It is often said, "How does one know where they are going, if they don't know where they currently are?" Also it is said "If one doesn't have a goal (budget), how do they know if they are where they are suppose to be?"
Budgeting either for a business or for personal finances addresses these issues.
Look at where you are with regard to your financial health;
It is where you want it to be?
If so, can it be better?
If not, where is it that you do want to be?
And, how do you get there?
Budgeting can help answer these questions.
The first step in budgeting is to understand where you are currently. For a business, having the prior twelve months of monthly Income Statements will act as a great foundation. This creates the "where you have been" and the "where you currently are" aspects of the process.
Understanding what a budget is;
The thought by those not familiar with the budgeting process is often considered to be overwhelming. The objection is that there are too many pieces and parts to contend with.
The key to successful budgeting is to break the process down to manageable component parts and deal with them on an individual basis. This approach allows the preparer to stay focused on a specific area until completed. Once all the component parts are completed the combination will form the budget.
Here at Lambrides & Associates we work with our clients to eliminate the feeling of being overwhelmed by the process and to utilize the budgeting tool to its maximum capacity. With the combination of the clients input as the experts in their business, and our knowledge of the budgeting process along with models proven over time, we are able to produce a financial "road map" for an upcoming period. This is done through a series of "What if" questions built to be a tool for not just the time frame in question, but can be updated/modified for future periods as well.
For more information on budgeting, contact us.
"The team at Lambrides and Associates is a strategic partner to my business. As a client, I count on L&A to track my assets and liabilities so I can concentrate on growing my business. I highly recommend any business owner to see how L&A can help them achieve their business goals."
Michelle Grondin Raber
Raber State Farm Insurance Agency
"Responsive, accurate, detailed, and committed to producing a quality product. Those are the words that best describe George Lambrides and his team."
Anne M. Romano, CPA
Tax and Financial Services