4 Important Tips For Small Business Budgeting

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You’ve done it. You’ve got an amazing business idea and you are super excited to implement it.

Now it’s time to plan your business budget.

This helps you figure out how much money you have, how much you need to spend and how much you need to sell to meet your business goals. Here are 4 important tips to follow when you are creating your small business budget:

1. Check industry standards

It’s difficult to make estimates for a budget if you are new to your field. Luckily that’s where industry research comes in. You can visit your local library or small business help centre to figure out the stats about businesses in your industry to make your budget as accurate as possible.

2. Overestimate your expenses

Although you may try your best to estimate expenses, it’s common for them to be surpassed due to unexpected circumstances. Prepare for this by overestimating your expenses by a percentage that makes sense for your industry. (You can estimate this by doing market research).

3. Hire a professional to manage your budget

If you aren’t familiar with budgeting or don’t find it to be the most interesting part of running a business, it can be helpful to hire a Chartered Professional Accountant or Financial Advisor to help you manage your budget. This way, you increase your chances of its accuracy, and you free up more time for yourself to work on aspects of your business you enjoy.

4. Use fun software

You can set up a budget on simple spreadsheet software like Excel, or you can set it up on fun online accounting software such as QuickBooks. QuickBooks makes budgeting more exciting and also more interactive as it sends you alerts and notifications about your budget in real time. This way changes are made to your budget as they happen.

Do you need a hand with your small business?

Planning for your small business is the best way to increase your chances of success. If you need help with your small business, we are here for you. Book a free consult with us today and find out more about the services we offer.