I’m going to leave a little Facebook Live I did on this subject today, just in case you wanna listen in rather than read;
I know that the money aspects of dealing with your business can be the ones that absolutely trigger you. It can be the stuff that you hide from & avoid. I get it!!
You might be dressing it up as;
- I’m not good with numbers
- I don’t need to focus on the money because my business is about more than that
- I will let someone else deal with that
- It makes me feel sick
- It’s not my thang
I hear you on all of the above. I’m not a huge fan of numbers BUT I learned really early on in business that it was super duper important for you to make sure that the life blood, the oxygen pumping around your business IS well cared for. We can’t hide from it or shy from it.
Business maths is easy maths. It’s generally about adding up, taking away and the occasional percentage. We all have calculators on our computers and phones, we don’t have to do it in our head. So we can dispel that first one of not being good with numbers.
My business is about more than the money ABSOLUTELY. BUT equally, in order for me to help more people I need my business to be financial secure, I need to be in the flow and in fair exchange and I need to be in a position to do more of what I do so that I can help more people.
Letting someone else deal with it ~ good idea in principle because you can then make sure you have someone else’s eye on your numbers but it’s only a good idea if you have a transfer of that information. It’s your responsibility to know those numbers and for those numbers to be regularly up to date. Doing your accounts once per year for the government and tax peeps doesn’t cut it.
It makes me feel sick ~ aye, they have that effect. Whip on some music and promise yourself a treat at the otherside of it.
It’s not my thang ~ it kinda has to be your thing to some degree.
Because not having a hold of your numbers means that you will get firmly bitten on the ass. Either in a good way (if you can call it that), where you work out at the end of the year that you made super profits (YAY) but now owe a stack of tax you didn’t save for (NOOOOOOOOOOO) or you have been trading with your head in the sand and issues of cash flow that you could have address sooner have gone unchecked and you’ve got to the end of the year without making a profit.
Knowledge is definitely power on this one.
What Can You Do?
- From the very beginning I had a business bank account. Keep your business money separate and treat it as a business asset.
- Pay yourself! Even if it’s a nominal amount in the early days ~ make sure you get into the habit of paying yourself on a certain day. This is great for your vibes out there to the Universe that you are abundant and making money from your business.
- Do your accounts regularly. I do mine every month. Time blocked out in the diary as a recurring appointment (including a little extra to go and get a treat coffee from the coffee shop afterwards)
- Put away money for tax. I do a ball park calculation each month (and round it up) to put away into my tax savings account. I know then that I always have more than enough money to fulfil my tax obligations.
- Invest in your business.
I totally advocate the fact that if you serve the pants off your crowd then the abundance will follow (if you are strategic, offer something for sale and are the solution to their problems) BUT without looking after the finances you won’t be in a position to keep going and serve your crowd.