How to Write a Simple Coffee Shop Business Plan

Accepting payments, managing your finances, and paying recipients should be simple. Unfortunately, this isn’t always the case. Our research shows the majority of Australian business owners are dissatisfied with their business banking. The truth is, most merchant services solutions aren’t built to help your business thrive. That’s where Zeller comes in. Today, we’re launching Zeller — giving Australian merchants affordable, accessible, and innovative tools that enable businesses to get paid, access their money, and manage cash flow — without ever having to set foot inside a bank. We’re reimagining business banking through powerful new technology, backed up by local support and personalised service. An innovative SME alternative to business banking “Innovative” isn’t a word usually heard in the context of merchant services. Finding integrated financial solutions to grow and support your business often requires you to weave together multiple products from different providers, which typically means longer processing times, more paperwork, and a more frustrating experience. Large enterprises benefit from financial solutions tailored to their specific needs; traditional banks have shown that they’re more than willing to pour resources into supporting big business. However, this comes at a cost to the everyday Aussies behind our small to medium sized businesses. SME owners are typically forced to fit the traditional banking mold, suffering through archaic onboarding processes only to be hit with high fees, lock-in contracts, and slow processing times when the paperwork is complete. For new business owners, this can present what seems like an insurmountable hurdle to starting and growing a venture. With 67% of businesses stating they would prefer a non-Big 4 bank, it’s clear that Australian business banking is fundamentally broken. A lack of innovation from the incumbents means merchants like you are overlooked and underserved, at a time when they should be thriving. Businesses need new tools, technology, and support to grow. And that’s why we built Zeller. What’s in the box Zeller is all-in-one payments and finance solution for Australian businesses. It helps to accelerate your business cash flow by giving you a next-generation EFTPOS terminal, a free business transaction account, and free business Mastercard, all in one box. 1. Zeller Terminal Our research revealed that 71% of business owners using clunky EFTPOS terminals regularly consider switching providers. High costs and expensive fees, slow deposits that impact cash flow, and a lack of local support are all common reasons for businesses looking to switch. The majority of Australian business owners are dissatisfied with outdated EFTPOS technology currently on the market. Zeller Terminal is an all-in-one card payment and EFTPOS solution. Our next-gen payment terminal allows you to accept every payment from every customer – Zeller Terminal accepts contactless devices, contactless cards, chip cards, magstripe cards, and will soon also accept alternative payment methods such as Alipay and ZipPay. As new payment methods continue to emerge and shape the way Australians pay for products and services, Zeller Terminal will adapt to support Australian businesses to grow. Read more about Zeller Terminal . 2. Zeller Transaction Account We understand that being able to effectively manage and access your cash flow is key to the long-term survival of your business.  That’s why we make sure your funds are available as quickly as possible after taking payment from a customer. Zeller Transaction Account is included free when you sign up for Zeller. Your account is instantly ready to use, giving you real-time visibility over your settlements and spending — no lengthy paperwork required. When you take payment through Zeller Terminal, funds are settled directly into your free Zeller Transaction Account within the day. You also have the option of sweeping your funds into any existing bank account, and they’ll be accessible as soon as your bank allows. Read more about Zeller Transaction Account . 3. Zeller Mastercard By giving you the tools to accept payments, store and settle funds, and spend your money, we're significantly reducing the time it takes for you to get access to your funds. According to the Australian Bureau of Statistics, more than 60% of small businesses close within their first three years — and the most cited cause for business failure is poor cash flow. As a business owner, fast access to your funds to pay your staff, suppliers, or buy product, is imperative. Read more about Zeller Mastercard . By seamlessly combining these services into a fully integrated solution, Zeller significantly reduces the time businesses spend on finding a merchant services provider, completing lengthy applications, getting set up, and connecting disparate payments and financial services solutions — all while speeding up your business’s cash flow. Watch the video to see how Zeller works in more detail. Your business, your way Merchant services should work the way your business needs, allowing you to pick and choose the business banking products you need to sustain and grow a profitable business. With Zeller, you have the option to choose the parts you need – Zeller Terminal, Zeller Transaction Account, and Zeller Mastercard work just as powerfully together as an integrated solution as they do alongside your existing products. Learn more about our EFTPOS machines and how our newly launched products are changing business banking for the better.

Cash flow is the beating heart of business. A healthy cash flow circulates enough money to pay bills, compensate staff, fulfill invoices, and invest in future growth. Cash flow is critical to business success; lack of cash flow is one of the main reasons 50% of Australian SMEs go out of operation in the first three years. Without it, a business is likely to end up on the wrong side of the statistic. Yet while owners are growing increasingly aware that reliable access to available funds is the key to a successful business, 46% of small businesses remain cash flow negative — meaning more money is flowing out the door than coming in. Keep reading to understand the basics of cash flow, cash flow management and tips to improve your own business’s cash flow. What is cash flow? The term “cash flow” refers to the net money going in and out of your business. Ideally, it should be positive — as this gives you more room to pay bills, staff and invoices without seeking loans, adding further interest to your outflow. For this reason, a business’s ability to manage its cash flow typically determines its likelihood of success. What causes a negative cash flow? A big contributor to poor cash flow is late payments — when customers don’t pay their invoices in time, it inhibits your ability to invest, grow and employ . However, a more unsuspecting contributor to poor cash flow is slow access to the money your customers pay for your products or services. A delay in accessing your funds is usually a result of mixing and matching your EFTPOS provider and bank, creating a costly lag after every purchase. This delay can eventually lead businesses into a debt trap, as they’re forced to take out loans to ensure access to cash. What is sales revenue vs cash flow? Sales revenue is the amount of money earned from the sale of a business's goods or services. For example, when a bookstore sells a book for $45, this entire figure counts towards the store’s sales revenue. It is the total, gross amount of money coming into the business through sales. Cash flow, on the other hand, refers to the money going in and out of a business. It includes money that flows into the business in other ways, beyond sales. For this reason, sales revenue is an indicator of sales and marketing success, while the latter refers to a business's overall health because it indicates liquidity. Sales revenue and cash flow are both important figures to track; without them, it’s impossible to gauge the success of a business and make informed decisions. What is break-even point and how is it calculated? The point where your business breaks even is when your profit is zero and your cash flow is neutral. This means your sales revenue covers all of your outgoing expenses and your business can stay afloat without being propped up by cash loans. It’s from this point that a profit can start being made. There’s a simple formula you can use to calculate your business’ approximate break-even point — this will tell you the minimum number of sales your business needs to make to avoid a negative cash flow. Calculating your break-even point is also a useful way to understand the timing between getting paid and paying your own bills. You don’t want to be taking out a cash loan in order to pay suppliers and staff salaries purely because your funds are yet to be processed. For this reason, quick access to your takings is key. How to improve cash flow from operations? There are a number of ways you can feed your cash flow and maximise your liquidity. Take on-the-spot payments Service businesses often bear the brunt of delayed payments because they don’t have the ability to accept payment upon completion of a job, putting them at the behest of the customer — which automatically delays the inflow of revenue. A mobile EFTPOS terminal that allows you to take payments on the spot will help bridge that gap, meaning you don’t have to return to the office to invoice a customer — then chase up late payments. Add a surcharge Another way you can instantly up your cash flow is to pass your transaction fees to your customers via a surcharge. If you use the Zeller Terminal, this is something you can opt to do with every transaction — giving you access to more funds that you can then invest into advertising, product improvements or lower prices. Offer more ways to pay Something as simple as accepting new payment methods as they grow in popularity can open you up to a wealth of new customers. Plus, you won’t be reliant on a single source of funds throughout the month, minimising the risk of extended cashless periods. The Zeller Terminal allows you to accept payments via contactless devices and cards, chip and magstripe cards, and QR codes. Plus, you only pay a flat, low fee of just 1.4% per tapped, dipped or swiped transaction for every card type. How to manage personal cash flow? A good way of managing your business’s cash flow is by first mastering your personal cash flow . This means understanding your monthly earnings, setting realistic goals, budgeting for adequate spending, setting up auto-payments around payday, having emergency funds in place for unforeseen expenses, and siphoning off your surplus into a savings account. What's the easiest way to speed up cash flow? Achieving a positive cash flow is an integral step on the way to business success. Choosing a comprehensive payments solution like Zeller can help get you there. Access to cash will come sooner thanks to seamless connectivity between your EFTPOS Terminal , merchant account and business Mastercard . Plus, it all comes in the one box. Improving your cash flow couldn’t be more simple.

Every successful business needs a budget. Running a small business with great success often hinges on executing a well-curated business plan. One of the most crucial elements of small business finance and an effective business plan is implementing a solid budget. When you take time to create a financial roadmap for your business, it will serve to navigate you through each financial year so you don’t end up in financial stress. A good budget plan will keep you organised and help you make savvy financial decisions that benefit your business. It’s important, however, that you know how to avoid some of the most common budgeting mistakes that land small businesses in hot water. In this article, we will explore what these mistakes are and how you can avoid them. Mistake 1: Reusing last year’s budget plan Many business owners allocate time to review their budget and plan for the year ahead just before the start of the new financial year. While it’s normal to use your existing budget as a guide for establishing the next one, be careful not to cut corners by simply reusing the last plan as your new budget plan. It may seem convenient and time-saving, but in the long run this strategy is unlikely to be advantageous to your business. In the space of an entire year, your business has evolved, for better or worse, and has been exposed to a different financial climate. From pandemics, to recessions and even natural disasters, there are a range of influences that need to be taken into account each financial year. Spending habits shift in this period too. You may have more or fewer expenses, or a larger or smaller income. All these factors need to be considered in your upcoming budget plan in order to maintain an accurate and realistic budget that is relevant to your current situation. Knowing the nuances will help you determine where you can cut the fat to increase your profit margins. When putting together a new budget it’s a must to analyse last year’s plan, but ensure you update it adequately to reflect your current business circumstances, rather than replicate it entirely. Mistake 2: No business strategy A budget is important, but without a solid business plan in place you’re flying blind. A business plan is the path that leads to your growth, where you outline your business goals and map out the steps you need to take to achieve them. You’ll also determine how much money you need to spend to reach your goals. If you want to refresh your business strategy or are just getting your business started and aren’t sure how to create a business plan, read our guide on How to Write a Business Plan . Mistake 3: Low prices Many new business owners are keen to get the edge over their competitors. One way they attempt to attract customers is by beating their local competition on price. If you already have tight profit margins, then this strategy is going to cause your business financial strain. Not only that, but you might find customers avoid you if they view your prices as being indicative of the quality of your products or services. If you’re re-thinking your prices or just getting your business started and aren’t sure how to set your prices, read our blog on Retail Pricing Strategies . Mistake 4: Spending too much, too soon Starting up a new business takes a lot of time and energy. When money does begin to come in, it’s exciting — your hard work is paying off. It can be tempting to start spending money as soon as you start receiving revenue. However, it is often a wise move to spend slowly and focus on building up a financial buffer first. Reinvesting is a good business strategy, but prioritising debts like business loan repayments and establishing an emergency fund will keep your business in a strong position. Mistake 5: Underestimating expenses When it comes to small business finance, expenses can stack up at an alarming rate. Don’t underestimate these costs. Be realistic with your budget forecast and ensure you keep track of all your upcoming expenses and any price changes that could be on the horizon, such as changes to the cost of: materials rent labour travel advertising equipment shipping, and more. If you want to save money, examine all your expenses and look for reasonable ways you can do it for less. For example, a portion of your takings will go to merchant fees. Some merchant services providers charge variable transaction fees, depending on the card used by the customer. That makes it difficult to forecast your transaction fees at any point in time, meaning you’ll probably be paying more than you expect. Zeller Terminal accepts every card payment for one low fee of 1.4%, whether tapped, dipper or swiped. There are no hidden charges or fees, so you won’t find any nasty surprises in your merchant statement . Mistake 6: Slow cash flow Late invoice payments negatively affect your cash flow. It reduces your own ability to pay bills and suppliers, and can leave you in a pile of debt. When you’re creating your budget, keep an eye on the patterns of your cash flow and how they influence your business performance. If you find yourself paying for products well in advance of the date that your customers purchase them or pay your invoices for them, then you will need to plan accordingly to cover yourself for these in-between periods. Struggling with customers that don’t pay on time? Read The True Cost of Late Payments (and How to Reduce it) . Mistake 7: A one-sided plan When creating a business budget, it’s necessary to cover all the angles. To be fully prepared, it’s ideal to create at least three different scenarios in your plan. By doing this you can envision the different financial directions your business could go, and be ready to act should any situation arise. It’s important to have a good understanding of what your key drivers are and how they can influence your business results. These include, but are not limited to, your sales volumes, profit margin variations and pricing changes. When you know your numbers, you can set up different scenarios. For example, you can ask yourself questions such as, “what would happen if my sales went up by 15%?” or, “what if I lost my biggest client?” Cover as many variables as possible to see what outcomes they would lead to so you can be prepared to resolve any problems that come up quickly and easily. Mistake 8: Forgetting to monitor it It’s essential to review your budget frequently. Many businesses create a budget, and then forget about it entirely, wasting their precious time and a golden opportunity in the process. When you regularly monitor your budget, you’ll not only deepen your understanding of what needs to change or be improved upon for future budgets, but you can also track your actuals against your forecasts. This will help you determine whether or not you’re moving closer to your goals, or whether you might need to change tack. Budgeting for business owners can be a time consuming process but the benefits are numerous and will serve to help you reach your business goals. By avoiding the common mistakes many businesses make, you will be well prepared for any situation that may arise. For more tips on how to achieve success in your business, sign up to our Business Blog .