506 – Budgeting Fundamentals for Small Business

The How of Business - How to start, run & grow a small business.

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5M ago 25:33

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Learn the fundamentals of budgeting for small business. How to create an operating expense budget for your small business, with host Henry Lopez.

Show Notes page: https://www.thehowofbusiness.com/506-budgeting-fundamentals-small-business/

Why should you create an operating budget, and how to create an annual budget that helps you maximize profitability.

Henry shares some best practices and tips and the key steps to create a small business operating budget.

Creating an annual budget is a crucial exercise for small business owners, as it provides a financial roadmap for the year ahead. Here are the key steps to follow:

9 Steps to Small Business Budgeting:

1 - Review Previous Year Financial Performance 2 - Define Your Business Goals – including Revenue and Profit 3 - Estimate Fixed Costs 4 - Estimate Variable Costs 5 - Plan for One-Time Expenses 6 - Calculate Working Capital 7 - Assemble the Budget 8 - Review and Adjust 9 - Monitor & Adjust

Henry Lopez is the host of The How of Business podcast – helping you start, run and grow your small business. The How of Business is a top-rated podcast for small business and entrepreneurs. Find the best podcast, resources and trusted service partners for small business owners and entrepreneurs at our website https://TheHowOfBusiness.com

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