gets access to it all.

The choice of flexible seating options further enhances productivity. When they need to work in a team, they can sit together at a community desk or book a meeting room. And, when they don’t want to be disturbed, they can pick a seat away from everyone else.

4. Desks Can Be Leased For As Little As A Day

The Hybrid work style is all about flexibility and coworking spaces celebrate this notion. There’s flexibility built into every aspect of their operations. It starts with shorter leases. Rather than force companies to rent out space for years at a time, coworking spaces give them the flexibility to lease as many desks for as much time as required.

Let’s say there’s a task that requires a team of 5 employees to work together for a week. While they may otherwise work from different locations, they can lease shared desk space for the duration of the project.

This is helpful especially for growing companies that may need 5 desks today and 10 desks tomorrow. It is also helpful for companies with employees who need to travel frequently.

5. Coworking Spaces Allow Workers To Set Their Schedules

The main reason for adopting a hybrid work style is to improve productivity. A study found that coworking spaces help improve productivity for corporates.

Coworking Spaces Allow Workers To Set Their Schedules

Source: Otter

Corporate offices typically start at a set time and remain open to a particular time. The trouble is, that people feel energized and productive at different times of the day that may extend beyond office timings. Someone may like to start their day early but because of the office timings they have to waste their most productive hours.

Coworking spaces are designed for freelancers, entrepreneurs and remote workers. Recognizing that everyone has different work styles and timings, these offices are open for much longer. You might even find some coworking spaces that are open 24X7. This doesn’t mean that you must expect your employees to be at work all day and all night!

In Conclusion

Coworking and a hybrid working style seem to go hand in hand. Of course, to maximise the benefits of the system, you need to choose the right coworking space. 

You need a coworking space that fits your budget but more importantly is easily accessible, well laid out and equipped with the necessary infrastructure. It should have a community that you want to be part of. 

The Office Pass (TOP) has several such coworking spaces in Delhi, Noida and Gurgaon. Whether you need a desk for 20 people or 100 or more, we have the perfect solution for you. To know more, reach out to the team at 08999 828282.

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6 Awesome Benefits of Community for Entrepreneurs You Should Know

6 Amazing Benefits Of A Community For Entrepreneurs

by | posted in: Entrepreneur | 0

Entrepreneurship is as exciting as it is challenging. It takes grit to stay focussed on building a brand when faced with hurdle after hurdle. It doesn’t help to know that 20% of new ventures don’t make it past the 1-year mark. What does help is having the right people with you. 

As an entrepreneur, you must surround yourself with people you can learn from, people who think differently and people who push you to do more. The best place to find such a community for entrepreneurs is in a coworking space.

Working out of a shared office space isn’t just about being cost-effective, it also helps you build a community you can rely on. Let’s take a look at the top 7 benefits of community for entrepreneurs.

6 Amazing Benefits Of A Community For Entrepreneurs

6 Top Benefits of Community for Entrepreneurs

  1. Ideating
  2. Networking
  3. Learning new skills
  4. Learning From Other Entrepreneur’s Mistakes
  5. Business Opportunities
  6. Emotional Support

1. Ideating

There’s a limit to the ideas one mind can come up with. But, when you discuss an issue or a challenge with someone else, you can brainstorm many more solutions. You get to see a challenge from different points of view and visualize solutions you missed out on earlier. You can refine your thought process too. 

One of the good things about being in a coworking space is that apart from brainstorming on your own, these spaces also often hold after-work events where you can talk about your ideas with fellow coworking members and get their insights. 

2. Networking

Business executives told a survey that they would lose 28% of their business if they did not network. Having a strong network is critical to an entrepreneur’s success. The people in your network will help you overcome challenges, prop you up when you’re feeling disheartened, help you promote your business and more. 

Networking doesn’t come easy to everyone. Some people are more reserved than others. The good part of being in a coworking space is that there are all kinds of people here and the space layout encourages interaction. If you’re the shy kind, you may find a more confident fellow entrepreneur to make introductions and help you expand your network. 

3. Learning New Skills

As an entrepreneur, no matter how much of an expert you think you are, you must be open to learning from the people around you. You can gain theoretical knowledge from your community or pick up new skills. 

For example, the graphic designer sitting next to you could teach you a few shortcuts that make your image editing quicker. 

As part of a community, you can also learn tips and tricks for running a new venture with limited resources. Someone may tell you about a website where you can get free icons for your presentations while another person could introduce you to a scheduler that helps with time management.

4. Learning From Other Entrepreneur’s Mistakes

Warren Buffet is right, “It’s good to learn from your mistakes. It’s better to learn from other people’s mistakes.” When you’re part of a community in a coworking office you get to see how other entrepreneurs operate. You get to understand what happens behind the scenes and see what works and what doesn’t.

Most entrepreneurs are open to discussing their ventures and are honest about their successes and failures. 

Learning from the mistakes of others is a great way to avoid similar pitfalls in your venture. At times, it may inspire you to find variations to their idea that suits your business.

15 Biggest Problems Faced by Entrepreneurs in India While Starting a Startup in 2023

5. Business Opportunities

One of the key advantages of community for business owners is that it opens doors to new business opportunities. Let’s say your brand develops pens and you meet a fellow entrepreneur with a brand that sells ink. Both brands could partner to market the other’s product to their audience in a newsletter.

When you’re part of a community, you want to help others succeed just as much as you want to see success yourself. Hence, if a community member comes across a contact who could benefit from a service offered by someone they know, they will happily make a recommendation. The more active you are in your community, the more business opportunities you will find.

6. Emotional Support

When you talk to employed people as an entrepreneur, they see only the glamorous side of this life. It’s hard finding people who understand the trials that come along with choosing to build a brand from scratch. The people who are sure to understand you are people who’ve been through something similar – other entrepreneurs. 

Connecting with other entrepreneurs gives you a positive outlook and helps you persevere towards your goal even when times are tough. It also helps build a healthy work environment. Talking to someone who can give you emotional support when you’re stressed out can put your mind at ease.  

In Conclusion

Behind every entrepreneur’s success story is a community that supports him/her. As mentioned earlier, the simplest way to find a community of like-minded people is by getting a seat in a coworking space. These spaces bring together individuals from varied industries at different points in their careers. 

If you want to choose the right coworking space in Delhi, Noida or Gurgaon, you should consider the coworking spaces offered by The Office Pass (TOP). Fully furnished, equipped with a range of productivity tools and popular with entrepreneurs and remote corporate workers, these spaces are just what you need. To know more, reach out to us at +91 89998 28282.

BOOK A COWORKING TOUR