Unlock the Secrets of Effective Leadership with EOS Data

/in , , /by

EOS Data can be a tool that unlocks profitability in your business, and aligns your entire team around a shared vision.

Data is the foundation from which all business planning, growth and decision-making is built upon. Without a good foundation, a business will lack accountability, striving for answers in a sea of unknowns. 

Check out this recent video from our founder Jeff Allain, and discover how EOS data can transform your business.

 

 

In a world where entrepreneurs and business leaders constantly strive for efficiency and growth, EOS data is where continuity is found. 

If you’re not familiar with EOS, here is a quick background. 

EOS is the Entrepreneurs’ Operating System, designed to provide an encompassing framework to align an entire business. It consists of the following components:

  • Vision
  • People
  • Data
  • Issues
  • Process
  • Traction

Today, we’re focusing on data, because it’s the mechanism used for accountability and making adjustments when something is off track. Without data, there is no way to examine whether the organization is following its vision or goals.

Understanding EOS and Its Importance

EOS is all about moving goals from just an idea into something practical and tangible in the real world.

This pragmatism fosters a culture of accountability and transparency, which is essential for any organization aiming to scale. 

The EOS framework encourages businesses to establish a scorecard that tracks key performance indicators (KPIs). 

This scorecard serves as a vital tool for measuring progress and identifying areas for improvement. 

By having a clear visual representation of their metrics, companies can make informed decisions rather than relying on gut feelings or anecdotal evidence. 

The Role of Data in Business Decision-Making

Data is the lifeblood of any successful business. This means access to accurate and timely financial statements, which provide insights into a company’s performance. 

These statements should not only reflect past performance but also serve as a predictive tool for future growth. Without this data, entrepreneurs may find themselves making decisions based on incomplete or outdated information, leading to potential pitfalls.

A critical tool to ensure success is cash flow forecasting, particularly the 13-week rolling forecast. 

This tool allows businesses to anticipate cash flow needs and make proactive adjustments to their financial strategies. 

By forecasting cash flow, companies can avoid unexpected shortfalls and ensure they have the necessary resources to seize growth opportunities. 

The integration of these data components into the EOS framework will bring the entrepreneurs’ vision to life.

Implementing the EOS Data

Many companies struggle with the financial side of their operations, often lacking the necessary tools and processes to manage their data effectively. Every business has goals of some kind, even if they’re not explicitly stated. 

What’s lacking is a framework for systematically achieving those goals. 

In order to do that, the goal must be tied to a number. 

Then, you track progress toward that number (in a scorecard) and stay vigilant about tracking progress. If things are off track, you’ll see it, and be able to adjust. 

This is the power of data. 

You are now able to build a data-driven vision, then work backward from that goal and take consistent action toward your vision.

Your financial models serve as a roadmap, allowing them to set realistic goals and measure progress towards achieving them. 

Additionally, having a dedicated implementer who understands the nuances of EOS can significantly enhance a company’s ability to leverage data for strategic decision-making. 

The Impact of Data-Driven Decision-Making on Growth

Do you want your business to grow? Do you have a plan for this growth? Unfortunately, growth doesn’t happen by accident. With data-driven decision-making and planning, you can start to take control of your growth.

This proactive approach not only enhances operational efficiency but also fosters a culture of innovation and continuous improvement.

What would that do for your business? 

For many, the impact of setting clear goals, then building a data-driven roadmap for achieving them can truly be life-changing. 

If you want that roadmap, it starts here. And it starts with data.

For more insights and to watch the full video, check out New Economy CPA: EOS Companies: Get the data you need to make smart decisions!

If you enjoy this content, consider subscribing to New Economy CPA’s YouTube channel!

Key Takeaways

  • EOS provides a structured framework for businesses to align their goals and operations.
  • Accurate financial data, including scorecards and forecasts, is crucial for informed decision-making.
  • New Economy CPA specializes in sitting in the Finance Seat to help run the data component of EOS.
  • The integration of data management can lead to greater control and growth for entrepreneurs.

Let’s Grow Together

The journey to becoming a data-savvy organization may seem daunting, but with the right guidance and tools, entrepreneurs can unlock new levels of success. 

That’s what New Economy CPA is here to do – equip entrepreneurs with the tools and guidance they need to walk this journey. We’re walking it ourselves, and are here to help others do the same!

To gain more insights like this, and gain the accountability to accompany your team’s vision, subscribe to our newsletter here!

Business's financial health

Top 5 Questions to Ask Relating to Your Business’s Financial Health

/in , /by

It’s always good to approach your business with curiosity.

What’s driving you?

How’s your team doing?

What could be going better? 

But sometimes we don’t ask the right questions about our finances, because it can feel a bit intimidating. Who knows what we’ll uncover? 

There’s no need to be worried. Knowledge is power, and we’re here to make you more powerful than ever before. 

We’ve put together five key questions that will help keep your business on track and grow to new heights. 

Business's Financial Health

Leading with Curiosity 

There’s a reason the wisdom of Socrates carries on today. He’s famous for asking questions. It’s a method that can help you reach useful insights.

A toga is not required, but certainly, a fun addition if you want to really get into it! 😉

Anyways.

Consider employing the “5 Whys” Method, which is popular among lean startups.

Whenever you think you have an answer to the below questions, try asking “Why?” again and again. You may discover some interesting root causes, causality, and insights.

Always pursue this approach without judgment. Even if it’s tempting to do so, the goal is insights and not blame. 

5 Whys Example

The “why” to many of these could have many answers taking you in different directions to explore, but here’s a simple example with one answer and follow-up question for each. 

  • Why aren’t we profitable yet?

Our revenues aren’t exceeding our expenses.

  • Why aren’t our revenues exceeding our expenses?

Our expenses are reasonable, so it must be that we need to work on our revenue model. 

  • Why isn’t our revenue model working? 

We’re not sure, perhaps there’s some more research that needs to be done here. However, it’s based on assumptions from two years ago when we started, and we’ve learned a lot since then which could be updated. 

  • Why haven’t we updated our revenue model?

We get caught up in the hustle and bustle of daily business.

  • Why are we too caught up in the hustle and bustle of daily business?

We haven’t created a process that includes scheduled time and accountability for strategic thinking and updates. 

Okay, here are some good questions to get the curiosity going! 

Question 1: How’s My Cash Flow?

Cash flow is the lifeblood that keeps everything running smoothly. 

Unlike profit, which is a measure of your earnings over time, cash flow is the actual money flowing in and out of your business right now. If you’re not paying close attention to your cash flow, you could be headed for trouble, even if your business is profitable on paper.

Signs that your cash flow might be struggling include:

  • Late payments from customers
  • Overstocked inventory
  • Unexpected expenses

To keep your cash flow healthy, make sure you’re invoicing promptly, negotiating favorable payment terms with suppliers, and keeping a close eye on your expenses.

Question 2: Am I Profitable? (And If Not, Why?)

This seems like common sense, but it’s key. 

While cash flow is essential for short-term survival, profitability is the key to long-term sustainability. It’s the difference between making money and just breaking even. 

To figure out if you’re profitable, take a close look at your revenue and your expenses.

  • Are you pricing your products or services correctly?
  • Are your costs under control?
  • Is your sales volume high enough? 

Answering these questions and keeping an eye on your budget can help you pinpoint areas where you can improve your profitability.

Question 3: How’s My Debt Situation?

Not all debt is created equal. Some debt, like a loan used to purchase equipment or expand your business, can be a good thing. In fact, we recently wrote an article which will help you get a bank loan for your business. 

However, too much debt can weigh your business down with interest payments and limit your cash flow. 

If you’re carrying a lot of debt, consider strategies like consolidation or refinancing to reduce your interest rates and monthly payments.

Question 4: Am I Saving Enough?

Even if your business is doing well right now, it’s important to prepare for the unexpected. A rainy day fund can help you weather tough times, like a sudden economic downturn or an unexpected expense. 

It can also give you the flexibility to take advantage of new opportunities, like expanding your business or investing in new technology.

Make sure you’re setting aside a portion of your profits each month to build up your savings.

Question 5: What Does My Future Look Like?

Having a clear vision for your business’s future is essential for making smart decisions today. Financial forecasting can help you anticipate potential challenges and opportunities down the road. 

By using tools like financial modeling software or seeking the help of a professional advisor, you can develop a roadmap for your business’s financial future. 

This can help you make informed decisions about everything from hiring new employees to expanding into new markets.

3 Key Takeaways:

At New Economy, we’re always asking questions and coming up with helpful solutions. We want to help you flourish by taking control of your finances. Here are 3 key takeaways:

  1. Stay Curious: Instead of making assumptions and judgements, keep an open mind and question the world around you.
  2. Keep Asking Why: Go deeper and deeper to see if you can find and solve root causes.
  3. Plan Ahead: Use questions and forecasting to make informed decisions about your business’s future.

Remember, asking the right questions is the first step to taking control of your business’s financial health. 

Don’t be afraid to seek help from a financial professional if you need it. By staying informed and proactive, you can set your business up for long-term success.

Business's Financial Health

New Economy Team Members are Experts in Accounting for Entrepreneurs

If you need help asking the right questions, getting your finances organized, and decreasing your taxes, New Economy is an excellent partner. 

We’ll help you get your accounting and taxes done, and done right.

Schedule a time to meet with our Founder, Jeff, and discuss how we can add value to your situation.

Bank Loan

3 Keys to Getting a Bank Loan for Your Business to Keep Growing

/in , /by

Got a vision for business growth that’s bigger than your wallet?

It might be time to make friends with the bank. 

Or, at least, become much better acquainted! 

Today, we’re breaking down key tips for getting your business funded with a bank loan.

Put on your dress shirt, shine your shoes, and let’s build a funding relationship with your bank. 

Bank Loan

At New Economy, we’ve helped our clients raise over $75 million in capital. 

For many of our clients, raising capital wasn’t about pitching to fancy VCs (venture capitalists). 

It was landing a tried-and-true, humble bank loan. 

We’ve found these three keys to securing a loan to grow your business: 

  1. Organized, Persuasive Financials
  2. A Strategic Business Plan
  3. Knowledge of Your Credit History 

Let’s turn those dreams into dollars! 

Key 1: Money Talks, But Financials Shout 

Don’t let the word “financials” scare you. 

It’s your business’s story, but with numbers instead of words. 

Here’s what lenders are really looking for:

  • Healthy Business, Not Lottery Ticket: Show them you’re not a one-hit-wonder, but a sustainable, profitable venture who is prepared for the long haul.
  • Financials Are Your Resume: Your Profit & Loss statement, Budget, and Balance Sheet are your business’s resume. Make sure they are clean and up-to-date.
  • Cash Flow is King (or Queen) (or President): Make sure you can demonstrate strong cash flow. Check out our free cash flow projection tool which can help. 

Pro Tip: Organize your records like your business depends on it. Because in many cases, it does!  

Key 2: The Business Plan: Your Dating Profile!

Think of your business plan as a first date with the bank. 

You need to woo them with your vision, strategy, relationship experience, confidence, and potential. 

  • Your Love Letter: Tell them what your business is all about, why you’re so passionate about it, where it’s headed, and why they should invest in your love story.
  • Show Off Your Smarts: Market analysis, competitor research – prove you’ve done your homework and know your stuff.
  • Financial Projections: Show them the money – the money you’re going to make them with your brilliant business.

Pro Tip: Be ambitious, but realistic. Lenders love a visionary who’s also got their feet on the ground.

Key 3: Credit History: The Ghosts of Your Financial Past 

Your credit history shows highlights (and lowlights) of your past money adventures.  

A history of bad credit doesn’t necessarily exclude you from a loan, but you need to demonstrate you’ve since taken responsible action to set things right. 

Work towards paying off any debts and building back up your credit score, otherwise, they’ll come back to haunt you. 

Some banks will have strict criteria for what they’ll allow historically for someone to be eligible for a loan, but others are flexible, especially if you’re able to win them over with your current financials and business plan. 

Remember that both your personal and business credit histories will be considered when applying for most bank loans. 

Pro Tip: Check your credit report before you apply for a loan. It’s better to face any financial ghosts now than have them surprise you later.

Reminder: Shopping Around is Okay!

You don’t need to limit yourself to your current bank. It can take a bit more effort to find a new place for a loan, but each has its advantages. 

Pros of Getting Loans from Your Current Financial Institution 

  • If you already have a good working relationship, it may be easier for you to manage communication channels, and know what to expect.
  • Your “home” bank may have discounts for long-standing clients.
  • It can be a real sanity saver to have all your finances in the same place. 

Pros of Shopping Around

  • You might find some favorable rates and terms for new banks looking to woo you. 
  • Some banks will be more flexible in terms of offering loans if your credit isn’t stellar. 
  • You may find a new bank with incredible customer service, and decide to switch all your banking over at some point (that may be part of their “evil” plan, after all!).
  • Some online lenders are extremely convenient and price-effective (but do your homework to ensure you’re not being scammed).

Bank Loan

3 Key Takeaways

At New Economy, we want to help you flourish by taking control of your finances and getting the financing you need. Here are 3 key takeaways:

    1. Make sure your financials and business plan are organized and showing your growth and potential. 
    2. Become familiar with your credit history so you don’t scare your lenders. 
    3. Shop around and don’t forget about credit unions! You may find some more favorable rates and terms.

There you have it 🙂

New Economy Team Members are Experts in Accounting for Entrepreneurs

If you need help getting your finances organized, decreasing your taxes, and getting ready for a loan, New Economy is an excellent partner. 

We’ll help you get your accounting and taxes done, and done right.

Schedule a time to meet with our Founder, Jeff, and discuss how we can add value to your situation.

financials

3 Ways to Use Your Financials to Make More Money

/in , /by

You’ve got a good feeling about a new idea, but is it the right investment? 

Where can you tighten the belt without sacrificing quality? 

Sales are steady, but you know your business can do more. 

These types of scenarios keep many entrepreneurs up at night, but the answers are within your grasp. 

Your financial data is a treasure trove of insights, just waiting to be used to make more money. 

Ahoy, mateys! 

In this article, we’ll explore three strategies to transform your finances into some well-deserved bounty for your business.

  • Strategy 1: Uncover Untapped Revenue Opportunities
  • Strategy 2: Turn Forecasts Into Cash Flow
  • Strategy 3: Reduce Waste and Streamline Operations

Let’s dive in! 

financials

Strategy 1: Uncover Untapped Revenue Opportunities

Your financials are a compass for your business, guiding you toward untapped profits. They can reveal hidden gems within your existing operations.

Even small tweaks can result in significant gains. Here are some examples where financials can become your trusty first mate in finding hidden riches:

Shine a light on underperforming products

Sales data can expose product or service lines quietly dragging down your overall profitability. 

Is a specific offering consistently failing to meet sales targets? 

Maybe it’s time to re-evaluate its pricing strategy or consider phasing it out to focus on more promising ventures.

Optimize your pricing

Financial data can help you understand customer behavior and price sensitivity. 

Are you leaving money on the table by undervaluing your products? 

Or are you potentially driving your target customers away with higher prices? 

Your financial data can help reveal the sweet spot – the price point that maximizes both sales volume and profit margins.

Negotiate like a pro

Financial data empowers you to become a stronger negotiator with vendors and suppliers. 

By understanding your cost structure and past purchase history, you can confidently negotiate better deals, squeezing unnecessary expenses and boosting your bottom line.

Strategy 2: Turn Forecasts Into Cash Flow

Using your financials to create forecasts helps you prepare for stormy seas. 

If you’re only working with a budget so far, fear not! You can easily use budgets as a base for your forecast.  

You can also learn more about creating and following a cash forecasting model in this article, where we’ve swapped the pirate analogies for Star Wars, if that’s more your speed.

But forecasting is only half the battle. You must then adjust your sails accordingly, or the effort will be wasted. 

Here are some examples:

Your forecast predicts a surge in sales during the holiday season. 

Instead of investing in a new marketing campaign right now, focus on optimizing your inventory management and staffing levels.

This will ensure you have enough supplies and crew on board to handle the influx of customers and avoid stockouts, which can leave money on the table.

Your forecast predicts a surge in demand for a specific product line.

Reallocate resources from underperforming areas to invest in marketing and production. 

This hidden gem may soon become your most profitable product line.

Your forecast predicts an economic downturn in the coming months. 

Instead of launching a new product line that requires a significant upfront investment, you can focus on tightening your budget.

Renegotiate contracts with suppliers, or offer discounts to boost sales and maintain cash flow during the rough weather.

At New Economy, we re-forecast our financials weekly! It’s a simple process that takes about 15 minutes, where all department leaders discuss and revise based on any material changes we’ve noticed. 

Strategy 3: Reduce Waste and Streamline Operations – Plugging the Leaks in Your Ship

Any captain worth their salt knows even the sturdiest ship can sink from a tiny leak. 

Inefficiencies and waste within your business can be pesky leaks, slowly draining your profits. 

But fear not, matey! 

Financials help you identify and patch those leaks before they become a major catastrophe.

Every penny saved is a penny earned, and financial data empowers you to become a swashbuckling cost-cutter. 

By analyzing your financial statements, you can pinpoint areas where expenses can be minimized or eliminated, ensuring your treasure chest remains overflowing.

  • Chart a course for lean operations: Financial data can reveal areas of unnecessary overhead costs. By analyzing expenses, you can identify potential areas for streamlining operations, such as eliminating redundant subscriptions or renegotiating service contracts.
  • Mind yer inventory! Inefficient inventory management can lead to overstocking, which ties up your valuable resources. Financials can help optimize your inventory levels, ensuring you have enough supplies on board to meet customer demand without unnecessary stockpiling.
  • Embrace the power of automation: Financial data can highlight repetitive tasks that are ripe for automation, causing a drain on your team’s time and energy. Freeing up your crew allows them to focus on higher-value activities. 

3 Key Takeaways

At New Economy, we help you use financials to make more money and better business decisions. 

Here are 3 key takeaways.

  1. Unearth Hidden Profits: Financial data is your treasure map, guiding you towards hidden opportunities within your business. By analyzing key metrics like sales data, cost structures, and customer behavior, you can identify areas for increased profitability.
  2. Chart Course with Forecasts: Financial data empowers you to create forecasts, acting as your compass in uncharted waters. These forecasts help you regularly adjust your sails for stormy seas or fairer weather.
  3. Plug the Leaks: Analyze financial statements to pinpoint areas of inefficiency and waste, like unnecessary overhead costs or bloated inventory levels. Every penny saved is a penny earned!

There you have it 🙂

financials

New Economy Team Members are Experts in Accounting for Entrepreneurs

If identifying ways to decrease your taxes is not in your skill set or you want to gain control of your finances to make smart decisions to build and grow your business, New Economy is an excellent partner. 

We’ll help you get your accounting and taxes done, and done right.

Schedule a time to meet with our Founder, Jeff, and discuss how we can keep your treasure chests overflowing! 

financial data

3 Reasons Every Business Needs Timely and Accurate Financial Data

/in , /by

Your business is ready to grow. 

The team thinks you’re just one marketing campaign away from surpassing your goals this year.

But can you do it?

How much can you realistically invest in this campaign without jeopardizing other areas of your business? 

At New Economy, we use financial data to make nearly every decision. 

It’s guided us to the growth we are seeing today. 

So, it’s said with confidence and experience when we say: 

Without timely and accurate financial data, you can’t answer your business’s most pressing questions. 

Of course, intuition has its place.

But fuel your gut with delicious data to ensure your decisions have a foundation for success. 

financial data

Timely and accurate financial information is the cornerstone of smart business decisions, big or small. 

In this article, we’ll explore the reasons why every business, regardless of size or industry, needs up-to-date and reliable financial data to thrive.

Reason #1: Make informed decisions with confidence. 

Reason #2: Navigate challenges and opportunities effectively.

Reason #3: Gain a competitive edge and secure funding. 

Before we jump in, ask yourself these reflection questions:

  • Do you feel confident making strategic decisions based on your current financial information? 
  • Are you prepared to react quickly and effectively if a sudden market shift impacts your business? 
  • Have you ever missed out on a potential business opportunity because you lacked clear financial insights?
  • If you were to seek funding for your business today, are you confident your financial information accurately reflects its true potential?

Ready?

Reason 1: Make Informed Decisions with Confidence

Do you ever feel like you’re navigating your finances in the dark? 

At New Economy, we understand how a lack of direction can keep an entrepreneur up at night. 

But think of financial data as a compass – guiding your decisions and keeping you headed toward success.

With timely access to your financial information, you can:

  • Track progress towards goals by measuring how your current performance compares to your budget and identify areas exceeding or falling short of expectations.
  • Identify areas for improvement by analyzing trends in sales, expenses, and profitability.
  • Make data-driven decisions instead of relying on guesswork.

Let’s revisit the marketing campaign from the beginning of this article. 

By analyzing past marketing data, you can see which strategies brought the best return on investment (ROI). 

This allows you to allocate your budget more effectively for the upcoming campaign, maximizing your chances of success

Here are some more ways to use financial data to boost your confidence as a business owner. 

 

Reason 2: Navigate Challenges and Opportunities Proactively

We all know to expect the unexpected as entrepreneurs! 

Whether it’s a global pandemic, supply chain disruptions, or a strangely eventful pop culture event… 

there’s no crystal ball to prepare us for the future. 

But, smart businesses can still be reasonably prepared for the future with timely and accurate financial data. 

It lets you pivot at a moment’s notice.

You can mitigate potential damage or explore a new opportunity with the click of a button if you’ve got the right data on your dashboard.

Here’s how:

  • By analyzing trends and historical data, you can identify potential financial risks and develop contingency plans to mitigate their impact.
  • Having a clear picture of your current financial situation allows you to react quickly to unexpected events and adapt your strategies accordingly.
  • Timely financial data can reveal new market trends or opportunities you might otherwise miss. This allows you to capitalize on these opportunities and stay ahead of the competition.

Now, back to the marketing campaign. 

Your sales data starts showing a decline in a specific product category just before launch. 

You realize it’s showing a shift in a market trend. 

Thanks to the early warning, you can do some research to identify the causes.

Then you can adjust your campaign messaging or even pivot your marketing strategy to target a different product line that’s experiencing higher demand. 

Reason 3: Gain a Competitive Edge and Secure Funding

Financial health is a top priority for investors and creditors. 

Regardless of the type of funding you seek, your financial health will be reviewed thoroughly before getting anywhere near the purse strings. 

Timely and accurate financial data can be a key indicator of your business’s growth potential and ability to repay loans.

Here’s why:

  • Up-to-date financial statements give a clear picture of your company’s financial performance, profitability, and debt levels. This builds trust with investors.
  • Financial data can be used to create forecasts and projections for future growth. This allows you to showcase your company’s potential to generate strong returns for investors.
  • Your funders love when you can answer questions with accurate financial data that was generated recently, instead of bumbling about how they’ll need to wait a few weeks for you to get the data to answer their questions. 
  • A solid understanding of your financial position empowers you to negotiate more favorable terms with lenders and suppliers.

Beyond attracting funding, reliable financial data also helps you stay competitive:

  • Set competitive prices while maintaining healthy profit margins by analyzing your cost structure and customer behavior.
  • Identify areas where you can streamline operations and reduce unnecessary expenses. 
  • Gain a clear financial picture to make informed decisions about resource allocation, investments, business expansion, and more.

Let’s come back to our marketing campaign. 

You’ve crunched the numbers and decided you just can’t risk dipping into your business savings to launch a massive marketing campaign. 

The team decides taking out a short-term, low-interest loan could maximize your outcomes and minimize your risk. 

By demonstrating your financial stability and growth potential with accurate data, you’re in a much stronger position to secure funding for the campaign. 

When you share how you made your decision to pivot the focus of your marketing campaign based on the most recent data, your funder feels more confident you’re making decisions based on real-world data. 

3 Key Takeaways

At New Economy, we want to help you gain control of your finances to make smart decisions. 

Part of that is understanding your finances and how to drive business performance.

Here are 3 key takeaways.

  1. Make informed decisions with confidence. Timely and accurate data means you have a more complete picture of your business. 
  2. Be prepared for challenges and opportunities. Being able to see your financial records quickly means you can change direction when the time is right. 
  3. Secure funding and gain a competitive edge. Showcase your company’s financial position with ease, preparing you for investment, loans, and the ability to gain a competitive advantage. 

There you have it 🙂

financial data

New Economy Team Members are Experts in Accounting for Entrepreneurs

If collecting timely and accurate data is not in your skill set or you want to gain control of your finances to make smart decisions to build and grow your business, New Economy is an excellent partner. 

We’ll help you get your accounting done, and done right.

Schedule a time to meet with our Founder, Jeff, and discuss how we can add value to your situation.

3 Keys to Turn Your Financial Budget into a Financial Forecast

/in , , , /by

We are coming to the end of the quarter.

So how did your Company do?

At New Economy, we hit our measurables of revenue of $614K, gross profit of 50%, and net profit of 12%. 

Also, we hit 80% of our rocks. These are the top priorities for us in the quarter.

What did you learn?

At New Economy, we learned a lot. 

financial forecast

We learned that we need to keep making financial investments in our team members through training and growth opportunities. 

We also learned we need to increase our financial investments in marketing to help let entrepreneurs know we are here to help them gain control of their finances to make smart decisions.

But what do we do with these learnings from a financial perspective?

At New Economy, we believe you can use this information to forecast for the next quarter.

For a bit of background on creating a budget, check out our blog posting Here.

Your financial budget is set for the and will not change. 

However, your financial forecast can change based on what you have learned.

In this article, you will learn about: 

  1. The difference between a financial budget and a financial forecast
  2. When and why to update your financial forecast 
  3. Top 3 Takeaways

Let’s dive in.

The Difference Between a Financial Budget and a Financial Forecast

Most Companies, including New Economy, perform their financial budgeting towards the end of the year. 

Being a December year-end, we typically begin the process in November and wrap up in the first week of January.

The financial budget is the goalpost – think football and field goalposts. You are aiming to kick the ball through the goalposts to score. Or from a financial point of view, achieve the budget which keeps you on the path to achieving your overall goals.

You are estimating things like the investments you need to make into the business that will get allocated to hiring, marketing, and operating expenses. 

Further, you are determining your revenue goals and the direct costs to support that revenue.

It is your best guess.

You are painting the financial road map month to month to help you achieve your annual financial goals.

It’s important to note that your budget should not change.

You don’t want to move the goalposts.

We call that cheating 🙂

However, there is another very helpful tool.

It is your financial forecast. 

Your financial forecast is identical to your budget. It is set up the same way, looks the same and even works the same.

The biggest difference is you can change your financial forecast. 

In fact, at New Economy, we are constantly changing our forecast. 

But we are also continuously lining up the financial forecast against the financial budget. 

The idea is the financial forecast is updated for what is happening in the business, and in our experience that is lots of change.

At the end of the day, we hold ourselves accountable to the financial budget that was set and use the financial forecast as the real-time road map to get to the intended destination.

It’s kind of like the direction app, Waze.

You enter your destination and ways will give you the directions to get to your destination. This is like your financial budget.

However, then an accident happens. 

Waze then recalibrates and provides an alternate route. There are changes but it will still get you to the original destination. This is like your financial projection.

So, we suggest you make sure you have a financial budget.

Then modify that budget by bringing it alive based on changes or real-time information and call that your financial forecast.

In the next section, we will talk about when and why to update your financial forecast.

When and Why to Update Your Financial Forecast

When to change your forecast 

By now you should know the difference between a financial budget and a forecast.

The next question is when do we update the financial forecast?

There is a wide range of answers to this question depending on:

  • The business
  • The visibility required
  • The investment of time that’s willing to be made 

We have some customers that re-forecast weekly. 

They have built a weekly process around this and have determined that weekly forecasting gives them real-time insights that they need to manage the business.

We have some customers that re-forecast monthly or even quarterly. 

They will access real-time changes but more so look at monthly budget versus actual information. When items are on and off track, they will trigger changes to the model.

At New Economy, we re-forecast weekly. 

We have created a simple process where all the department leaders provide any material changes. It takes us about 15 minutes per week to do this and we will discuss why we do it this way in a bit.

In any case, updating on a weekly, monthly, or quarterly basis you are on the right track. 

You need to turn your budget into a forecast applying what you have learned.

Why change your forecast 

One of our taglines is we help entrepreneurs gain control of their finances to make smart decisions to build and grow their businesses.

To make smart decisions you need timely and accurate financial information like a financial forecast.

The forecast gives you the most accurate picture of how your business is performing from a financial perspective at any point in time.

Having that timely and accurate financial information allows you to do the following:

  • Determine if you are on or off track to your budget
  • Identify areas of opportunity or improvement
  • Run decision-making scenarios that show the financial impact

The reason New Economy updates the forecast weekly is to have good data for our weekly Leadership Team meeting called our Level 10 meeting. 

As part of that weekly Level 10 Meeting, we review a weekly, monthly, and quarterly scorecard which has the financial data we’re measuring. 

And you guessed it, one of the sources of that data is our financial forecast.

One last thing to note on the financial forecast.

Once a month has closed, we drop the actuals into the forecast. Refer to more information on the financial close here.

For example, if we are through Q-1, the months of January, February, and March would have actual results in the financial forecast. The remaining nine months would be the projected results.  

And we continuously analyze the financial forecast against the original budget.

A financial budget and financial forecast are very powerful business tools. So don’t sleep on the importance of implementing them into your business.

3 Key Takeaways

At New Economy, we want to help you gain control of your finances to make smart decisions. Part of that is understanding your finances and how to drive business performance.

Here are 3 key takeaways.

  1. Make sure you have a budget in place. Don’t change the budget once you set it. And build the budget showing details such as monthly and by-line items.
  2. Make sure you transition your budget into a forecast. Your forecast can be updated weekly, monthly, or quarterly. It can be changed and should be compared back to the budget.
  3. Leverage these tools in your business. They are powerful tools to help you achieve your business goals.

There you have it 🙂

financial forecast

New Economy Team Members are Experts in Accounting for Entrepreneurs

If identifying ways to decrease your taxes is not in your skill set or you want to gain control of your finances to make smart decisions to build and grow your business, New Economy is an excellent partner. 

We’ll help you get your accounting and taxes done, and done right.

Schedule a time to meet with our Founder, Jeff, and discuss how we can add value to your situation.

financial close

5 Keys to an Awesome Financial Close!

/in , /by

We all know financial statements are important.

Really important.

But why and how do we get there?

We believe that financial statements are important because they can be used to help you make smart decisions to build and grow your business.

It is really that simple.

financial close

But getting there is where we see most businesses struggle.

The bridge to getting timely and accurate financial statements is the month-end close process.

Most entrepreneurs and business owners don’t realize there is actually a process. And why should they since they are not accountants?

For those that do, there are a bunch of reasons why the process is not working which we will get into later in this post.

So the end game is getting timely and accurate financials using an awesome month-end close process.

Before we move on, for more background information on financial statements check out these quick posts “3 Key Financial Statements to Leverage for Growth” and “5 Ways to Understand Your Financials to Get Closer to Your Goals”.

Now back to the financial close process.

In this article, you will learn about: 

  1. The financial close process
  2. 5 keys to an awesome close process
  3. Top 3 Takeaways

Let’s dive in.

Demystifying the Financial Close Process

Full disclosure, we just set up a ChatGPT account. 

We are excited 🙂

Here is how ChatGPT defines the month-end close process.

The financial close process, often referred to simply as “the close,” is a series of steps undertaken by organizations at the end of an accounting period to ensure that all financial transactions for that period are accurately recorded and reported. This process typically occurs monthly, quarterly, or annually, depending on the reporting requirements of the organization.

The financial close process involves several key activities, including:

  • Reviewing Transactions: Accountants review all financial transactions recorded during the period to ensure accuracy and completeness. This includes verifying that transactions are properly classified and documented.
  • Adjusting Entries: Any necessary adjustments are made to account for items such as accruals, prepayments, depreciation, and other timing differences. These adjustments ensure that the financial statements reflect the true financial position of the organization.
  • Reconciliation: Various accounts, such as bank accounts, accounts receivable, and accounts payable, are reconciled to ensure that the balances reported in the financial statements match the supporting documentation.
  • Closing Entries: Temporary accounts, such as revenue, expenses, and dividends, are closed to the appropriate permanent accounts, such as retained earnings. This process resets the temporary accounts to zero in preparation for the next accounting period.
  • Financial Reporting: Once all adjustments and closing entries have been made, financial statements are prepared, including the income statement, balance sheet, and statement of cash flows. These statements provide an overview of the organization’s financial performance and position during the period.
  • Review and Approval: The finalized financial statements are typically reviewed by management and may require approval from stakeholders such as the board of directors or external auditors.
  • Archiving Documents: All supporting documentation related to the financial close process, including journal entries, reconciliations, and reports, are archived for future reference and audit purposes.

The financial close process is crucial for ensuring the accuracy and integrity of an organization’s financial reporting. It allows stakeholders to make informed decisions based on reliable financial information and helps maintain compliance with regulatory requirements. Additionally, a well-executed close process can identify potential errors or discrepancies early, allowing for timely corrective action.

Darn, that was pretty good. Thanks Chat GPT!

Our simple and high-level definition is:

The Financial Close process is a series of steps to help ensure that each month the financial statements are delivered in a timely and accurate manner.

Entrepreneurs and business owners need the financial statements for the following reasons:

  • Access if the business is on track with its financial goals
  • Determine the financial health of the business
  • Have data to make smart decisions

Now we have an understanding of this process and why it’s important.

Let’s jump right into 5 Keys to make it awesome.

5 Keys to an Awesome Financial Close Process

Here are 5 important considerations to create an awesome close process.

Key #1 – Make sure there is a month-end close checklist.

We love checklists. They provide clarity around the steps that need to be performed to get the desired outcome.

For the desired outcome to be accurate financial statements then some steps need to be performed to accomplish that desired outcome.

Let’s look at Chick-fil-A as an example, since we love their chicken sandwiches.

Whether you go to a Chick-fil-A in Rhode Island or California your spicy deluxe chicken sandwich will taste the same, take the same amount of preparation time, and be delivered with a smile.

Why?

They have checklists covering the various components of preparation and service. And they do this at scale.

So relating to the month-end close here are a few examples of items that should be on that checklist.

Bank Accounts

  • Ensure all transactions are properly flowing into QBO
  • Ensure all transactions are properly coded to the proper GL account
  • Ensure that the bank reconciliation is prepared
  • Ensure that the reconciling items are identified around outstanding checks
  • Ensure that the reconciling times are identified around deposits in transit

Fixed Assets

  • Ensure that assets purchased over $1,000 are capitalized
  • Ensure depreciation is booked on all assets each month
  • Ensure that assets no longer being used are removed 
  • Ensure that your depreciation schedule agrees with your balance sheet
  • Ensure that  your depreciation expense agrees with your profit and loss statement
  • Ensure that repairs and maintenance are properly expensed in your profit and loss

An accountant at the staff level should be able to perform the above procedures to ensure that the accounts are properly stated on any balance sheet.

This can be replicated each month and over many types of accounts. 

You get the point, the checklist allows for scalability just like the chicken sandwich in different states at different store locations. Yummy.

Key #2 – Make sure you create accountability and set due dates.

This one is very important.

It is simple yet at the same time complicated.

Take the above example and apply it to bank accounts.

We can simply create accountability by assigning those steps to Tom with a due date by the end of the second week.

That’s pretty clear and straightforward. The complexity comes into play when Tom gets sick or information is not ready. 

The key here is to manage well, be flexible, communicate new due dates, and hold the line on accountability.

Here are some of the challenges we see that are easily avoidable:

  • No one is a named owner of the task
  • There are multiple owners of the task, thus no owner
  • There is no set due date
  • If expectations change, there is no new due date set
  • There is no conversation around accountability for missed deadlines

Keep in mind how important this is. 

The reason for our month-end close process is to deliver timely and accurate financial information and if Tom is not timely, our goal will be missed.

The answer here is to lead, manage, and hold Tom accountable. 

Key #3 – Establish a quality control review of the financials. 

Ok, so the checklist is complete and Tom has met all his deadlines.

Now we are onto the quality control process.

Remember, Tom is a staff accountant. His work needs to be reviewed and checked by Jerry the Quality Control team member.

Since we are using financial statements to make smart decisions, we want to make sure the financials are reviewed by an experienced team member.

This goes back to steps #1 and #2.

A checklist should be prepared for the quality control reviewer to perform.

Further, Jerry should have deadlines as well and should be held accountable so that we can meet the desired outcome.

It could create some real pain around cash flow if an entrepreneur makes bad decisions due to relying on bad financial statements.

A quality control review is a good investment in making good decisions.

Key #4 – Establish a month-end close meeting where the financials are reviewed.

This is one of our favorite meetings at New Economy.

Here we get to focus on our core value of delivering awesome service.

We schedule 30-minute monthly zooms to provide our entrepreneurs with financial results from the month and LOTS of knowledge that we derive from the financial statements is spoon-fed to our customers.

Here are some examples of what we discussed during the close meeting:

  • Budget versus actual results by line item with a narrative
  • Cash burn for the month 
  • Reporting on KPIs with the narrative
  • Focus on spend management
  • Connect actual results to financial goals

It’s pretty fun to tease this information out of the financial statements.

We are providing visibility and information on changes needed in the next month, based on the learnings.

Key #5 – Apply what you are learning during the financial review.

Don’t get me wrong.

There is a lot of work in steps #1-#4.

But the real magic happens here.

After that month ends, the big question is “What did we learn?”.

Maybe we learned in our budget versus actual analysis that we are overspending on software costs. This is causing us to be off track from our goals.

Our advice is to dig in. 

Is this overspending going to keep happening? Do we have to shut it down? Was it a one-time thing and it will fall back in line next month with some underspending?

I think you get the point.

There is a lot of learning in the financial statements that have action items that can improve the financial performance of the business.

This is gold for any entrepreneur.

And you don’t need a full-time accountant to pull this off.

Learn more in our blog post on outsourcing your accounting to a part-time remote accountant.

3 Key Takeaways

At New Economy, we want to help you gain control of your finances to make smart decisions. Part of that is understanding your finances and how to drive business performance.

Here are 3 key takeaways.

  1. Make sure you have a monthly close checklist. It should be written and updated quarterly. This will help you get to the desired outcome. Further, if you and your accountant should part ways you have a road map for performing the month-end close specific to your business.
  2. Make sure you are clear with deadlines and hold your team accountable. This is key to getting timely financial results. And you are also striving for accuracy so setting up a monthly quality control review is important.
  3. Once you get your financial statements, use them. Learn how to read them. Learn what they are telling you about your business. And then go take that learning to improve the financial condition of your business.

There you have it 🙂

financial close

New Economy Team Members are Experts in Accounting for Entrepreneurs

If identifying ways to decrease your taxes is not in your skill set or you want to gain control of your finances to make smart decisions to build and grow your business, New Economy is an excellent partner. 

We’ll help you get your accounting and taxes done, and done right.

Schedule a time to meet with our Founder, Jeff, and discuss how we can add value to your situation.

5 Ways to Know You Need a New Accountant

/in , , , /by

Having the right accounting and finance team is important. 

Really important.

Why?

Contrary to popular belief, your accounting team is not just overhead.

You need timely and accurate financial information to make smart decisions to build and grow your business.

Accountant

At New Economy, we think about the right seats needed to support the accounting department for any business. Then we think about getting the right people in those seats.

Most small businesses need some form of an Accountant, Controller, or CFO. 

It really depends on the type of business, the stage the business is in, and the growth plans the business has for the future.

And each of these seats has a different skill set and value they bring. It goes from tactical to strategic in nature.

For more information on the differences between each seat check out our post on Do you know the difference between an Accountant, Controller and CFO.

But what are the signs that your accounting team is not working?

In this article, you will learn about: 

  1. The top reasons your accounting set up is no longer working
  2. 5 ways to tell it’s time to change accountants
  3. Top 3 Takeaways

Let’s dive in.

The Top Reasons Your Accounting is No Longer Working

There are several reasons why this can be the case but here are a few.

Reason #1 – Sorry, You really don’t have an accountant.

Very early on in the life of your business, you might have had Tony’s aunt doing the accounting. 

There is nothing wrong with Tony’s aunt. However, she is self-taught and doesn’t fully understand what she is doing. Sure, she can pay bills and is wicked cheap, but she’s just a family friend, not an accountant.

This is common and ok, but this will hold you back if you don’t make a move.

Reason #2 – The business outgrew your current accountant.

You have a vision of where you want to be. You are chasing down that vision and raising capital, hiring people, building processes, and executing your plan.

Your business is growing and evolving, and when that happens things can get complicated in the various departments, such as your accounting department.

But your current accountant is stuck in the old way of doing things. They don’t have a grown mindset and they are not open to technology and new ways of doing things. 

This results in delays and inefficiencies because the business is growing but your accountant is not growing with it.

This too will hold you back. 

Perhaps you have a good tactical person but need to layer on a more experienced person who focuses on strategy from an internal perspective.

Reason #3 – Your accountant is overhead and is doing too many administrative tasks.

Many internally placed accountants get very comfortable and are overpaid. 

Yup, I said it.

They have a high-level technical skill set and are compensated for it. 

But they are given tasks that don’t relate to this skill set. They start doing administrative work, they get pulled into a bit of human resources or even managing technology.

They get pulled in too many directions, are overpaid, and are no longer adding value. 

They become overhead as opposed to an investment that is helping you get closer to achieving your goals.

Reason #4 – You don’t need a full-time accountant.

Once you really dive into point #3, you may realize that you don’t need a full-time accountant. 

How can this be?

You have them focus on the functions that require their specialized skill set. Nothing more, nothing less.

For more information on this check out our blog post on hiring a part-time remote accountant.

Also, as part of not needing a full-time accountant, you can save money. You are not covering insurance, benefits, training, or even internal time to manage this person. We believe the cost of a part-time remote accountant can be a big savings with a better return on your investment.

For more information on this check out our blog post. “What will it cost to outsource my accounting?”

Ok, so now you have some reasons as to why our accounting might not be working.

And it’s ok. 

You are not alone. Part of your job is to ensure the right people are in the right seats to help you achieve your plan.

In the next section, we will discuss some of the indicators that it’s time to start thinking about some changes on your accounting team.

 

5 Ways to Tell It’s Time to Think About a Change in Accountants

So we know why you might be having issues.

But how exactly do those issues manifest?

After years of experience, we have identified 5 key ways to tell it’s time to make a change.

Here they are in no particular order:

Reason #1 – You are not getting timely financial information.

If you are not getting the following reports within the following timeline a red flag should go up:

  • Cash Flow reporting – Weekly
  • KPI / Scorecard reporting – Weekly, Monthly, Annually
  • Financial statements – Within 20 days of month end
  • Budget vs Actual reporting – Within 20 days of month end
  • Forecasting – Updates within 20 days of month end

Having timely information is important. You want to make real-time decisions based on data that is current.

Reason #2 – You are not getting accurate financial information.

If you are not getting accurate financial information a red flag should go up. The information is the same as that listed above. 

But how do you know it’s accurate considering you’re not an accountant and an entrepreneur?

Here are some thoughts:

  • Use your gut, it got you this far
  • Share the information with a peer group and compare information
  • Ask a trusted advisor or mentor with a financial background to have a look

Timely and accurate information are the keys to making smart business decisions.

Reason #3 – You keep getting surprised and are not learning from the past.

No one likes surprises. 

So if you’re looking at your budget versus actual reporting and are surprised when something is off track, a red flag should go up. 

Or if you get to year-end and your monthly financials that have been reported on change, a red flag should go up.

Or if you are caught off guard by an unexpected tax bill, a red flag should go up.

Things change fast in business, but learning and applying is key. 

Remember the old saying “Fool me once shame on you but fool me twice shame on me”?

Reason #4 – You can’t see into the financial future.

Your historical statements are very important. 

As we stated, they need to be accurate and delivered on time.

But we also need windows out into the future from a financial perspective. So if you can’t see out into the future whether it be 13 weeks of cash flow into the future or 24 months of your profit and loss out into the future, a red flag should go up.

Reason #5 – You are frustrated and feel pain and confusion on the financial side of your business.

We have said it before, trust your gut. You have great intuition.

So if even hearing the word financials causes you to feel pain or frustration, a red flag should go up.

Or if your accountant is confused and can’t seem to give you straight answers, a red flag should go up.

So there you have it; 5 examples that can give you an indication it’s time to think about changing your accounting team.

3 Key Takeaways

At New Economy, we want to help you gain control of your finances to make smart decisions. Part of that is understanding your finances and how to drive business performance.

Here are 3 key takeaways.

  1. Make sure you have the right people in the right seats on your accounting team. Early on Tony’s aunt might have been a great fit. But since you have raised some capital, have 10+ employees, and are on your way to profitability it’s time to increase the firepower of your accounting team.
  2. Make sure you are not flying blind. You should have timely, accurate historical financial statements and visibility into the future financial condition of the business based on your forward-looking projections.
  3. Trust your gut and invest in your accounting and financial team. They are an investment that should help you to get closer to your goals by providing you with invaluable insight to make great business decisions.

There you have it 🙂

Accountant

New Economy Team Members are Experts in Accounting for Entrepreneurs

If identifying ways to decrease your taxes is not in your skill set or you want to gain control of your finances to make smart decisions to build and grow your business, New Economy is an excellent partner. 

We’ll help you get your accounting and taxes done, and done right.

Schedule a time to meet with our Founder, Jeff, and discuss how we can add value to your situation.

financial statements

5 Ways to Understand Your Financial Statements and Get Closer to Your Goals

/in /by

Having financial statements is important. 

Really important.

Think about the dashboard in your car. You have many gauges and lights that tell you different things going on in your car.

For instance, you have a gas light. If the gas light is on, it’s a warning that you need to fill up your gas tank. If you avoid this you may get stuck and you may not make it to your intended destination.

Or you have an oil light. If this is on and you don’t put oil in your engine, your engine could potentially seize you and you will have a major problem.

This is all good information to have. This information allows you to make good decisions for your vehicle, your primary need for transportation which is very important.

financial statements

Financial statements are much like the gauges on the dashboard of your vehicle.

They give you information about the financial condition of your business.

We run into many entrepreneurs who don’t know how to use this important information, and that’s ok, they are entrepreneurs and should be casting vision and building stuff. 

However, they should still have a high level of knowledge on how to use financial information to help them get closer to their goals.

In this article, you will learn about: 

  1. The three standard financial statements
  2. 5 ways to understand your financial statements
  3. Top 3 Takeaways

Let’s dive in.

The three standard financial statements

Pop quiz.

Do you know the three standard financial statements that you should be using to assess the financial condition of your business?

If not, we got you.

They are:

  • The Balance Sheet
  • The Profit and Loss Statement
  • The Statement of Cash Flows

Balance Sheet

Your balance sheet is a statement that will help you to understand the financial condition of the Company.  

We all want to know how our business is doing, don’t we?

It shows all of your assets, liabilities, and equity in the business. 

Your assets are things like cash, accounts receivable, and fixed assets. They are used to help your business produce future value.

Your liabilities are amounts you owe to third parties in the form of accounts payable. Liabilities can be good if used properly. They allow you to “borrow” as you typically have 30 days to pay the third party. 

Long-term bank debt is another form of liability. This can be used for timing issues like making purchases up front that will produce value down the road and allow us to repay the debt.

Lastly, your equity is all of the capital contributed to the business as well as profits and losses accumulated.

Profit and Loss Statement

Your profit and loss statement will help you understand if the core product or service you are delivering is producing a profit. 

It is divided into a few sections as follows.

First, you have your revenue and cogs. Your revenue is straightforward and represents your earnings for doing what you do. Your cogs, or cost of goods sold, is variable with your revenue. Meaning if your revenue goes up, it’s likely the costs to produce the revenue go up. The key here is the gross profit.

Next, you move into operating expenses. These are typically fixed expenses and things like rent, marketing, software, and salary expenses.

So if you take your revenue less your cogs less your operating expenses you will get to your profit number. 

Cash Flow Statement

Ok, so your cash is driven by profitability. If your Company is producing a profit on its Profit and Loss Statement you are generating cash flow.

The cash flow statement shows all the sources and uses of cash. 

As for sources, we simply mean where your cash is coming from. As for uses, we simply mean where your cash is going.

This is a great statement to help you get a handle on how much cash you burned through in a particular month and where it went.

General thoughts on financial statements

Ok, here are some general thoughts on financial statements in bullet form.

  • These should be produced timely. Typically within 30 days of the end of the month.
  • These need to be accurate. You need good financial statements to make good decisions.
  • To get to accuracy you need the right person producing them. Make sure the team member has the right level of experience.
  • If you are doing $1M or more in revenue, you should consider accrual accounting. It paints a more realistic picture of profitability.
  • Reflect on these and seek to understand what they are telling you about the business.

In the next session, we will get into ways to understand the financial statements. It requires a pause at month end to really deep dive into them to pull out the “golden nuggets”.

We did write a detailed post on these financial statements here if you want to dive deeper.

 

 

5 Ways to Understand Your Financial Statements

We are pretty sure there are more than 5 ways to understand your financial statements.

However, we will cover 5 which should help you better understand how your business is performing.

Let’s take each financial statement one at a time and try to glean some wisdom out of them.

Balance Sheet

The balance sheet of your business will help you to understand the following:

  • The degree of working capital in the business. Working capital is the business’s ability to meet short-term obligations with current assets. It is an indicator of the business’s ability to collect on receivables, manage inventory well, and leverage accounts payable terms. 

For example, Amazon has $100 in current assets and $50 in current liabilities. The working capital for Amazon is $50 ($100-$50).

On the other hand, Facebook has $75 in current assets and $70 in current liabilities. The working capital for Facebook is $5 ($75-$70).

Amazon wins. The higher the working capital, the healthier the business as there is more of a cushion to meet the current needs of the business.

  • The receivable turnover of the business will help you understand how quickly you are converting accounts receivable to cash. Cash is king, so the faster the better. 

For example, Amazon has $500 in net sales and $100 in average receivables. The receivable turnover for Amazon is 5 ($500/$100).

On the other hand, Facebook has $500 in net sales and $50 in average receivables. The receivable turnover for Facebook is 10 ($500/$50).

Facebook wins. The higher the ratio, the healthier the business as cash is coming into the business quicker and the Company is managing collections better.

Profit and Loss

The profit and loss statement of your business will help you to understand the following:

  • The Gross profit % of the business will help you understand how much profit you earned on the sale of your products or services.

For example, Amazon has $500 in net sales and $100 in Cogs. The gross profit for Amazon is 80%($500-$100=$400 then $400/$500=80%).

On the other hand, Facebook has $500 in net sales and $50 Cogs. The gross profit for Facebook is 90% ($500-$50=$450 then $450/$500=90%).

Facebook wins again. The higher the percentage, the more money is earned on the product sales. It states that for every $1 of revenue that Facebook earns, they get to keep $.90 for profit.

  • The Net profit % of the business will help you understand how much profit you earned on everything. This includes your fixed expenses.

For example, Amazon has $500 in net sales,$100 in Cogs, and $20 in Op X. The net profit for Amazon is 76%($500-$100-$20=$380 then $380/$500=76%).

On the other hand, Facebook has $500 in net sales, $50 Cogs, and $5 in Op X. The net profit for Facebook is 89% ($500-$50-5=$445 then $445/$500=89%).

Facebook wins again. The higher the percentage, the more money is earned overall in the business. It states that for every $1 of revenue that Facebook earns, they get to keep $.89 for profit.

Cash Flow Statement

  • The Cash burn rate of the business will help you understand the rate at which your business spends money and the number of months of cash you have available. 

For example, Amazon has $100 in cash and spends $50 per month. The burn of 50 per month results in 2 months of runway. ($100/50).

On the other hand, Facebook has $200 in cash and spends $30 per month. The burn of 30 per month results in 6 months of runway. ($200/30).

Facebook wins again. The more months of cash flow the more the business can be supported longer. 

Summary of understanding your financial statements

Based on utilizing the financial statements, we were able to understand things like liquidity, profitability, and even cash reserves.

These metrics, driven by the financial statements, help us to better understand how the business is performing.

The beauty of using the financials and these metrics is you can track and compare against yourself to see your improvement. You can even compare yourself against your competitors, industry averages, or your future goals.

No matter what, your financial statements are a great source of helping you understand the financial condition of your business. 

And the better the financial condition, the higher the probability of your being able to have the resources to meet your goals and vision.

3 Key Takeaways

At New Economy, we want to help you gain control of your finances to make smart decisions. Part of that is understanding your finances and how to drive business performance.

Here are 3 key takeaways.

  1. Make sure you are getting accurate financial statements within a 30-day period after the month’s end. If you are not sure if your financial statements are accurate, reach out and we can provide you with some feedback.
  2. Take the time to reflect on your financial statements. Determine what they are telling you about the financial condition of your business. Continue to monitor your progress against the historical financial statements and benchmark against competitors.
  3. Do the work. Meaning, if your financial condition is not good or has deteriorated, determine what is driving that and fix it. Go into the business and spend the time getting to the root cause of the issue. The financial statements are just the indicator of something either being on or off track.

There you have it 🙂

financial statements

New Economy Team Members are Experts in Accounting for Entrepreneurs

If identifying ways to decrease your taxes is not in your skill set or you want to gain control of your finances to make smart decisions to build and grow your business, New Economy is an excellent partner. 

We’ll help you get your accounting and taxes done, and done right.

Schedule a time to meet with our Founder, Jeff, and discuss how we can add value to your situation.

3 Ways to Boost Your Confidence in Your Small Business

/in , , , /by

How Leveraging Financial Data and Your Accounting Team Can Help.

As a growth-stage entrepreneur, you’re constantly dealing with emotional highs and lows based on the various circumstances thrown your way that are not in your control. 

We feel your pain. 

And we have learned that this can impact the confidence you have in your small business. But what really is confidence?

Here are a few definitions. 

  • It is the feeling or belief that one can rely on someone or something.
  • Or defined another way, a feeling of self-assurance arising from one’s appreciation of one’s own abilities or qualities.
  • Or the state of feeling certain about the truth of something.

Which begs the question: Do you have confidence in your small business? And can you increase that confidence in your small business using financial data and leveraging your accounting team?

At New Economy, we believe so.

Why, you ask? 

It aligns with our efforts of helping you gain control of your finances to make smart decisions to build and grow your company. 

In this article, you will learn: 

  • What types of issues might be eroding your confidence in your small business
  • What you can do to overcome these issues 
  • Three key takeaways related to improving the confidence in your small business using data

Let’s dive in.

Small Business Confidence

What Issues May be Eroding Your Confidence in Your Small Business?

There are a few important things to discuss here. 

First off, there is no silver bullet and the game of business covers a lot of ground. Therefore, we will focus on issues on the financial side of your business, which is the space that we play in. But this approach can be applied to any department such as marketing or even operations.

So what could deteriorate your confidence in your small business as it relates to the financial side of your business?

Maybe it’s people, maybe it’s process, maybe it’s technology, or maybe it’s a combination of all three. 

Let’s Talk People

Start with the Right Seats

Before we dive in, let’s discuss the seats in your accountability chart. And here is a question–Do you have a sense of the right seats and core functions needed for your business based on your stage, growth trajectory, and goals?

We believe every entrepreneurial, growth-minded company needs 3 foundational seats, each with a different set of skills and unique abilities (for more, check out our blog on the difference between an Accountant, Controller, and CFO). Here they are:

  • Bookkeeper / Accountant – They focus on tactical things like payroll, bill payment, bank reconciliation, credit card reconciliations, and invoicing and collections. This team member may have 3-5 years of experience.
  • Controller – They focus more on the output which would be things like accurate financial statements, accounting processes, managing the Bookkeeper, and working directly with the CEO or CFO. This team member may have 10-15 years of experience.
  • CFO – They focus on the business. They are a strategy partner to the CEO and they oversee everything related to accounting and finance and will get involved in budgeting, forecasting, and helping to bring plans to life. This team member may have 20+ years of experience.

Now that we have the right seats in place, you need to find the right team members and this is where people come into the picture.

Then Find the Right People to Fill Those Seats

At New Economy, we ask ourselves a few questions about placing a team member in a seat such as the ones mentioned above.

First, are they aligned with our core values at New Economy? If not, they will not be a good fit for our company, and we don’t place them. If yes, we move on to the next question.

Do they get it, want it, and have the capacity to complete the functions needed for the seat? If not, they will not be a good fit for the seat and we move on. But maybe through training and development, we can get them there. And if yes, then we place them in the seat.

So, if you don’t have the right seats, or maybe you have the right seats but the wrong person in them, you will face challenges. Chances are:

  • You are frustrated
  • your team member is frustrated and feeling burned out
  • You are not getting financial information to make smart decisions to build and grow your business

So your confidence could be down to not having the right structure and seats in your accountability chart or not having the right people sitting in those seats.

Consider stopping doing your own bookkeeping or using Tom’s uncle’s cousin who really is a party planner! Take the time to get this right. 

If you get this right, you will have an accounting and finance department that is aligned with your vision and provides useful financial data, actionable insights, and business improvements all to help you build and grow your business. This is an investment in your business that will return extraordinary results.

Let’s Talk Process

The next issue that might be eroding your confidence in your small business is the lack of process. At New Economy we are consistently reviewing our core processes, documenting them, and training others to ensure they are followed by all.

By having documented processes in your accounting and finance department you are ensuring that team members are clear on how to do things and you are mitigating the chances for errors, inefficiencies, or even fraud. Yup, we said fraud which nobody thinks about until it’s too late.

But here is the real reason the documented process is important: It will ensure that over and over again you have a procedure in place to consistently produce a desired outcome in a timely and accurate manner. 

For example:

  • Processes will support the release of timely and accurate financial statements. A process around the month’s end will allow any controller to step in and provide you with financial data that you can rely on to make great business decisions.
  • Processes will ensure that bills are paid on time for goods and services that we have received (we have seen vendors getting paid for things they should not) and that payments are going out at the right amount per the actual purchase order and invoice.
  • Processes will ensure that your business is on track to meet its annual budget. At month’s end, the actual financials can be compared to the budget to show what is on and off track. From there, you can forecast the future based on what you are learning to see how you are lining up compared to the budget. 

We prefer to rely heavily on processes. The process runs the business and the people step in to run the process. This takes time and effort but it is worth addressing in all departments in your company.

So, if your accounting team is always late with providing information, missing key information, or off on the accuracy we can see why your confidence might be down. And it may be due to a lack of processes needed to support where the business is currently at today.

A few final thoughts:

Having a documented process may not be enough. We believe that team members need to be trained in processes. Further, the process needs to be followed by all. So, you need a process to ensure that processes are being followed – yikes! 

But in the end, the process will give you the confidence that you are receiving financial information that is both timely and accurate. And this will give you insights as to how your business is performing.

Let’s Talk Technology

Remember the old days when you used to get a set of financial statements printed on ledger paper?

We don’t! And if someone handed us a set of financial statements on ledger paper our confidence would certainly drop. We’d question, in a healthy way, if we could rely on the numbers.

See, we have built New Economy from the ground up by leveraging a technology stack that allows us to provide virtual accounting and finance services worldwide. It’s faster, more efficient, more cost-effective, easier to build processes, and easier to train team members on how to use technology tools.

However, many companies’ accounting and finance departments are still struggling to adopt new technologies that will increase efficiencies, reduce errors, and allow team members to spend more time analyzing information and providing actionable insights.

The point is: Consider what technology you might be able to use to change the game and build your confidence. 

Here are some examples:

The list goes on and on. 

But the main point is that the use of technology can speed the flow of information up and assist with increasing the accuracy. Further, processes can be wrapped around these technology tools, meaning technology has an impact on increasing your confidence in your small business.

 

What Can We Do to Overcome the Issues that are Decreasing Your Confidence in Your Small Business?

The very first thing we suggest you do is step away from the day-to-day of the business. Most growth-stage entrepreneurs have too much on their plate and it’s hard to reflect and think strategically when you are in the business.

So what do you do?

Take clarity breaks. A clarity break is a regularly scheduled appointment on your calendar with yourself. You define what regular is – a half-hour daily, two hours weekly, a half-day monthly. It’s up to you. The doing of it is what matters.

Note: We like to take these in physical spaces that motivate, inspire, and encourage us. For example, I like to take my clarity breaks in my 1986 VW camper van by the ocean. Some team members like to take them at Starbucks. But the point is, get away from your regular space.

OK, so I am in my van, now what?

We would encourage you to reflect on the above and ask the following questions:

  • Do I have the right accounting and finance seats on my accountability chart?
  • Are the functions for each seat clearly defined?
  • Do I have the right team member with the right skills sitting in the seat?
  • Do I have processes supporting each function in these seats?
  • Are the processes being followed by all? Are they evolving with the business?
  • Do I have the right technology to increase productivity?

Reflecting and answering these questions will increase your confidence in your accounting and finance team and provide you with the information you need to build and grow your business such as:

  • Ways to increase profits
  • Ways to mitigate risks
  • Ways to run smoother
  • Ways to improve business insights
  • And ultimately increase business confidence

We have subscribed to this approach to help build and grow New Economy. You can do this for literally any department in your business. 

But should you want to get there quickly, consider hiring a company like New Economy that has done the hard work for you 🙂

And once you have the confidence in the back end of your business, you are ready to go and ready to grow. You have the foundation built to support the needs of your customers while capturing market share.

3 Key Takeaways Related to Improving Confidence in Your Small Business Using Data and Leveraging Your Accounting Team

If you want to improve your confidence in your small business, consider leveraging your accounting and finance team and the data they provide.

Here are three key takeaways related to improving your small business confidence:

  1. Make sure you know the needs of your business and that you have clarified the roles. Further, make sure that you have the right person with the right skill set to meet those needs by being able to perform the core functions of the role.
  2. Lean into your process and technology. Make sure that you have a documented process followed by all. Further, make sure that you are using the best-in-class technology for efficiency purposes.
  3. Take time away from the day-to-day to reflect. Think about what’s working and not working, and what next people move you need to make. This time is valuable in that it will provide new ideas and actionable insights to chase down your goals.

Small Business Confidence

New Economy Team Members are Experts in Accounting for Entrepreneurs

If your Company’s accounting and finance team is not providing data to help build your confidence in your small business, let’s talk.

New Economy makes an excellent partner because we want you to gain control of your finances to make smart decisions to build and grow your business. 

We’ll help you get your accounting done, and done right.

Schedule a time to meet with our Founder, Jeff, and discuss how we can add value to your situation.

5 Financial Levers to Increase Cash and Profits in Your Growth Stage Business

/in , /by

As a growth-stage entrepreneur, you’re constantly thinking about ways to increase cash and profits in your Company. The more profitable you are, the more cash you can invest in people and strategies to support your growth.

Sounds simple, right? 

At New Economy, we’ve used some of these tactics ourselves to grow our revenue from $0 to $2M with a gross profit margin of 50% and net profit of 15%. 

And we want to help you gain control of your finances to make smart decisions to build and grow your Company. 

In this article, you will learn about: 

  1. 7 key financial levers to increase cash and profits and the impact
  2. Top 3 takeaways 

Let’s dive in.

What are the 5 Key Financial Drivers to Increase Cash and Profits?

First off, every business is unique and things vary from industry to industry. However, we believe that there are 5 drivers that each business should focus on.

Here they are:

1. The first driver is Price. Certainly, we all know what price is defined as. It is what we are charging our customers for our goods and services. 

At New Economy, we are being innovative on the pricing front. For instance, we are focused on what we call value-based pricing. We are not thinking about rate and time but more about the value we are producing for our customers. This requires a deep understanding of the customer’s needs, wants, challenges, and goals. From there the goal is to add value to help them meet their goals, remove obstacles, and provide for needs and wants. 

For example, as it relates to achieving goals, it might take us 15 minutes to come up with a solution that will save a customer $50,000 which increases their net profit. We believe the value of that is worth much more than the time that we put into it. So if priced hourly, we would price the service out at $37.50 (15 min x $150) versus pricing it out based on the value, which would be more of an art and say $2,500. Would you pay $2,500 to save $50,000? I know I would.

Here are a few quick questions for you relating to price. 

  • Do you have a process for increasing your prices? 
  • When was the last time you increased your price?  
  • How are you determining your price? 
  • Is your price truly representative of the value you are adding to the marketplace?

2. The second driver is Volume. This is the number of units, services, or hours that you are providing to your customers. Getting back to knowing your customer, is there an opportunity to continue to support their group by adding more of what you do?

We have a customer that installs accessibility equipment in people’s homes to help them age in place safely – a noble mission. They have a contract in place with Veterans Affairs (VA) in several states. Through understanding some of the VA’s challenges, they learned that the VA had veterans from other states in need. The customer then helped to support the VA and its veterans by expanding its geographical footprint. This ultimately led to installing more units, thus increasing the volume which drove up revenue. And as we know, increasing revenue can increase profitability.

More questions for you.  

  • Can you increase the number of units, services, or hours you are selling to existing customers, and how? 
  • Can you offer a different service to your existing customers that will add value in a new way? 
  • Can you enter into new geographic markets and offer value to new customers?

3. The next driver is Direct Costs or Cost of Goods sold. These are the costs that are directly related to producing your revenue. They are your raw materials or your direct labor. These costs are variable with revenue so if revenue goes up then these costs will typically increase as well. But is there a way to decrease them?

Here are a few thoughts on reducing COGS to increase profitability:

  1. Stop making products that don’t sell. There are carrying costs such as warehousing, insurance, and transportation that are tied to this. Get rid of old inventory and stop making it all together.
  2. Negotiate with everyone. Work with your suppliers and look for volume and payment discounts. Also, periodically shop around for other suppliers that might be able to deliver the same value but at a lower cost.
  3. Automate your processes. Maybe you can use a just-in-time inventory system. Or maybe you can create efficiencies by reviewing your purchasing process which will add to cost savings.

The things to consider here are…

  • How you can drive these costs down while still being able to deliver value to your customer? 
  • When was the last time you took advantage of pricing or volume discounts? 
  • When was the last time you negotiated on your pricing?

4.  The next driver is Operating expenses. These are overhead-type costs like rent, insurance, general and administrative costs, software costs, and general salaries and benefits.

This is an area where we have a bit more control than we think. See if revenue is down, there is still a way to hit your net profit percentage by understanding which expenses are necessary to achieve your goals and reducing those that might not be.

Over the past few years, businesses have been challenged in many ways with Covid, supply chain issues, and even finding good help. Further, on the customer side, folks have been much more cautious about spending due to the recession.

We have a customer that provides software directly to consumers in the form of subscriptions. Due to the market downturn, the customer was not hitting their revenue projections. However, they knew that their operating expenses should be 30% of their revenue (they have a budget), so they reviewed their operating expenses, and here is what they did.

  1. They ran a few different scenarios to determine the budgeted profitability by reducing overall operating expenses by 5%, 10%, and 15%. They determine that a 10% cut in operating expenses would still allow them to achieve their budgeted profit of 15%
  2. They went line item by line item through their operating expenses and asked the question, does this expense get us closer to achieving our goals? 
  3. They were able to side with which operating expenses to reduce or completely cut out of their revised budget and started managing against it.

By managing, reducing, and cutting out unnecessary operating expenses, you can achieve your profitability goals even without increasing revenue.

5. The final drivers relate to balance sheet items. Here we are focused on increasing the speed at which we collect on Accounts Receivable and decreasing the speed at which we pay vendors on Accounts Payable. Or possibly even increase the speed at which we pay vendors to take advantage of early payment discounts. 

These two levers are pretty straightforward and are pulled by your accountant. Here are some thoughts about increasing cash flow by pulling on these levers:

  1. Utilize a 13-week rolling cash flow forecast for visibility and decision-making (see NE Blog on this)
  2. Set goals and measure them weekly on AR collections; Have your accountant take ownership of them
  3. Review all of your vendors and see if they offer any early payment discounts that you can take advantage of

We have several customers that have leveraged our 13-week rolling cash flow forecast. This has provided tremendous opportunity and visibility into finding ways to accelerate cash flows.

3 Key Takeaways Related to Increasing Your Cash Flow and Profitability

If you want to build and grow your business, you need to make sure you are focusing on its data components. This will provide assurance that you are maximizing your profits, ultimately increasing your cash flow.

Here are three key takeaways:

  1. Make sure you have someone get into the weeds and understand the impact of the above-mentioned levers. In fact, we suggest completely delegating ownership of this to a capable person like a fractional controller. Functions like this will be in their sweet spot and they can take ownership of helping you to move the needle here (Refer to our blog on fractional controllers).
  2. Expect a positive return on implementing these exercises. We believe that expectations should be created and then you should drive toward those results. We suggest recalibrating your weekly scorecard with new goals and aligning your work to produce the results. Further, consider updating your financial projections based on the revised goals and the levers you are pulling (refer to our blog on financial projections).
  3. Lastly, start slow and go deep. Select one of these areas and have your team spend 90 days working on it. Take the time to see if your revised goals are accurate and if not, understand why. Once you have mastered one of the techniques and achieved the results you are looking for, only then move on to the next lever.

New Economy Team Members are Experts in Accounting for Entrepreneurs

If identifying ways to increase your cash or profitability is not in your skill set or you want to gain control of your finances to make smart decisions to build and grow your business, New Economy is an excellent partner. 

We’ll help you get your accounting done, and done right.

Schedule a time to meet with our Founder, Jeff, and discuss how we can add value to your situation.

Smalll business financial statements

Leveraging 3 Key Growth Startup and Small Business Financial Statements to Achieve Your Goals

/in , /by

In this article you will learn:

  1. What are the 3 key financial statements
  2. How to produce the 3 key financial statements
  3. Why they are important
  4. The top 3 ways to leverage the financial statements to achieve your goals

Why Do Growth Startup and Small Business Financial Statements Matter?

Let’s start with some statistics from the SBA.

  • 66% of businesses with employees will fail in the first 2 years
  • 50% of small businesses with employees will fail by the 5-year mark
  • 70% of small businesses with employees will fail by the 10-year mark

But why is this?

  • 82% experienced cash flow problems
  • 42% experienced a lack of market for the product or service
  • 29% ran out of cash 
  • 23% did not have the right team and place
  • 19% were outcompeted

Yikes, these stats are staggering and a bit scary. However, we believe that good financial statements will help you make smart decisions to build and grow your business. 

Before we move on, check out our several other blogs which address cash flow and team building here. They might give you some peace of mind.

Smalll business financial statements

What are the 3 Key Growth Startup and Small Business Financial Statements?

The 3 key financial statements are the balance sheet, the income statement, and the cash flow statement.

These financial statements should be provided in a timely manner (we recommend the 15th of the month for the previous month). It’s also important that they are accurate so we can use them to access the financial health of the business.

Here is a summary of each statement:

Balance Sheet

The Balance Sheet is a summary of the business at any point in time. It is a statement that shows all of the company’s:

  • Assets (cash & payable receivables)
  • Liabilities (debt & accounts payable)
  • Shareholders’ equity

This financial statement assists the reader with determining things like the company’s ability to meet its debt obligations, the cash reserves in place, or amounts owed to the company in the future.

Income Statement

The Income Statement is a statement that shows the profitability of a business over a period of time. It entails all revenue generated by the business, less direct costs, less operations expenses to determine net income or loss. 

This financial statement assists the reader in determining things like gross profit, net profit, and even certain marketing expenses needed to support revenue generation.

Cash Flow Statement

The Cash Flow Statement tracks the sources and uses of cash over a period of time. 

This financial statement assists the reader in determining where the cash went, such as paying down debt or having it tied up in accounts receivable.

How Are These Financial Statements Produced?

There are a few things that come into play to produce the financial statement. We believe the keys are:

  • People
  • Process
  • Technology 

People

In terms of people, you want to make sure you have the right people in the right seats. Typically, a bookkeeper or accountant does some of the tactical work to start the foundation of producing these financial statements. They will focus on the categorization of expenses, the reconciliation of the bank account, credit card account, and all other basic accounts. 

Then a controller-level person would step in to work on some of the more complex parts of the financial statement like revenue recognition and properly matching up revenue and expenses which is important to have a clear and accurate financial picture of the business. 

Note: Use this article to help you spot the difference between an accountant, controller, and CFO.

Process

As for the process, it is key to getting the desired outcome month over month; from doing the basic categorization all the way to the month-end close. These processes should be documented and examined for efficiency. 

This will ensure consistency and accuracy in the production of the financial statements and plays an important role in the delivery of timely and accurate financial statements.

Technology

As it relates to technology, these financial statements are typically produced automatically in accounting software like QuickBooks Online or Xero. 

Note, there is a bunch of work that goes into producing these financial statements, even though they are automatically generated, which is why people and processes are important. However, the overall technology is pretty powerful and inexpensive.

 

Why Are These 3 Key Financial Statements Important?

We believe they will help you to become a stand-out instead of a statistic. The above-mentioned failure rates are scary and staggering. 

But fear not. 

We believe that these financial statements, and gaining control of them, will help you to make smart decisions to build and grow your business. So no more running the business based on your gut. You will have actual data to support decisions around “Can we afford to hire?” or “Should we invest in this marketing campaign?”. 

We have helped many entrepreneurs. No more confusion. No more sleepless nights. Just peace of mind by leveraging these 3 key financial statements.

Top 3 Ways to Leverage the Financial Statements to Achieve Your Goals

1/ Compare your monthly profit and loss statement to your budget. 

This budget versus actual analysis will help you to determine if you are on track or off track with your annual financial goals. The good news is that if you are off track you know early on and you can create a plan to get things back on track.

2/ Review your monthly balance sheet over a period of time for trend analysis. 

Specifically the cash account. Set a goal around building up your cash reserves to cover a few months of expenses like payroll. Then each month review the cash balance to ensure that the cash balance is increasing month over month to support your financial goal of building cash reserves.

3/ Review your monthly profit and loss and drill down on the actual gross profit percent. 

This is the profit you are making on the goods or services you are selling. Consider creating the ideal gross profit percent and create a plan like increasing prices or negotiating supplier costs to reduce costs and watch this gross profit increase over time.

Smalll business financial statements

Achieve Your Goals with New Economy CPA

Mining value from your financial statements can help you achieve your goals. 

At New Economy, we help entrepreneurs gain control of their finances and make smart decisions by producing and analyzing the information provided in the three key financial statements. 

With our help, you’ll have financial peace of mind. 

We hope this article helped you better understand the three key financial statements, but we don’t want to leave you empty-handed. Try out this free Cash Flow Projection Tool for help managing your cash flow.

CONTACT US

 (401) 256-2404

CONTACT US

 (401) 256-2404

Grow your business by leveraging your financial data. We’ll show you how.

Subscribe to my bi weekly Newsletter for tips, tricks and curated content on how we grew New Economy from $0 to $2.2M in revenue.

Subscribe