Plan Your Income Before You Spend It

Last time we looked at making a Financial Plan and how to spend your money.

There is a step that comes before it. Planning your income for that week or month.

Start with the jobs you already have

What jobs do you have ongoing that you can finish? What needs to happen for you to finish them and get paid?

What other jobs are in the pipeline that you can do that week or month? How much are they worth?

For all of those jobs, how much is your projected income for the coming week or month? What needs to happen to complete them? What supplies do you need? What manpower, and what will it cost?

Then work out how to get more customers

How much income will you need that week or month? What production and how many customers does that mean?

What marketing do you do, and what does it cost? What advertising, and what does that cost?

Do not forget Public Relations. That is the promotion of your company, making known all the good work you are doing. What will you do with it, and what will it cost?

What about your sales people? What will they cost to bring in the number of customers you now know you need?

All the answers are vital data for your financial planning for the week or month. Which leads me to the key point.

Plan your finances in such a way as to increase your income.

Each pound should earn a pound

Spending your hard-earned money on silly things you do not need to make more income just drains your company of money it needs.

With each allocation, have a think about how it will help you make more money. Do this for a while and you become more aware of what is a necessary expense and what is a waste.

Do not forget your staff

Set aside some money to reward your staff for their hard work. They are key to your company's success, and investing in them comes back hundredfold.

Rewarding them when the company grows its reach, production and income is worth the money.

Why not organise a pizza and movie night after a trying but successful week or month? Your staff will appreciate the validation, and will be more willing to help you reach the next milestone.

Give it a try. Contact me if you need any help, or have questions.

As always, keep it simple and... Flourish and Prosper. Lisa

I learnt the management technology I use in my business at the Hubbard College of Administration.