Success in business does not come easy, and you have to work extremely hard to make your way through numerous challenges. The two most significant issues that people often face are asset management and communication problems. So, if you have been struggling with the chaos that lack of communication or asset management strategy brings along, then it is time to be proactive about it. We will discuss these issues, and the first one we will discuss is asset management. 

The Art Of Managing Company Assets

At the beginning of your corporate story, you must have invested in acquiring multiple assets (including industrial equipment, furniture, and others). However, these assets often don’t receive much attention from business owners. It may come as a surprise to you, but physical assets happen to be quite a large portion of your company’s value. It is also impossible to manage your work without these assets. So, the one thing that you must do is plan your asset management properly instead of putting it aside. If you are not sure how to begin, we have a few tips to get you started. 

Asset Identification and Valuation

This is the very first step and quite important as well. You have to know what assets your company has and the overall value of those assets. So, it will be intuitive to create a detailed list of all the asset categories and start logging in gradually. These categories may include industry-specific equipment, furniture for company use, computers, vehicles, buildings, and other special technology or inventory.

It’s good to learn about business valuation experts and consult them if you are unsure about the value of any specific asset. They can provide an accurate and unbiased valuation, which will help you in making strategic decisions for your company’s growth.

Your website is also considered an asset and must be included in the evaluation. It is worthwhile to keep a watch over your business website, so track website visitors and keep a log of other relevant statistics. Make sure that you double-check everything and ensure that all the assets have been logged in properly. 

Once you have identified the asset categories, it’s essential also to evaluate their worth or value. You have to understand that the “value” of an asset is not equivalent to the purchase price because assets will depreciate over time. So, while evaluating the asset value, search the current market value and look for similar products. This is not difficult to do and will be useful later on for financing purposes. When you’ve completed the asset valuation, log them onto a balance sheet because this is the sole purpose of asset management. The worth of your assets is dynamic but your balance sheet will be static, so you will need to update your balance sheet periodically to reflect the change. 

Getting the Assets Insured and Fumbling with Taxes

Assets hold a huge significance for your business, and because of this value they must be insured. Getting insurance for physical assets may seem counterintuitive, but it helps you with the replacement costs or property damage in case of a natural disaster. It is always a good idea to take precautions instead of facing future challenges. Another important category that relates is the taxes that apply to the assets your business owns, and this is solely for your benefit. Assets are an expense for your business, and you can claim the value over time and enjoy consistent tax breaks for a couple of years. 

Are You Leveraging Your Assets?

Before we talk about leveraging the assets, you need to understand the depreciation schedule. According to the IRS, you need to write off depreciation for the “useful life” of assets. Generally, for computers, equipment, and vehicles the acceptable period is five years. If you have a residential rental property, you can write off the depreciation for up to 27.5 years and the time period of commercial properties is about 39 years. It also helps with leveraging your assets if you are looking for a big business loan. 

Are We Leaving Communication Issues Aside?

Certainly not. Having effective communication across your business processes is most significant for ensuring the productivity and growth of your company. Poor communication can easily put your business into dismay. So, for improving the communication across your company or implementing effective communication modules, we have a few tips for your business. 

Assessment of What You Have Comes First

This is very important because, to improve, you must understand where you stand. So, evaluate and assess the present communication strategy you have implemented in your business so far. Perhaps you feel that the current communication plan is working fine for your business, but taking a closer look may help you identify some major flaws and communication gaps. 

Identify the Goals of Communication for Your Business

To make a concise evaluation you must understand the primary goals of a communication strategy for any business. The first goal is to have a clear strategy for consistent communication with your team. The next goal is all about defining the methods of internal communication that you will be using with your team. Lastly, you should have an internal communications team that focuses on activities to optimize the process. You must ensure that the communication strategy you implement in your company compliments your business goals. 

Pay Attention To The Meeting Strategy

Many businesses often ignore implementing a proper meeting plan for their businesses. Often, businesses are organizing unnecessary meetings under the pretense of being absolutely significant. So, as a business, the most important thing you can do to enhance your communication channels is to improve the meetings by planning properly for them beforehand. Ideally, you should also have a time limit for each meeting. Instead of keeping your team in the dark, communicate the detailed meeting plan with everyone. Having a concise meeting plan and sharing it with your team beforehand will save you a lot of time and make effective communication possible. 

While many other things matter for helping your business grow, never ignore the importance of effective communication and a well-managed asset strategy. These two aspects of your business can easily be pushed into shadows as less important segments, but they can make or break your business in the long run. So without further ado, make some changes in communication and asset management departments, and you will set promising grounds for business growth. 

Share Article

Follow Us

Return to Previous Page