Many business owners are passionate about what they do and have little interest or time for balance sheets. Few things are more tedious than the administrative tasks of running your business but tracking cash flow and profit and loss statements are key to learning from your mistakes.
For instance, profit and loss statements show where you’re going wrong and where you should be focusing more time. Paying attention to these numbers can make the difference between a business that is thriving or barely surviving. It can also help you identify areas where you can and should increase the value of your projects.
There are valuable financial tools and programs available to business owners who are looking to better monitor what’s working and what’s not. Indinero.com, quickbooks, and even godaddy.com offer cash flow solutions so that businesses can manage cash flow in a better way.
Money matters are often at the top of the list when looking at the year in review, so why not use this time of reflection to make a few tweaks to the way you structure your practices in the new year.
Once your customers see the value of investing in you, you’re on your way to becoming a trusted partner. When the impact of your work is understood, your services begin to sell themselves. Funding to existing businesses who manage cash flow better will become easier. Even if you cannot obtain a loan from a bank, businesses who manage good cash flow can obtain revenue based financing.