THE LAW BEHIND THE HUSTLE Your Turnover Is Your Testimony

 

 I was in a conversation with some professionals the other day and someone said something I’ve heard way too often. He said banks in Ghana are quick to give loans to Lebanese-owned businesses but will frustrate Ghanaian entrepreneurs with endless requirements. According to him, the system favours foreigners.

In that moment, a banker in the room responded with something that carried a lot of weight. She explained that what many people see as discrimination is often the result of how business owners handle their own records. She said, “It’s not about nationality, it’s about numbers. The Lebanese don’t joke with their turnovers. They show strong records, proper documentation and clean cash flow. So the bank can totally trust they’ll pay. But most Ghanaian businesses don’t keep proper records and they understate their earnings to avoid taxes so there’s no proof to lend on.”

That conversation brought the real issue to the surface. It’s not always about where you come from, it’s about what your business can show. Without proper records, there’s no basis for trust and without trust, there’s no funding.

What  is Turnover?  Turnover is the total amount of money your business earns from its sales or services over a period of time before you subtract costs or expenses. So if you’re a caterer and you made GHS 20,000 from all your orders this month, that’s your turnover, It’s not your profit.

You know, running a good turnover goes beyond access to finance. It’s also about legal responsibility. Under Ghanaian law, every registered business is required to maintain accurate and up-to-date financial records. The Companies Act, 2019 (Act 992), for instance, outlines the duty of companies to keep proper books of account. It also mandates annual returns and tax obligations. These laws are not optional, they apply to everyone who chooses to operate a business legally in this country.

Turnover reflects how well a business is operating. It gives insight into performance, growth, and consistency. It also shows that a business is active, accountable and willing to operate within the law. This is exactly what banks and investors look for. They don’t guess. They work with what’s documented.

If your business doesn’t have proper records, if you’ve never filed your taxes or if your income is invisible to the system, then access to funding will always feel out of reach. It’s not because you’re being overlooked, it’s because there’s nothing visible to look at.

Compliance is part of building a credible business. Record-keeping, turnover, tax filing, etc  all work together to position your business for opportunity. The more transparent and consistent your operations are, the more confident the system becomes in working with you.

So the next time you consider applying for a loan, pause and ask yourself whether your business is actually ready to be reviewed because the strength of your turnover and the quality of your records often determine how far you can go not just in finance, but in everything else that builds real growth.