RCCU builds capacity of members in financial literacy

 Small and Medium Scale Enterprises (SMEs) have been urged to refrain from using their business capital for personal expenses.

This is to ensure an effective financial management and to safeguard their personal assets from business liabilities and to keep track of the performance of their businesses.

A management consultant, Dr. Isaac Tweneboah-Koduah, who gave the advice, observed that most SMEs fail to separate their personal account from that of the business and end up using the funds for the business for their personal use.

This, he noted, had led to the collapse of many thriving local businesses and urged businesses to guard against that.

Dr Tweneboah-Koduah, who is also a lecturer at the Garden City University in Kumasi, and the Principal Consultant at HiPAG Services management consulting firm, dedicated to helping small and medium

 sized businesses thrive, said this at a one-day financial training workshop organised by the Ram­seyer Cooperative Credit Union (RCCU) for its clientele.

The workshop, which formed part of activities marking the 25th anniversary of the credit union, was meant to help the participants to improve on their personal financial discipline, enhance their businesses financial planning, and increase their financial awareness.

It was also to encourage the participants to build on their sav­ing and investment culture.

Dr Tweneboah-Koduah said every business owner should have at least four bank accounts, one for receiving all revenues, one for expenses, a personal salary account for the owner, and the last one for investment where at least 10 per cent of profits should be kept for future use.

He underscored the impor­tance of financial discipline for the success of every business. And as part of the financial discipline, he asked the business owners to keep track of their stock, know when to restock, and to make customer service their priority.

The Chief Executive Officer of RCCU, Kennedy Yeboah, ex­plained that the objective of the financial clinic was not only for RCCU to empower its members but to also ensure that they made good use of the support they received from the credit union.

He indicated that the clinic was one of many such trainings lined up as part of activities to mark the silver jubilee of RCCU.

He encouraged the members to avail themselves for the train­ing as they would go a long way to help them in their endeavours and asked the participants to share the knowledge acquired with their colleagues in order to encourage them participate in the subsequent programmes.

The chairman of the 25th Anniversary Planning Commit­tee, Marina Serwaa Kusi, ex­pressed her appreciation to the participants for making time to attend the training programme which she said, was an indication of their commitment and desire to grow their businesses.

She encouraged them to implement some of things they have learned from the training in their businesses to enable them to reap the benefit and also encourage the credit union to do more for them.

 BY TIMES REPORTER

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