6 Smart Financial Moves You Can Make for Small Business Improvement

Improving efficiency and financial performance is a perpetual quest for enterprises. Small to medium-sized enterprises (SMEs) have an advantage in this regard, as they typically have ample room for innovation in how they manage their financial resources and conduct their operations. 

If you run a small business yourself, here are some of the smart financial strategies that you can employ to navigate the intricate terrain of financial management and foster growth and resilience in your organization.

1.Establish a Detailed Budget

A detailed budget serves as a financial roadmap for businesses. It will provide you with a clear overview of your enterprise’s income and expenses and how your resources are allocated. A well-thought-out budget plan is instrumental in improving your daily operations. This is because it plays a crucial role in preventing overspending, identifying cost-saving opportunities, and making other informed financial decisions.

Creating a detailed budget plan is a process that starts by thoroughly analyzing your small enterprise’s historical financial data. Doing so will enable you to understand spending patterns and revenue streams. Next, regularly revisit and adjust the budget to ensure it remains aligned with your business goals and the current and foreseeable market conditions. If you own a small retail business, for instance, you may use a budget to allocate funds for seasonal inventory, marketing initiatives, and operational expenses. This allows for better control over your finances and empowers you to plan for the long term.

2.Embrace Technology for Financial Management

Leveraging technology is a strategic move to enhance your enterprise’s financial operations. Adopting accounting software, digital invoicing systems, expense tracking tools, and online payment solutions, for starters, can streamline your financial processes. The use of these solutions can help you process transactions while reducing errors in your records and providing you with real-time insights into your operations. This move also facilitates accurate financial reporting and aids in informed decision-making.

Implementing online payment solutions is particularly important because it helps improve cash flow, minimizes delays associated with traditional payment methods, and enhances overall financial agility in a rapidly evolving business landscape. Small business owners like you can explore user-friendly providers and find the best online payment processing company in your specific industry. Maya Business, for one, is an online payment processing company that is well known for Maya Checkout, a third-party payment gateway Shopify- and WooCommerce-based retailers can quickly integrate into their digital stores.

Our online payments gateway makes it easy for businesses to process payments from online customers and to collect data about their transactions. At the same time, though, as your chosen internet payment solutions provider, we offer a diverse range of financial tools that your small business can utilize in-store. Aside from our online payment processing service, we also offer Maya Terminal and Maya Terminal Lite, portable POS terminals that are capable of processing in-store payments made using e-wallets, QR Ph codes, and debit and credit cards. Embracing these technologies ensures efficiency in managing your financial tasks. This, in turn, allows your small businesses to focus more on growth strategies and less on manual administrative work.

3.Build a Positive Relationship with Suppliers

Establishing good relationships with your suppliers can also have a direct impact on your small business's cash flow. Treating your suppliers as valued partners and fostering business relationships that are built on trust can make it much easier for both parties to engage in transparent discussions about pricing structures, terms, and potential cost-saving measures. Being able to negotiate extended payment periods or to secure bulk purchase discounts from suppliers, for example, can contribute to cost savings and improved financial stability for both businesses.

The most effective means of cultivating a mutually beneficial business relationship is ensuring that your suppliers are consistently paid in full and on time. You can use Maya Disbursements to schedule business payments without extra effort on your part. Making consistent payments with the help of this solution highlights your SME's commitment to doing honest business. Keeping an open line of communication will also strengthen your business ties. This will make it more likely for your partners to value a long-term relationship with your enterprise. It can also encourage them to seek win-win situations that allow for sustained collaboration and mutual benefit between your businesses.

4.Implement Cost-Efficient Marketing Strategies

Many small businesses can significantly improve their financial standing by embracing cost-efficient marketing strategies. Instead of allocating large budgets to traditional advertising, your enterprise can focus on digital marketing, social media promotions, content creation, and email campaigns. These approaches often provide a higher return on investment and enable you to reach targeted audiences without hefty expenses.

Make the most of this financial move by conducting market research to understand your audience's preferences and to choose the most effective digital channels for reaching them. If you own a local bakery, for example, then your best option might be to leverage social media platforms to showcase visually appealing content about your products. By optimizing marketing expenses, your small businesses can effectively promote its products or services and ensure a strong market presence without straining your budget.

5.Invest in Employee Training and Efficiency Improvements

Training your employees is a strategic financial move that can lead to improved efficiency and productivity within your small businesses. Well-trained employees are better equipped to handle tasks more accurately and quickly and enhance your enterprise’s overall operational efficiency. Let’s say you’re running a small IT consulting firm. Considering your industry, it might be worth it to invest in training programs to keep your employees updated on the latest technologies and industry trends. Cross-training employees across different roles further creates a flexible workforce and ensures that the business can adapt to changing demands without incurring additional hiring costs.

6.Regularly Review and Update Pricing Strategies

Pricing plays a crucial role in the financial success of a business, and you should make adjustments based on market trends, competition, and cost fluctuations. Small business owners like yourself should conduct regular market analyses, assess your competitors' pricing, and consider any changes in your own cost structure. Employing strategic pricing ensures competitiveness in the market and contributes to sustained revenue generation. By staying adaptable and responsive to market dynamics, your small businesses can maintain profitability and financial viability over the long term.

Empower Your Business with Strategic Financial Decisions

Financial management continues to be a dynamic landscape for small businesses, so you need to make a commitment to improving how you manage your enterprise’s finances to sustain success. Are you ready to implement any of these changes? How about starting with adopting solutions that aim to reduce the cost of the online payment processed by your small business? Maya Business offers hassle-free online payment processing solutions at a minimal cost, allowing your business to deliver seamless transactions without straining your finances,

To maximize your options and keep costs at a minimum, sign up for Maya Business and explore reliable financial solutions that will enable you to offer personalized payments to your online customers. Setting up a Maya Business account lets you take advantage of a Maya Business Deposit account and use it as your settlement account. With an industry-leading 2.5% per annum interest rate, you’ll earn PHP 25,000 in interest per year on a PHP 1 million deposit. Furthermore, you’ll be able to send money to your partners and suppliers for free via InstaPay and PESONet. In addition, signing up qualifies you for a no-collateral Maya Flexi Loan offer of up to PHP 2 million in just 3 months. Just use Maya Business as your primary processor for all wallet and card payments. The more you use Maya Business solutions, the better the loan offer. Sign up for Maya Business today to access tools that will empower your business.