Laura Daily of The News-Herald noticed that some annual budget meetings are similar to setting personal aspirations for a new year. She writes, “Like the familiar, ‘I’m going to lose 10 pounds,’ New Year’s resolution, you probably set some fiscal goals for 2013.” She suggests that sometimes these goals create minor problems that likely need some fine tuning halfway through the year. Daily compares mid-year budgeting to a, sometimes much needed, physical exam that we might get to identify unhealthy areas and to project how fiscally healthy our business will be by the end of the year. If you met with an accountant at the beginning of the year, it could be helpful to call them up and ask them to remind you exactly what your budget goals were for the year–freshen up if you will. If you didn’t meet with an accountant, it could be worthwhile to consider finding one who will work with you to analyze where you’re at now and how to make it to the end of the year with the most success.
Taking a look at where your business was this time last year might also help you project how the rest of the year will go. By comparing this year to last year, you might be able to determine where your business needs to pull back, or where you could possibly afford to take some risks.
Of course, nothing beats careful cash flow monitoring and regularly visiting your budget to keep you accountable. If you are concerned about your budget, or are looking for confirmation that you are on the right track, VAST would be more than happy to work with you. We offer outstanding and efficient accounting and financial services that can help you finish the year in good financial health.
Resources “7 Budget Tips for Small Business.” apparelopolis.com. n.d. Web. 4 June. 2013.
Daily, Laura. “Mid-Year Budget Checkup: Are Your 2013 Finances Still Healthy?” Denverpost.com. 3 Jun. 2013. Web. 4 Jun. 2013.