Starting a business is an exciting venture, but without proper financial management, even the best ideas can struggle to stay afloat. Many new business owners make the mistake of focusing only on sales while neglecting key financial processes like tracking invoices, monitoring cash flow, and staying compliant with GST and BAS requirements.

A well-structured accounting system is not just about meeting obligations, it’s about understanding your numbers to make smarter business decisions. Here’s where to focus your efforts and how Tutela Business Solutions can help you stay on track.

Tracking: Income, Expenses, and Invoices

You can’t manage what you don’t measure. Keeping a close eye on income, expenses, and invoices helps prevent cash flow issues and ensures you’re not losing money due to unpaid bills or poor record-keeping.

What You Need to Track:

• Revenue streams: Where is your income coming from, and are all payments accounted for?
• Invoices: Are customers paying on time, or do you have overdue accounts affecting cash flow?
• Expenses: Are you tracking recurring costs like rent, utilities, and software subscriptions?
• Payroll and superannuation: Are all employee payments and entitlements calculated correctly?

Where Businesses Struggle: Many startups rely on spreadsheets or manual tracking, which leads to errors and missed payments. Others forget to follow up on unpaid invoices, causing cash flow gaps.

Tutela can provide expert support, using platforms like Xero to automate invoice tracking, expense recording, and financial reconciliation—so you always know where your money is going.

Measuring: Cash Flow and Profitability

A common mistake among new businesses is assuming that strong sales equal success. However, cash flow is what keeps your business running. If expenses outpace incoming payments, your business can struggle even if revenue looks promising.

Key Metrics to Monitor:

• Cash inflows vs. outflows: Are you bringing in more than you’re spending?
• Outstanding invoices: How much money is still owed to your business?
• Profit margins: Are your pricing and costs sustainable in the long run?

Many new business owners only realise there’s a problem when cash is running low. They may not have visibility over unpaid invoices or might be overspending on unnecessary costs.

Tutela can help you set up in Xero, automate invoice reminders, and generate reports that provide clear financial insights—so you’re never caught off guard.

Analysis: Tax Compliance and Growth Opportunities

Staying compliant with GST, BAS, and payroll tax is essential, but beyond that, businesses also need to assess their financial health to plan for growth.

Key Areas to Analyse:

• BAS lodgments and GST obligations: Are your records up to date for tax reporting?
• Payroll and superannuation compliance: Are you meeting ATO requirements?
• Growth indicators: Can your business afford to hire staff, expand, or invest in new resources?

Many startups underestimate their tax obligations or leave BAS reporting to the last minute, leading to penalties and financial stress. Others lack the financial data needed to make informed growth decisions.

Tutela can ensure your staff payroll and invoices are handled on time, reducing compliance risks. We also provide detailed financial insights so you can confidently plan for the future.

Let’s discuss how we can simplify your business accounting, contact us today.

Disclaimer:
The information provided in this blog post is for general informational purposes only and should not be considered financial advice. It does not take into account your specific business circumstances, financial situation, or objectives.

While every effort has been made to ensure accuracy, the content is not a substitute for professional advice. Before making any financial, tax, or accounting decisions, you should consult a qualified accountant or financial professional.

Tutela Business Solutions and the author of this blog post are not responsible for any decisions made based on the information provided.