fbpx

Productivity / Measuring success

Finances: Taking control in uncertain times

If you feel like you’re spinning out of control in uncertain financial times, start focusing on the aspects of your business you can control.

By

Do you feel like you’re spinning out of control?

As business owners we are constantly subjected to a bombardment of economic views (good or bad): unemployment rates, debt levels, consumer confidence or policy changes.

There are a few things we know for sure, some statistics are accurate, some are wildly inaccurate, some predictions will come to pass and others won’t.

Whether any of this will make a significant difference to our lives is difficult to predict. From past experiences, the vast majority of business owners will complain about the terrible circumstances, yet in five years’ time, we’ll look back and say it wasn’t actually that bad.

There’s one more thing that is certain, we have little direct control over any of these issues.

Today, I would like to suggest four aspects of your financial management that you can take control of to make a positive difference in your life (you may even be able to sleep at night!).

"Controlling the financial resources of your business is one way to safely negotiate through any rough patches."

  1. Keep your financial data integrated.
  2. Having records spread over multiple systems or filing cabinets is never an efficient way to organise records, so by designing your accounting system to bring everything together, you’re more likely to maintain reliable financial information. 

  3. Keep track of your expenses.
  4. It is surprisingly easy for your expenses to get out of hand and turn your profitable business into one that has significant debts (usually to the tax office). Formulating a budget, and keeping accurate and timely recording of all expenses will help to keep you on track. 

    Want more articles like this? Check out the measuring success section.

  5. Keep it real.
  6. If your financial records are more than two weeks old, then chances are they don’t reflect the real position of your business. You need to make sure that all transactions are regularly and accurately recorded to make sure you know where your business really is financially. 

  7. Embrace technology. 
  8. We are all aware of the pace of technology, particularly in the area of smart phones and tablets. The computing power that we carry around in our pockets is more than the computing power that sat on our desks a mere ten years ago. 

Making sure that you understand what business technology can do for your financial systems, and adopting innovation where appropriate, will help your efficiency and effectiveness.

Whatever the economic conditions (whether real or imagined), controlling the financial resources of your business is one way to safely negotiate through any rough patches.

How do you stop yourself from spinning out of control in uncertain times?

Sarah-Joy Pierce and  Allan Johnson

are business coaches and the authors of Build Your Business, Build Your Life. Their mission is to help business owners enjoy their business and their life.

Comments

127,143 people use Flying Solo to help them create a business with life. Do you?

Connect with Flying Solo

Explore the benefits of membership