The past year was particularly difficult – to say the least. It would seem that 2021 has started in the same vein. As we step into the second month of the year, it is worthwhile to start planning your business operations for the next 12 months, if you have not done so already:
- Plot out what income you hope to achieve on a monthly basis
- Assess your annual running costs
- Review your costs:
- Can you obtain a better service at the same cost?
- Reduce any costs that are not being fully utilised
- Plan for a 2 – 3 year recovery period
- Request assistance from Andow Ellis in the necessary planning and preparation
Planning is imperative to ensure you have an idea of what is needed to cover your costs and give you the money to live on. If you have planned for a slow recovery and it takes place sooner – you will be pleased. If things deteriorate further then you have already made provision for restrictive trading in 2021.
By understanding how much you need to bring home each month to cover your domestic costs, you can look at what income you need to achieve from your business. You can further break it down into quarterly, monthly and weekly financial targets.
It would be extremely pleasing if 2021 turns out to be a profitable year for us all. However, we must all look hard at ourselves and try to build a business that can withstand the stormy weathers that may be around the corner.
I am here to assist you with ANY of your financial planning needs. Let us help you plot your financials for the year, or understand what aspects of your budget can be amended to better suit your targets. Give us a call today.