Budgeting

Budgeting is one of the most important, but least understood, areas of business management and planning.  Most people will do a budget that gives them a “break-even” position.  With respect, that’s useless.

Our approach to budgeting is one where we will work with you to develop a budget which starts off with the question of “How much do you want to make?” – and then goes through a whole process to develop a budget which should be achievable and WILL ALSO DELIVER YOU A PROFIT.xml:namespace prefix = o />

Most accountants stop there.  We don’t. 

By way of example, one of clients undertaking this process have been given a budget of $40,500 in net sales per week at 35% gross margin.  Have a guess what results they’re delivering at the moment?  Oh, and we built a profit of $130,000 in there for them.  They are heading for a pretty good year.  The other thing is that we are in touch with them every week or so to see how they are going against their budget - does your accountant do this?

Another client has utilised our services in developing (and now maintaining) their cashflow budget.  We highlighted for them a period during the year where we were anticipating negative cashflow.  We did this with them six months prior to the expected shortfall.  End result is that the client put in place new initiatives which actaully saw the budgeted months perform better than most months of the year!  It's all about being focussed and working together to achieve quality.

We’d love to discuss the benefits a proper budgeting (including cashflow) program can deliver for your business.  It’s a challenging process, but a very profitable one – just ask some of our clients – we’re happy to let you talk with them!

To arrange a time to discuss your budgeting needs, contact us below:

admin@mt.com.au