In Case You Missed it: February 2019 Meeting
Lauren Farahani from Cambridge Leadership Associates began her presentation by asking:
How often do you look at your numbers?
- Once a month?
- Once a quarter?
- When you do your taxes?
It was no surprise that many hands went up for the latter questions. The good news is that all the attendees left understanding the importance of keeping a tight grip on your business by understanding our numbers. One of the key take-aways from this important presentation is not to lose sight of where your revenue dollars are going.
It doesn’t take a lot of work to gain insight into how strong your business is and how to keep it on a growth trajectory. The organizational issues behind your numbers is what should drive your business strategy. By keeping a close watch on revenue dollars, business owners can break the cycle of common day-to-day financial errors.
Consider your finances as an evenly-spoked wheel where each spoke is a critical piece of your business. If you cut from one spoke, for example you hire an employee, your payroll budget is not balanced, and your wheel will not be turning properly. You need to add back into your payroll category by adjusting another; perhaps your operational expenses or outsourcing costs will be reduced due to the new hire.
This financial guide can help manage your revenues. Strive to achieve this ideal split.
Don’t sell yourself short when making financial business decisions. Lean in when no one else does. Do the things other people don’t. This is what will set you apart.