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5 Steps to a Better Plan
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Feeling a little strapped for cash in this economy?
Man with empty pockets
Check out our blog for plain-talk advice on how to improve your bottom line.
 
Quotable Quote:
"Failing to plan is planning to fail."
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For small businesses, having a plan is critical-- especially in this economic environment. What better time to set your plan than the beginning of a new year?  Here are some tips for setting up a comprehensive plan for 2009.
5 Steps for a Better 2009 Plan
 
Step #1: Get your head in the game and set your strategy. Don't focus on how bad the economy is going to be or how bad 2008 was.  These are the cards we are dealt, either you can play the game or you can fold.
 
Step #2:  Planning is more than just a sales goal.  Don't mistake setting a revenue number as planning.  Revenue is an important target, but it really should be viewed as the result of how well you executed the rest of your plan. Read more on how to set a sales plan...
 
Step #3:  Know how much it is going to cost to get to the sales goal.  Any aggressive revenue target is going to require some marketing, maybe adding some people, or buying new equipment.  Do your homework and know what your expenses are and when each of these will start bringing in sales.
 
Step #4: Make sure you have the cash to do it all.  The most important step is to understand if you have the cash to execute the plan and if not, where you're going to get it from.  Remember, it takes time for new salespeople to get up to speed or for marketing material to be distributed.  During this time you have to make payroll, pay suppliers and pay down credit cards and loans all before you ever see a dime in profit. Read more on creating a cash flow forecast...
 
Step #5:  Revise, revise, revise.  A plan is like a GPS.  If you make a wrong turn, your plan will help you get back on course.  There is no rule that your plan has to be set at the beginning of the year and then forgotten. It is important to revisit and revise it throughout the year to adjust and have a strategy for dealing with any financial hurdles.  
If you feel like you don't know where to begin in developing a plan, consult your accountant or business advisor-- or call us, we'll do it for you. Aside from being one of the most important things you'll do for your business this year, creating a plan will help you sleep better at night because you'll know how you will survive the upcoming year.
 
Sincerely,
 

Anna Masker
Profit Point Consulting
Profit Point Consulting works with small- and medium-sized businesses whose needs extend beyond basic accounting and tax planning - businesses that want to increase profits, lower costs, get better control over their financials, and make more money. As part-time CFOs, we give you a better handle on your costs and cash flow, so you can make better pricing and capital investment decisions - and we do it in an approachable, easy-to-understand way.

 To find out how our experience and insight - along with our forward-looking, fresh-thinking approach - can help you, please contact us for a no-fee consultation.