News, Tradie Business

Four financial tips for tradies in business

Running your own small business means you get to call the shots, but let's be real, it's not all sunshine and rainbows.

Running your own small business means you get to call the shots, but let’s be real, it’s not all sunshine and rainbows.

According to Job Management Software company Fergus, keeping finances in check is essential for running an efficient business.

Fergus acknowledges that small sparkie businesses are bustling as hard as they can on jobs, chasing clients, scheduling appointments, and returning calls.

The last thing you need is unpaid invoices ruining your cash flow and bringing everything crashing down. Fergus is encouraging tradies to get on top of it before it gets worse.

READ MORE: Are your tradie taxes squeaky clean?

“This is what tradie business owners get wrong: they try to handle all the business admin themselves, even when they have no experience… Most sparkies spend four years doing an apprenticeship to master their trade. Running a business is a whole other trade on its own. And finance? It’s one of the trickiest parts to nail down. Get it right or watch your business struggle,” Fergus founder, Dan Pollard said.

The good news is that there are ways sparkies can lower their financial stresses and keep a closer eye on unpaid invoices so that cash is where it should be: in the working capital.

Image: Prime Creative Media

Here are four practical approaches to take within your business:

1. Trim the fat

Want to get your costs under control? Start cutting out unnecessary expenses. Costs pile up fast, and if you’re not watching the books, you’ll spend more than you make. Check your weekly expenses religiously.

Make it a habit to cut one cost completely every fortnight. Talk to your suppliers and haggle for better terms. Keep an eye on your service pricing—compare it to competitors and market rates to stay competitive without slashing your profits.

“You’ll find way more unnecessary expenses in your business than you expect. Ignoring these money drains won’t grow your business, they will just dial-up your financial stress,” Pollard said.

 

2. Get real about budgeting  

Hate budgeting? Tough luck. If you don’t know your expenses, can’t tell if you’re overspending, how many jobs are lined up, or whether you have enough working capital to cover the month, you’re in for a world of hurt—fast.

Budgeting means more than just tracking income and expenses. It’s about setting up a budget and forecasting future cash flow. This lets you spot financial bottlenecks and plan ahead. Monthly or quarterly financial reviews will help you tweak strategies and manage debts more efficiently.

 

3. Invest in tools that can do the work for you  

Want to run a successful tradie business? You need the right tools—the digital kind. Smart job management software designed for tradies can transform your financial management and operational efficiency.

These tools help you schedule jobs, dispatch technicians, track time, and manage inventory in real-time. Most importantly, to cut down on financial stress, this software integrates with accounting systems to streamline billing and invoicing, keeping your financial data accurate and up-to-date.

 

4. The secret sauce: right tools and admin together  

Now that you have the right tools it’s time to get in the right people—admin staff. Using the software manages the paperwork and information efficiently, while admin staff ensure everything runs smoothly, bills get paid on time, invoices are sent and followed up, and the business keeps moving forward.

“You don’t need to be an expert in everything to run a successful tradie business… Know what needs to be done, but leave the ‘how’ to the experts. Use job management software to handle the numbers and get your finances right. With smart financial tools and solid business habits, you can build your business, worry less, and watch your cash grow,” Pollard said.

“Quit trying to do it all yourself. Get smart, use the right tools, and let the experts handle the rest.”

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