Portfolio diversification is critical to reducing risk in your investments. Learn the basics of this concept and how to apply it to your current investment strategy.
The Benefits of a Financial Forecast to Your Small Business
As a small business owner, financial forecasts offer several advantages for your business. Let's dive into the benefits you'll experience by having a financial forecast. Planning and goal setting using your forecast Financial forecasts help you plan for the future by projecting your revenues, expenses, and cash flow. They enable you to set realistic financial goals and develop strategies to achieve them. With a clear vision of expected outcomes, you can align your actions and resources to drive growth and profitability. Better decision-making with a forecast Financial forecasts provide valuable insights to support your decision-making process. By anticipating future financial…
Post Categories:
Your Growing Business Needs A Better Budget
You know that budgeting is an important part of managing your business, but most small business owners tell us that budgeting is a boring, and time consuming task with little benefit. It’s true that traditional budgeting can be a waste of time. But when done correctly, it becomes a useful and even funexercise. That's because a good budget works for you: It delivers the insights you need to manage your business with confidence day-to-day, and make informed financial decisions to achieve your goals over time. But to get this type of budget you have to take your process a bit farther––do a…
Post Categories:
Protecting your business during a recession – 6 things you can do now
Depending on whom you talk to, the US is either in or rapidly approaching another recession: two consecutive quarters of negative gross domestic product - the value of all the things we sell collectively. If you’re not feeling the downturn in your business now, that doesn't mean you’ve escaped it - consumer buying power will continue to be affected. The average US recession lasts anywhere from 1 - 2 years. So how can you protect your business during a recession? One of the hardest things about running your own business is managing uncertainty, and that feeling is of course amplified…
Post Categories:
Want to make your first financial forecast? Here’s a 4 step playbook
You're working every day in and on your business, wearing many hats: solving emergencies, making quick decisions, and jumping anywhere in the business you're needed that day. At the same time, there are things you want your business to achieve, and you balance your day-to-day with thinking about the future. You know you have to take the right steps and make the right decisions, to reach your long-term goals. Wouldn’t it be great to have a roadmap for all of it? Something that shows how your business is doing today, how it will do in the coming years, and the…
Post Categories:
Building a Business? Get a Financial Forecast Instead of a Budget
Your business—your dream—is up and running! The word is out. You have customers. Your products and services are special, and they are meeting the needs of your customer base. Congratulations! Maybe you have an accountant by now, or maybe you are doing your own accounting using either Quickbooks or Xero (both good choices). Accounting is important to stay compliant and to know how your business performed in key financial metrics, like revenue, profit, cash, and earnings. You'll want to be sure to stay on top of your accounting and get monthly reports from your bookkeeper. You might also have a…
Post Categories:
3 signs your small business needs a financial forecast, and 1 sign it doesn’t
Are you curious about financial forecasting for your business? A forecast is a fantastic tool that lets you look ahead at your business’s profit and cash, and other key financial indicators, which means you make more confident decisions. It’s better than a budget because it projects 3 to 5 years out, and it’s updated every month to keep pace with the changing dynamics of your business. With a forecast you’ll always be able to see your expected profit and cash month to month and year to year. As well as other metrics like receivables and payables, and even equity. So…
Post Categories: