The quickest way to kill a business is to stifle cash flow. So, would you say your accountant or your bank manager is the most important financial relationship?
With online accounting packages like Xero now the standard, has this increased the need for financial literacy? Financial logic can be a bit perverse sometimes, you can be running profitably but get into trouble without cash flow. What are your metrics of a healthy studio, what do you track?
Death and taxes. The landscape has changed a little with third parties like TMNZ. What tax advice would you give to someone starting up.
Can you be over insured? What about professional indemnity, business continuity, public liability?
How do you go about forecasts and budgets… is it guess work, a goal or a scientific process?
What’s a good rule of thumb for a profit margin?
It’s a big question but how to you go about costing? How do you set your rates?
How do you manage your debtors?
We’ve talked about bank managers and accountants, the third relationship is surely with your landlord. As the next largest overhead after wages, rent can be a killer. How have you negotiated in the past? What are key considerations?