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  • #987509
    rainbowconnectionediting
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    ok so I am really bad with numbers in general so trying to do the financial section of my business plan is really doing my head in.

    Does anyone know of any good information or tip based sites on how to do the financial projection section of a business plan?

    How do you guess how much money you are going to make before you even start selling your product? I am so confused.

    Thanks for any help.

    #1163113
    Tony Manto
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    Hi rainbowconnectionediting, this is not an easy answer to answer on a post. You can do more with a spreadsheet, but I will see what I can do.

    There is a couple of approaches. The first is what you need to sell to make money. In other words, put in all your expenses, cost of goods and work out how much you need to sell to make a profit. That the best place to start.

    The next thing you can do if you don’t know all your expenses, talk to suppliers that will be supplying your business. They will know what one of their average customers spend.

    You could also ring an existing business in a non competing area and ask them. I think you will be surprised how helpful they are.

    A plan is just a plan… there is not real figures only estimates.

    Please feel free to email me if you want any more help.

    #1163114
    MissSassy
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    Hi Rainbow

    Number projections are always tricky, they are really just a stab in the dark. Tony gave you some great tips.

    What I would also suggest is that you look at your personal budget and what you need to earn to live on.

    You can then work out the amount you need to bring in on a monthly basis which flows into your marketing plan and how you will achieve that. If you are running an editing business your expenses will be minimal so that will be easy to add in.

    #1163115
    rainbowconnectionediting
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    Tony Manto, post: 188578 wrote:
    Hi rainbowconnectionediting, this is not an easy answer to answer on a post. You can do more with a spreadsheet, but I will see what I can do.

    There is a couple of approaches. The first is what you need to sell to make money. In other words, put in all your expenses, cost of goods and work out how much you need to sell to make a profit. That the best place to start.

    The next thing you can do if you don’t know all your expenses, talk to suppliers that will be supplying your business. They will know what one of their average customers spend.

    You could also ring an existing business in a non competing area and ask them. I think you will be surprised how helpful they are.

    A plan is just a plan… there is not real figures only estimates.

    Please feel free to email me if you want any more help.

    MissSassy, post: 188593 wrote:
    Hi Rainbow

    Number projections are always tricky, they are really just a stab in the dark. Tony gave you some great tips.

    What I would also suggest is that you look at your personal budget and what you need to earn to live on.

    You can then work out the amount you need to bring in on a monthly basis which flows into your marketing plan and how you will achieve that. If you are running an editing business your expenses will be minimal so that will be easy to add in.

    Thank you so much for the replies. Can’t believe how easy its been once I actually sat down and got started. I created a table and tried to think of everything, big and small, that I will need to produce my products, advertise my business and everything else.

    I sent an email to a business in the same industry but only realised after I sent it that it is the holidays so I am not sure when or if I will get a reply.

    I still have a lot more work to do but it doesn’t seem as scary anymore. Well except for the actual projections for how much the business will make. I don’t want to put down too much but I don’t want to put down too little either.

    Thanks once again.

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