SMALL BUSINESSES & NON-PROFITS
Comprehensive financial planning demonstrates an organization's commitment to sound business practices. A responsible plan focused on meeting financial obligations and spending wisely will encourage outside investors, scale revenue, and increase the likelihood of long-term success.
Business Planning
The process of financial planning in business is designed to forecast future financial results and determine how best to use the company’s financial resources in pursuit of the organization’s short- and long-range objectives.
The financial plan helps guide the day-to-day decision making of the business. Comparing forecast numbers to actual results yields important information about the overall financial health and efficiency of the business. Even a one-person company needs to have a financial plan in place.
Business elements to consider:
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Amount of capital required for operations
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Planned use of this revenue
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Future earnings
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Balance sheet: a line-by-line account breakdown of your debts and income
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Cash flow analysis