Is Your Financial Strategy Setting You Up for Success?

Are you a business leader with a strong financial strategy and a team with excellent financial literacy?

Does your team talk about the numbers, have confidence in their revenue, and gross margin and profit?

Clients who are transparent and use numbers to drive decisions have better profits and often stronger cultures.

Nothing kills a business quicker than cash flow. But guess what – that isn’t just because of the inability to pay and play. Cashflow is hard on culture. When people can’t invest or fund – they feel it. Sometimes, it’s well known that the business is lean and resources are scarce.

Other times, it isn’t understood, but the symptoms of cashflow concerns are felt.

not being able to hire
being underpaid
not having the technology tools or assets required to do your job
not having a sales and marketing team that consistently brings in new opportunities
not having the ability (people or tools) to deliver on what did get sold
not having the time or funds to invest in processes or controls that could increase scale and efficiency

These are just a few examples of painful employee experiences that cashflow challenges can drive. Ironically, the next issue is retention and the costs to recruit, train, and onboard, which can also be underinvested.

It’s a vicious circle if we don’t get on top of it.

Assess Your Financial Strategy and Your Team’s Financial Literacy

Ask yourself these questions to help you determine whether you have a strong financial strategy and a team that understands it.
What is the difference between your cash position and your bank balance?
Why does your balance sheet matter?
What is your company’s goodwill? What is it made up of?
Do you use accrual accounting or cash-based record-keeping, and why?
What are your financial KPIs?
- If one is trending down, how does it help you stay on top of opportunities or risks?
- What financial information is on your dashboard?

We will take financial strategy and financial literacy by talking about each of these questions.