Budgeting is something that some solopreneurs and micro-businesses tend to think is not relevant to them because they are a small enterprise. However, we believe it may be more important, as often with smaller businesses cash flow and working capital are often very limited.
Here are just a few of the reasons why you should budget as a small business.
You are able to manage your money effectively and within your means.
It can help you to foresee cash flow issues and address them before they arise.
Having a budget allows you to allocate appropriate resources to projects.
You can monitor the performance and progress of projects in real time.
Budgeting can aid you with decision-making.
Setting budgets can be motivating and encouraging to those managing them.
You are able to plan for the future.
Budgeting helps to direct your business and should work hand in hand with the aims and objectives in your business plan. There are many types of budgets; short and long term, operating or cash flow, master or static and if you would like support in budgeting for your business for the new financial year, then get in touch, as the best time to start planning is now.
Contact Anne to arrange a business review meeting for February and get your budgeting and finances on track for the start of the next financial year. anne@cubeaccounting.co.uk 01788 815017.