Money is the lifeblood of your business so small and medium sized businesses are often considered vulnerable due to their size. Monitoring your financial accounts, combined with forecasting and planning will help you identify potential opportunities and threats that could affect your business.

The main financial aspects to look after are:

• liquidity - this is the money that goes in and out of the company so you can pay the bills and wages
• profitability - so you can reinvest in the growth of the company and have surplus left over for yourself.