Here’s a brief roundup of the key headlines from the chancellor’s first Budget:
The state of the economy
- UK second-fastest growing economy in the G7 in 2016.
- Growth forecast for 2017 upgraded from 1.4% to 2%.
- But GDP downgraded to 1.6%, 1.7%, 1.9% in subsequent years, then 2% in 2021-22.
- Inflation forecast to rise to 2.4% in 2017-18 before falling to 2.3% and 2.0% in subsequent years.
- A further 650,000 people expected to be in employment by 2021.
- Annual borrowing £51.7bn in 2016-17, £16.4bn lower than forecast. Borrowing forecast to total £58.3bn in 2017-18, £40.6bn in 2018-19, £21.4bn in 2019-20 and £20.6bn in 2020-21.
- Public sector net borrowing forecast to fall from 3.8% of GDP last year to 2.6% this year, then 2.9%, 1.9%, 1% and 0.9% in subsequent years, reaching 0.7% in 2021-22.
- Debt rose to 86.6% this year, but will fall to 79.8% in 2021-22.
We truly believe that a healthy body and mind can directly affect how your work, your productivity and how your business grows. That’s why we were impressed to see Xero’s 2017 second annual Make or Break report, where research revealed that 78% of small business owners believed their personal well-being (as well as that of their employees) is inextricably linked to the health of their business. As a result, they make their health and happiness a top priority.
As a business owner there will come a time where you have to think about taking that next step to keep your business growing.
You’re thrilled – business is going great! But you’ve reached capacity in your business and taking on another client will threaten your ability to provide good & consistent results. The dilemma is you do not want to turn the work away, you want your business to grow and have the opportunity to improve profitability. So you’re thinking about employing more staff which may mean a bigger office, increase in employee related costs, additional IT equipment, company vehicles, machinery etc etc – growing the business then starts to seem quite scary and a bit of a burden.
With the new tax year approaching, it’s the perfect opportunity to make the switch to the cloud. Whether you manage your business finances via spreadsheet, desktop software or via an outsourced bookkeeper… Xero accounting software can get your business finances organised and accessible anywhere, anytime and by anyone that you authorise.
Xero is business owner focused software – no grey text, endless lists of numbers and confusing menu’s, just simple and easy to understand graphics and reports (see example below using Xero’s demo company).
We often receive lovely feedback on our choice of business name and branding.
In truth, it’s something that took quite some time, discussion and many cups of coffee to help us finalise and make our decision. We thought it might be beneficial to share with you how we come about our name as it may inspire or support new startups in deciding theirs.