Guesstimations with your Business Finances?
Every time I hear a business owner say the words, “I pretty much know that the entrepreneur is doing everything. He or she is the owner, the sales person, the receptionist and the bookkeeper. There is no way this can last. The initial thought is saving money but time is money and where there is a lost or misuse of time so too is there a lost and misuse or abuse of finances.
The hardest part of my business is walking that delicate line so that my client knows how invaluable the service I offer to them is without leaving them to feel invaluable or upset. Money is that taboo subject that no one wants to address, they want to earn it, spend it but never be challenged in how to manage it. Guilty! We have all been guilty of it. Most of us feel that the only thing we need is more of it and while they seems to be the answer it is an over simplification at best. Having more money only guarantees that one will have more to be a manger over, it doesn’t ensure that he or she will distribute it accurately or wisely. Starting a business doesn’t automatically make one change the way he or she handles their finances. Old habits die hard and most handle business finances the same way the handle their personal and in most cases, that’s not good.
To build, grow and develop your business means to having the implementation of systems; receiving of funds, distribution of funds, timely payments coming and exiting the business. You must have a bookkeeper, an accountant that you receive accurate numbers in real time on a monthly basis to make sure you are charging the right amounts, earning a profit, tracking your growth and maintaining a positive cash flow which isn’t the same as just having money in the bank.
Don’t guess about your business. Learn your trends of your business, the best time to invest, the time to expand, the time to save and spend less. Get professional accounting services. It’s the competitive edge to transform you from being an Entrepreneur into a Business Owner (one who owns a business and employs the services of others).
You’ve invested thousands of dollars into your dream and now instead of using a company you would rather guess about the direction of your investment????
This is your retirement plan but instead of planning all you really do is put out fires????
Okay so you would rather hire an employee to do an important job like Accounting but then you don’t trust them, so they don’t see everything and you end up watching over them to handle your books?????
Even if you trust the employee, you are unsure as to what reports would help you in business. Do you have the right view of your company? Instead of getting consulting and assistance of an Accountant, you continue to pretend you know????
Not one of the scenarios above is the sound thinking and doctrine of a real entrepreneur. You cannot grow your business or maintain a successful one until you know your accounts receivable, your payables – overhead both variable and fixed, until your accounts are reconciled regularly and your business and personal finances are separate. You can hire someone to handle your books while you the visionary keep the company moving (Elite’s 80/20 Rule).
Do Business Better!
~It’s the Elite Expert Way~
