Forecasting sales can seem like guesswork. There are a lot of estimates, and those estimates are often based on assumptions. But you can approach it scientifically. Here’s how. What is forecasting in business? Forecasting goes hand-in-hand with budgeting to help you predict the financial outlook of your business. You start by estimating income (sales) and expenses over a period of time, such as six months. That’s your starting forecast and you use those numbers to draw up a budget. As time goes by, you’ll see how the business is actually doing and adjust your forecast to be more realistic. If … Continue reading 6: Four sales forecasting methods for new businesses

Starting a business is a big financial decision. Before you get going, you’ll want to estimate how much money it will chew through, and how much it will make. Welcome to the world of budgeting and forecasting. What is a business budget?  Budgets show how money will come and go from your business over a period of time (usually a year). That money might come in as loans or revenue from sales. It will go out on things like stock, rent, advertising and wages for you and your staff. Most budgets try to keep spending down to less than what’s … Continue reading 5: Budgeting and Forecasting

Starting a business can be expensive, but what if you don’t have the cash? What sorts of business finance are available? And how do you get access to them? Your business funding options  Not all businesses can get every type of finance. For starters, you can’t sell a stake in your business if you’re a sole trader or a partnership. And you can’t issue share documents unless you’re a corporation. The idea at the core of your business will also affect your business funding options. For example, traditional lenders like banks don’t really go for outside-the-box ideas. There are lots … Continue reading 4: Getting Business Finance

Are you daunted by the thought of writing a big, formal business plan? You’re not alone. A lot of people start and never finish, but you don’t have to be one of them. You can start with smaller tasks and work your way up. What is a business plan anyway? Think about your business plan as a road map. You know where you want to go, you just need to write down the directions to get there. The good news is it doesn’t have to be super detailed straight away. That’s because there are two types of business plan: the lean … Continue reading 3: How to write a Business Plan

How do you come up with a small business idea and how do you decide if it’s any good? Can you do your own research? When will you need to get professionals involved?  Here’s how to put your business idea into action. Where do good business ideas come from? Not many businesses start with a eureka moment. Some don’t even start with an idea at all. A hobbyist, for example, might just fall into business by doing what they love. Most other businesses are built around very simple ideas. It might be an old concept in a new location. Or … Continue reading 2: Putting small business ideas into action

Starting a new business is a big job, but don’t let that put you off. Thousands of people do it every day and those collective experiences have given us guidelines. Starting a business is a process, not an event People talk about ‘taking the plunge’ into small business like it’s an adrenalin sport. And there will be some heart-stopping moments, like when you take a loan, sign a lease, or greenlight your first order of supplies. But starting a business isn’t one big decision. It’s hundreds of small decisions. And if you want to succeed, you need to move through … Continue reading 1: The Secret to starting a Business