Let’s face it.. many of us go into business because we are great at what we do! Whether is shaping bodies, or construction.. we do what we know how to do! At the end of the day, no matter how we choose to make a living, when we go into business, we are in the business of making money! And that my friend is what it’s all about! I learned from the school of hard knocks, then decided to learn to right way! Do what is best for your BUSINESS…
Do you have that client who prefers to pay cash so she can avoid the taxes? I had those and for a while, it worked. Until the day came when i wanted to expand my business and then I finally understood. A business without the proper paper trail is like digging a tunnel without a search light. There are NO safety measures in place, no light at the end of the tunnel and absolutely no way out.
The underground economy is business model that may end up costing you more in the long run. The short term instant gratification of having the money free and clear and in your pocket is short lived. Here are the reasons why invoicing and keeping upfront with your government can bring more rewards in the long run.
I had plans to open my own facility. It was all planned out! The business plan was done, the location was chosen, the equipment was found… All ready to go! True to form, i went to the bank for a business loan and my plans fell through. Not because I wasn’t solvent, but because I wasn’t showing enough yearly sales to support the loan. I knew I had the sales but I couldn’t show for it. I was ill-counseled on that one! In my humble opinion, I was in the business of shaping bodies, of uplifting spirits…. The rest would just follow…
The problems with the underground economy are huge! Here’s what I found out by my lack of knowing…
1 – No paper trail, not insured… the end!
2 – No sales, no buying power.. the end!
3 – No registered income, no benefits.. the end!
4 – No Invoices, no database… the end!
The repercussions to your business is one that may leave your business stunted. Growth in your business is based on numbers and that means a paper trail that is true and filed!
My suggestion to all those of us who are in business for ourselves is this: Be honest with your paper trail, it will be the platform from which you can leap to a stronger position.
Tell me your story, have you had those experiences? what did you learn from it? How does the underground economy impact your sales? I’d love to share with you.