What are you numbers?

Warren Buffet, one of the world’s richest men, says…. How are you going to play the game if you don’t know the score?

Have you ever played or watched sports? Maybe even counted that your friend has more sweets than you?

If you don’t keep a score of the results you never know who is winning.

It’s a bit like that in business.  How do you know you are doing well, badly… Or maybe just about to go bust… If you don’t keep the score.

I have met many business owners who are really bright, have a fantastic business; but they don’t have a clue what all their effort is delivering.

If you are on the ball and look at your bank statements, well I have some bad news for you.  That only shows what’s in the bank, not what is due in and out in the next days, weeks and months.

If you wait for your year end accounts (surely the accountant got it right!), even worse news.  That is just historic data for the tax office…. Great for reminding you that you didn’t put enough by for the tax bill!

A scary fact is that most of the businesses that fail, fail as profitable enterprises.  It’s just that they ran out of money.

My suggestion is to start by making a forward looking budget and cashflow forecast for the year ahead.  Then you might want to read Financial Intelligence (for the manager…).

So instead of sitting on the sofa looking at the football, Rugby, F1, etc results this weekend, have a look at the scores of your business so you can be in charge of your business finances rather than the other way round.

If you would like to find out how to ‘know your score’, call me on 07766 080770 or email alex@alexpetty.biz

About alexpettybiz

We educate and inspire business owners to realise the potential in themselves and their business. The way we do it is to help make businesses easier to run, more profitable and more fun. We believe in coaching at every opportunity to help business owners succeed. What can we do for you?
This entry was posted in Biz tip, Finance and tagged , , , , , . Bookmark the permalink.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

This site uses Akismet to reduce spam. Learn how your comment data is processed.