Knowledge of financial issues crucial to keeping your business afloat

11 August 2006 Fleishman Hillard

The failure rate of South African businesses is higher than in many other countries. Yet, entrepreneurial activity is crucial to the growth of our economy and to dealing with the high levels of unemployment.

"We need a concerted effort from all stakeholders to address the underlying reasons for the large number of failed business ventures we see," says Shaun Edmeston, CEO of Biznetwork. "Research shows that there are a number of reasons for business success being a problem. One big factor is the lack of certain business skills and knowledge among people starting new businesses."

"We find that many business owners are particularly weak on financial issues," explains Edmeston. "Proper accounting is often not done and cash-flow problems can be a killer - often there's a great business concept with a willing market but the business fails because cash flow isn't watched properly."

In an effort to address the skills concern among business owners, First National Bank (FNB) launched Biznetwork, which provides beneficial education for the owners of small businesses. The next Biznetwork event will focus on financial issues. "We will be looking at how to budget appropriately, and the value of accurate cash-flow projections for the health of your business," says Edmeston.

The event, which will be held at various Ster-Kinekor cinemas on the morning of Wednesday, 16 August, will feature two leading figures in the finance world, Bryan Hirsh, well-known money marketing specialist, and Greg Fisher, the Chairman of the SA Institute of Chartered Accountants. In addition, a panel of financial experts will answer questions from business owners.

Tickets for the event are R95 and can be purchased via the Ster-Kinekor Ticketline on 082 288 4000. Visit more information.

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