When to Start Tracking Finances
You’re tracking your finances… income...expenses...and potential sales, right??
The earlier you start tracking your finances -- the BETTER! And I’m not just referring to your income and expenses. Of course, those are extremely important -- but, you should also be tracking your sales pipeline, budget and know what potential expenses and investments are coming.
Know Your Finances... and Your Emotions
There are many important factors to consider when reviewing your finances: your profit and loss reports, your operating costs, potential sales, upcoming expenses, and long-term income goals. Sadly, I have seen too many businesses get into trouble because they did not know what was going on with their money. Meaning, they had no clue how much money was coming in or going out the door.
Let’s be real, most people are not fans of talking about money, let alone thinking about money. I get it!
There are so many emotions connected to money, and many of these emotions come from our childhood or negative past experiences. I've quite literally had clients bust out in tears after they shared their financial pictures with me. =( (Just proof if this is resonating...you are not alone!)
Failure and insecurity can also be tied to our finances. But just like any other skill, good financial health can be learned (and even delegated)!
WARNING: If you DO delegate to an accountant or bookkeeper, you still need to understand the reports. This takes time and effort, but will save your a$$ in the end!
Stay Calm And Start Talkin’
I can honestly tell you from personal experience, I used to sweat buckets and get that feeling in the back of my throat like I was going to vomit early on in my marriage when my husband wanted to go over our home budget. I was so uncomfortable! After 16-years of weekly conversations, the nerves and stress aren’t there anymore. The dialogue we had every week together about money cured my anxieties. The fear is gone. What a relief!
MY POINT IS: Embrace the discomfort and start talking about money. Don't let it scare you! Take the bull by the horns...you got this!
