We are well
in to 2018 and the financial year is coming close to its end. You should have
an indication of how you want to take your business going forward. In our
previous blog we talked about goals and achieving them with your strengths and
opportunities. This time around we talk about the best ways to expanding your
business.
We are
finding this is the time of year a lot of our clients are needing budgets and
cashflows. A detailed
cashflow can inform you when cash is available to spend or if cash is running
low ahead of time. Knowing this ahead of time can avert any crisis and indicate
to you when action is needed so you are well prepared.
Knowing your
cashflow needs at least a year in advance will give you a more accurate picture
of your finances. Regular maintenance of this important as you don’t want to
rely on old figures in this ever changing environment.
Budgets are
equally as important as a cashflow. If you have expansion plans in mind, then
you need to master your budget. Are you looking to get a second office? Or are
you looking to get a bigger office?, do you need new equipment. Having
an up to date budget can give you clarification on which may be the best way to
expand your business. Budgeting is also a great way to indicate where overheads
may need to be cut down. You may be over spending on some things but then neglecting
the investment in other departments of your business. This is where a budget
will help balance your business.
With any
expansion plans you may have, you’ll need the cash to back it up. There are
many ways to obtain the finance, but the most conventional way is to get a bank
loan. With your cashflow and budgets shiny and polished will keep the bank
manager sweet. You can then enforce your plans to expand and grow!
