There is a quote from Alice in Wonderland: “If you don’t know where you’re going, any road will get you there.” Unfortunately, this is often the approach business owners take when it comes to business planning or budgeting.
Many business owners underestimate the importance of planning- specifically having a detailed, written budget and consciously choosing their level of profitability.
An important component of that planning is how to decide what your business’ target level of profitability should be.
Let’s talk about what is known as a Flexible Budget. This is not flexible budgeting in the sense that the government uses – “No money in the budget? Hey, we’re flexible. Spend away!”
No, a Flexible Budget is actually a very useful management tool which brings a new level of clarity to budget-to-actual analysis.
Mismatching Financial Skills Causes Many Businesses to Crash
In today’s article we’ll present a common flaw in thinking that occurs at many small businesses.
The first time we meet with a business owner to review their accounting & financial matters, we have an informal "needs analysis" discussion.
Budgets: The Financial Crystal Ball
It’s that time of year again. The kids are back to school. Baseball season is winding down, and football season is well underway. The days are getting shorter, and there’s a chill in the air. This can only mean that we are in the midst of what some people call their least favorite season.