Tax season: The annual event that turns normally rational small business owners into tightly stretched rubber bands, ready to snap. But fear not, entrepreneurs, for there's a way to navigate this treacherous tax planning terrain without losing your sanity.
Read MoreMeaningful numbers are a central theme at CFO on Speed Dial.
That’s because having and using meaningful numbers is the foundation for our entire framework for building business and financial success. If your financial reports are not meaningful; then they can’t do the job you need them to do — which is to make informed decisions about how to keep your company moving ahead strategically.
Three systems.
That’s all you need to manage finances and propel your business growth...that sounds simple enough, right?
In theory, yes. However, one thing I’ve learned during my years as a CFO for growing companies is that numbers and financial decisions can feel incredibly stressful and complicated.
Read MoreToo often, business owners become the victim of poor cash planning or “swiss cheese” style of cash management -- letting cash leak out of the business simply by not paying enough attention to expenses. In fact, 82% of businesses fail because of cash flow problems (according to a US Bank study,).
Being proactive and strategic in managing cash is critical to your business success. And the best way to do that is to start by crafting a detailed cash flow plan.
Read MoreBusiness financial plans usually start with recent history and use a trend line to predict the future. For most companies, it's impossible to use 2020 revenue to predict reasonable sales or revenue growth for 2021. Still, when life and business are full of uncertainty; having a map of where you want to go and how you plan to get there is a critical tool.
So yes, in 2021, you can and should create a 12-month forecast to plot out a full year of what you think can or will happen. But, don’t treat it like a fixed business budget and try to make it 100% correct.
Instead, acknowledge something that has always been true:
Today’s forecast can’t fully predict next month’s challenges.
Read MoreWhen cash is tight, seeing profit on your P&L does not feel like the truth you are living — because profit is not cash. There are dozens of places where your Balance Sheet is connected to your P&L. This post covers the top five.
Read MoreMoney may be sexy; but talking about money is NOT.
Financial words are a HUGE turn-off. Not because they are hard to understand - but because so many people feel so allergic to hearing them that they tune out and then miss out on the possibility of understanding.
Well, here’s the dirty truth. Financial words hold power. To unlock that power
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