Small Business Planning
Happy New Year from Forward View Consulting! With 2015 just beginning, small business owners and managers across the country are preparing for tax season. While filing taxes is obviously an important activity, another critical task is often overlooked: budgeting and forecasting for the new year. Ad-hoc budgeting is fairly common in small business, as are rudimentary financial predictions, but formal business planning is rarely addressed. We believe that setting obtainable, yet challenging, small business goals should be commonplace. Why? Although corporations are the typical budgeting/forecasting kings, they can afford more financial leaks, surprises and shortfalls than small businesses due to corporations' greater access to capital. Small firms can't call up Wall Street investment banks for immediate financing, unlike major corporations.
Forward View encourages small businesses to prepare an integrated plan for the year ahead. Realistic financial forecasts should be developed in Excel along with specific, attainable, time-bound, measurable and meaningful business objectives. A good goal would be: "Increase monthly sales of premium salads by 15% year-over-year before August." Another example: "Boost annual subscriber growth by 20% through a $10,000 digital marketing investment." Forward View would be happy to help you implement best practices in budgeting and forecasting. By planning ahead, you can make 2015 your most successful year yet.