If you are launching a new product for your business, it could take you as short as 3 months or as long as 3 years to break even. The same is true if you’re just now starting a business. The break even point is the position where your business enjoys no profit but endures no loss either. You need to identify it in order to better predict your cash inflows and manage your profits. You no longer have to measure […] The post How a break even analysis helps your business finances appeared first on HerBusiness ..read more

Hello. We have been doing a series on ‘How to Double Entry’. If you’re just catching up, it’s a series of templates to guide you on how to maintain your day-to-day business financial records. And why you should opt to maintain records by transactions and not when you receive cash. Please catch up: I – Why You Need to Know II – How to Record Your Cash Transactions III – How to Record Your Credit Transactions IV – Why you […] The post How to Double Entry: Reviewing your financial records appeared first on HerBusiness ..read more

When you think of accounting, you probably remember boring work that leaves you listless. This administrative duty also leaves you unavailable for the weekend break you’ve deserved for a long time. Yeah, it helps you understand how your business has been performing. That’s really great if your business is making as much money as you want. Seeing lots of zero ironically motivates entrepreneurs. But is accounting of value to you when things turn South? In what ways does accounting in […] The post How good accounting helps your business make more money appeared first on HerBusiness ..read more

Chamas are a good concept. When people pool money in a chama they are usually trying to answer questions of saving and investing. For many, though, this concept is like Communism. It works great on paper but is a total disaster in real life. Do you feel like Chamas are outdated? Chamas are globally associated with Kenyan women. Unfortunately, they are plagued by mismanagement. You may have been in one and understand all too well. If not, you could end […] The post Chamas can work appeared first on HerBusiness ..read more

Any business of any size needs to establish the long term path the enterprise is set to tread, in the eyes of the owner (s). Setting a small business strategy in Kenya, though, is not as simple. Everybody knows the importance of establishing the future they want. It’s not limited to entrepreneurship. If you outline your goals, you’re not only able to measure yourself against something but also put in required effort towards that goal. I have been told a […] The post Why your small business strategy is not working appeared first on HerBusiness ..read more

One of the administrative tasks you are supposed to be involved in, as an entrepreneur, is preparing financial forecasts. But many are discouraged because actual business performance ends up varying wildly from the estimates they came up with. The financial forecasts you arrive at can be closer to the real thing, if you follow some common best-practices that we’ve listed for you. Its importance is that enables you plan and have contingencies for a range of eventualities. Planning is really […] The post 7 practices you should follow when making financial forecasts appeared first on HerBusiness ..read more

An interesting question is usually asked about how, Facebook Founder, Mark Zuckerberg was able to attract investors. The question can be framed for our local context. Do you come up with a business idea so good that investors cannot say no? Do your connection, in the end, determine whether you get that angel investor? Which is the way to attract investors? On his part, Zuckerberg attributes his success to luck – “You don’t get to be successful like this just […] The post 7 ways women entrepreneurs in Kenya can attract investors too appeared first on HerBusiness ..read more

Been lazy the last week, but I have been answering most of your questions on twitter. Keep engaging, I learn from you every day. I had mentioned that we would talk about branding this week. Last time out, I wrote about how I had to jump through hoops just to get a business license in Nairobi. You can get to that if you missed it! However, the majority of you have been asking me to write about where to find […] The post #HerDiary: Are there affordable manufacturing spaces for entrepreneurs in Kenya? appeared first on HerBusiness ..read more

Many small businesses in Kenya handle inventory. Though, this is not always done in the best form. Since inventory is closely tied to the day-to-day operations of your business, its influence on whether you make profit or not cannot be understated. You need to stock up so you can have something to sale. Perhaps, you’re a manufacturer and need a concoction of raw materials to make your final product for sale. It’s all same. You can gain even more if […] The post How to strike the right balance in managing your inventory appeared first on HerBusiness ..read more

There is always the talk on being income rich but asset poor. It’s a different ball game in your personal finance, which we may or may not talk about, compared to when it comes to a business. If you want to maintain liquidity in your business, the first thing you must do is not confuse profit with a positive cash flow position. Cash inflow only mean that you have money to operate the next day and this is the most […] The post 5 ways to maintain liquidity in your business appeared first on HerBusiness ..read more