Your client might be satisfied with a ‘finger in the air’ approach to budgeting, making decisions based on their gut and dealing with the consequences later. Perhaps not even consulting you on these decisions. It is therefore crucially important for the long-term success and health of their business that they deal with reality.
This includes periodically tracking and inputting actual spend and income in order to evaluate performance. Once they have compared their actual spend with their anticipated spend, you can then better help them look for trends and improvements when budgeting for the next month (or more often).
When it comes to budgeting, most people will think of it as a means of ensuring a business isn’t spending more than it’s earning. The flipside to this is that the business might not be spending enough to grow and compete. If your client is focused on growing their business, then you must make them aware of the need to budget accurately and consistently so as to ensure growth does not stagnate through inaction or lack of investment.
Conversely, businesses can grow too quickly, so this must also be considered when setting a budget. Your client has to be steered clear of finding their business at absolute capacity, yet not profitable.
Helping your clients set regular and accurate budgets will make both your lives easier in the long run. When you transfer their budgeting from risk-prone spreadsheets to Futrli, our all-in-one forecasting and reporting engine, you’ll change this for them forever. Budgets in Futrli are risk-free and can immediately be made 3-way. Too many forget the impact on the balance sheet in this process. Setting budgets in the cloud makes sense for the long-term: so why would you have this information as a separate service offering, disconnected from their accounts package?
This leads to time-consuming, thankless, manual updates and the data cannot be used to drive the business forward. Futrli glues together a business’ past, present and future to give you and your client an operational tool to deliver a brighter, more profitable, future.