Insights

EVERY DIRECTOR WHO SAYS THEY’RE PROFITABLE BUT CAN’T TAKE A SALARY IS LYING TO THEMSELVES.


I’m going to blunt here.

If you can’t pay yourself a proper salary as the owner, you don’t have a business.

You have a job that pays worse than employment.

I see this far too often.

Directors pulling £20k a year from a £500k turnover business and calling it success.

They’re working 60 hours a week.

They’re stressed.

They’re underpaid compared to their employees.

But they won’t admit the real problem – their business model is broken.

As a director of your business, your salary should be the first cost, not the last.

You should be able to remove yourself from the day to day operations and the business still runs and still profits.

If it doesn’t, you’re not a business owner.

You’re self-employed.

There’s nothing wrong with being self-employed, but stop pretending it’s the same as building a business.

Real success is when you have a profitable operation that runs without you.

You take a fair market salary.

You have profit left over.

You’re working 30-40 hours a week on strategic decisions.

That’s the goal.

If that’s not your reality, something needs to change.

Are you paying yourself a proper salary, or are you just extracting whatever’s left at the end of the month? Please comment below honestly.

Recent insights

A message from our founder

We are pretty sure you didn’t go into business to fiddle about with payroll, bookkeeping, VAT returns and HMRC forms.

Let’s face it. Running your own business can be difficult enough at the best of times and there’s one thing for sure – it isn’t getting any easier! You’re trying to keep so many plates spinning and juggling so many balls all the time to keep customers, staff, stakeholders and the bank happy. But who keeps you happy? You’ve got suppliers to pay, VAT, and all sorts of other taxes too.

You are looking for more profit and more return for all your hard efforts for you and your family.

Is now the time for you to get some more help? A plan? More controls? A different approach? Do you want things to happen better or faster?

If you can relate to even some of this this then maybe you need to make a call?

To show you we mean business I can visit you, at your convenience and without cost or obligation, at your business or home to develop a plan of action. You will know exactly what you will pay with us and there will be no hidden costs. Guaranteed.

What’s the worst case scenario?

Only that you will have some more ideas to take away.

But it could be the best call you ever make.

Jeff Wingham

Jeff Wingham studied at Dundee College of Technology (now The University of Abertay) gaining a BA in Accounting with commendation and was also a prizewinner in his penultimate and final years of his degree.

BA AFA MIPA

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Phone: +44 (0) 1382 220263
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