Take the initiative to bring in the necessary changes in your financial policy right from the start of this year. Make a resolution to analyze the effects brought in by the changes at regular intervals. Also, write your goals, and make it a point to ensure 2013 becomes a grand financial success for you and your entire team.
My following 7 tips are meant to lead you towards that direction in 2013:
1. Consider Expansion Plans:
The new year is always an excellent time for pursuing growth and expansion plans. This is the time to experiment on a few things which you couldn’t possibly achieve during the fierce economic downturn. As the economy of the world is slowly recovering, organizations with a fair balance sheet and an excellent cash flow, easily qualifies for the low interest loans meant especially for expansion plans.
2. Cut the Price
Put an effort to find the best rates on everything from telecommunications to insurances. This can eventually make a huge difference to the financial future of the business. Look for new suppliers coming with exciting deals. They can increase your savings to a great extent. Also keep the borrowing costs in mind before embarking on any investment ventures.
3. Consider Cash Flow Plans:
Cash flow plans are essential for the survival and growth of your business. They help to build up contingency reserves for the tough times in the year. Most importantly, by maintaining budget estimates or cash flow plans, you would be keeping a check on the expenses of the company. However, it is important to create a consistent credit line until a sufficient reserve fund gets created.
4. Know Your Competitors
The strategy of researching on the competitors can prove to be an excellent option for stabilizing the financial future of your business. A lot can be learnt from the mistakes and successes of your competitors. Find out which companies are constantly delivering successful results in your field. Unearth their secret mantra and see whether it can be implemented in your business. Also review those organizations which have failed to survive the competition. Find out the reasons of their failure to protect your business in the long run. Always adapt a positive approach as competitors and competitions are only meant to bring out the best out of you.
5. Keep Track on Your Stats
Finance control can be best done by keeping a constant track on the stats. Pick three very important stats which are essential for your organization’s goal this year. Then monitor them every month, so that you can put in minor adjustments whenever required within the financial year. You would be absolutely amazed to find out how small adjustments can make a big difference.
6. Communicate With Your Team
Discussions and meetings are the best way to convey your financial plans in front of all the employees and team members. Find out whether your team members are aware of the goals set by you for strengthening the financial future of the business. Take their opinions, if possible, through an arranged brainstorming session in the weekends. Analyze all the ideas generated through that session, and make the necessary changes in the plans initially set by you.
Your effort to involve the employees in the goal setting process would definitely be looked as a positive move, and a forward thinking step towards the future. In case of bigger companies; involve the departmental heads, to make the communication process smooth and easy.
7. Review Previous Year’s Business
Analyze previous year’s business reports to find out the areas that need your attention. Just tweak them a bit to make the financial health sound and steady. Find out the steps which did not work at all in the previous year. This would help you to discard them completely in 2013.