Set a realistic budget…

A budget is so important in a business … have you taken the time to create one?

Do you want to reduce your risk and remove some of the surprises that can occur?

Then create a budget!

Remember: Your budget needs to be realistic – not just a percentage increase on last year.

Operating Budget – Revenue

Start by:

  • Assessing each line critically
  • Mapping your revenue to see where, how and when the money is coming in to create a reliable estimate of your income for the coming year.

Look at what is required to generate that income. For example, what advertising, marketing and resources will be required?

Operating Budget – Expenses

  • Be tough, but realistic on costs.
  • Don’t forget to allow for growth and the increases that are likely to flow through

Once complete, do a couple of alternative estimates for your key revenue drivers so you understand the impact of changes to your assumptions.

Important tips:

  • Track and measure it throughout the year
  • Involve your management team to get buy in and responsibility for achieving the budget numbers they give you
Having a budget in place that you need to report on regularly makes you focus on what really needs to be done.

We regularly provide information seminars and networking sessions for local businesses and business people.

All of our seminars are hosted in our office boardroom, and refreshments are provided.