|Finding creative solutions to financial problems is a skill and an art. We can help unravel the numbers so they make sense and clearly reveal the best options. We understand what it takes to produce optimal results for a small business.
One of the most important elements of any business is the business plan. The plan is the foundation of your financial path. The plan is discussed with everyone within the business, and everyone is part of the vision to implement the plan. When the financials are reviewed monthly, the plan helps reveal what is working and what is not. Then adjustments can be made on a monthly basis. The plan keeps management as well as employees grounded and on the right course of action.
Visioning enables one to clarify intention and stay focused on a stated purpose. The owner needs to be conscious of good ethics, which builds a sound business reputation. It is always important to remember the “bigger picture”. A well-established vision allows the owner to be direct and clear about best business practices.
For any small business, monthly reporting is crucial to make sure the business is staying on track with financial goals. A one-person shop should make financial reviews every quarter. No one can operate their business successfully without consistently reviewing the Profit & Loss and Balance Sheet throughout the year.
RESPONSIBILITY & ROLES
Everyone has a significant role in a small business. These roles need to be clearly defined in the company manual. The employees then know what is expected of them. When it comes time for a review, the owner then has the ability to address beneficial or harmful actions of the employees. There are rules everyone can follow to keep the business cohesive.
LOGISTICS & CREATIVITY
The creativity of the business owner has to be balanced with planning, implementation, and coordination of details. A person cannot run a business only with their creativity. The owner needs to have a competent manager on the business side. This would include managing the financials and hiring individuals. The creative owner will need to get a grasp of hiring and financial reporting for their business. This keeps everyone honest about their strengths and weaknesses.
The budget or spending plan directs the financial structure of the small business. The budget is a measuring tool for the owner’s financial goals. It allows business owners to understand how and where they are spending their money. Over time, spending records reveal trends in the company’s spending. Another benefit that develops over time is the understanding and implementation of an internal value system. The budget enables the small business owner to be at choice instead of being reactive when it comes time for large periodic expenses.
Smart Business for the Small Business™