MTN Ghana webinar urges SMEs to get financial discipline right

MTN Ghana has called on small and medium-sized enterprises (SMEs) to prioritize financial discipline and effective money management during a virtual webinar marking the company's 30th anniversary. The event, themed "Making Money Moves: Building a Financially Smart and Sustainable Business," featured insights from Yaw Saifah, Paul Mante, and Desmond Bredu, who discussed various aspects of financial management.

Saifah stressed the importance of separating personal finances from business funds to maintain clarity on revenue, profit, and working capital. He recommended utilizing digital tools to track sales, payments, invoices, and cash flows, enabling businesses with multiple locations to monitor operations remotely and maintain accurate records. Saifah also advocated for implementing Enterprise Resource Planning systems to manage customer records, inventory, and other business activities.

Mante cautioned against confusing revenue with profit, emphasizing that businesses often fail due to overspending without ensuring profitability. He urged entrepreneurs to focus on profitability before increasing expenditures and cautioned against rapid expansion without sufficient working capital. Mante stressed that revenue attracts attention, while profit generates wealth, and cash sustains SMEs.

B redu highlighted the necessity of investing, even with modest incomes, suggesting that starting with small amounts, such as GH¢50, is possible. He warned against leaving money idle due to inflation eroding its purchasing power over time. Bredu advised business owners to track expenses, curb lifestyle inflation, and retain a portion of earnings for reinvestment to support business growth and scaling.