How curating the space for you and your numbers can help you as a business owner
Why do you outsource certain business tasks?
Is it because you simply don’t want to handle it? because you don’t know how to do it in an excellent way? Or is it because every time you think about that task you get anxious or nervous and just don’t wanna deal with it?
Money is one of the most common stressors, regardless of the actual state of the numbers. In fact, many business owners don’t understanding how their money flows. That leads them to put a big X across financial tasks.
👉🏼It’s not the task itself but what those tasks make them feel👈🏼.
Although this is common, the antidote is also common and attainable.
So, what should be my first step?
TRACKING YOUR FINANCES. Tracking is a game-changer because the information you need to make changes and finally come face to face with your numbers is the 🤩RESULT of that tracking.
When it comes to your money, a simple system that can complete these 2 tasks is a GREAT place to start.
1. Track your income and expenses
2. Give you financial reports
Pause right there…
Think about that. You come to your desk and you have your Profit and Loss report, or a list of open invoices, or upcoming bills. How does that help?
For some, this is exactly what they need. But for others (like… a LOT more) this is NOT the antidote for their money stress. This makes it even BIGGER, and it actually makes them feel worse and inadequate.
This means that HAVING access to those numbers is not the solution, it’s only part of it 😕.
What about this scenario?
You feel nervous and anxious, but you sit down with someone that starts to tell you what those numbers mean, and you don’t feel judged or singled out. You actually enjoy the conversation. At the end of the talk you realize that now you know how much money you made, how much you spent, how to improve your invoicing system, and you even get some tips to easily implement right away. And the best part is that it was that person that took care of all the tracking but it's YOU that's winning because of it.
Do you see the difference?
The data itself is the SAME, but it’s the environment, the curated space for those conversations that make a difference.
The second step is creating THAT environment for YOU.
This space should include:
Accurate and up-to-date financial reports.
Simple questions to ask yourself and your money that will help you connect better with your finances
Things that make it pleasant and enjoyable. Clean up your desk, get a coffee, get comfy on your couch, create nice graphics. Whatever fits you.
By doing this, you are increasing your takeaways AND your chances at keeping this constant.
If you want to beta test this (aka DIY), schedule 30 min this week to look at your Profit and Loss (if you don’t have one, look at your bank statements) from last month.
Look at the deposits first and ask yourself if that amount feels right to you when comparing it to the amount of work you put in, and who owes you $. Then look at the expenses and ask yourself, is this a reflection of my values and are they leading me to my goals?
After you get this rolling and feel comfortable with it, move on to the third step.
Expand what you’re looking at and how.
Do you often feel like you don’t have enough cash in the bank to cover expenses?
Perhaps check your open invoices and how long it’s taking your clients to pay you. Or maybe the way you’re invoicing makes it easy to your client to SET IT ASIDE rather than PAY IT.
What are you spending on? Does this align with your goals and values?
Do you see any red flags in those numbers?
What are your short term, medium term, and long term goals?
What steps can you plan to help you get one step closer?
These are just examples of things to consider when addressing your finances.
Remember that your business is YOUR business. It’s a whole compilation of your PERSONAL and BUSINESS goals, boundaries, and influences. Your finances fall in that category too.
Ready to skip the DIY part? I’m ready to help you.
This is for informational and educational purposes only. Please seek individual legal and tax advice.