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Edmonton Accounting Firms | Why A Financial Plan Is Critical To Business Plans
Entrepreneurs are often aware of how important business plans are to their business says Edmonton accounting firms. Studies have shown that businesses with a business plan are able to increase the revenue of their business by 50% then those without a plan at all. However, not all business plans are created the same, and business owners should understand that if they take the time to create a plan, it needs to be the best plan in order to not only be likely to grow their revenue, but be more likely to succeed in business, and avoid the reasons why 50% of all entrepreneurs fail. A business plan is like an axe, a tool used to help the business. The sharper the axe, the more effective it is and the better the business plan, the more effective it is.
Spurrell and Associates have an extremely effective process when it comes to creating plans for business owners says Edmonton accounting firms. Not only do they create business plans, they create financial plans that are based on the business owners personal circumstances. They take into consideration what the prudent financial decisions are that the business owner needs to make. The financial plan will also take into consideration what assets the business owner has as well as their liabilities and come up with a renumeration strategy that details how business owner is going to get paid. Most business owners say this is the single biggest payoff of the entire procedure, ensuring they know how theyíre going to be getting paid. Itís very important says Edmonton accounting firm that Spurrell and Associates takes into consideration not only the financial well-being of the business owner, but also their personal goals, in order to help them alignment their personal goals with their business goals. They will create the financial plan first before they work on the business plan, because how much risk a business owner can financially withstand will help them create a business plan that works for them specifically.
Since Spurrell and Associates have been doing business plans for so long, they have developed templates that they have refined over seven years of business planning experience. Since they donít start from scratch each time, the process is efficient as well as consistent. The template ensures that all of the important information is considered, and business owners end up with a comprehensive plan that is easy to follow says Edmonton accounting firms. The business plan includes the business owners vision for their business, as well as their goals, and then very specific information on how to achieve those goals. Not only will include the marketing initiatives, but it will also look at the business owners schedule, what sort of recruitment and retention strategies for employees that they have. So that step-by-step, business owners can follow the plan each day, to ensure that they are doing all of the tasks they need on a daily basis to achieve those business goals.
Business plans are exceptionally important in business says Edmonton accounting firm, with the statistics showing that business owners who have a business plan are 50% more likely to increase the revenue in their business. However, itís not just important that business owners have a business plan, they need to ensure that they have a business plan that is realistic, able to be implemented, but also takes into consideration the financial circumstances of the business owner. The business plans at Spurrell and Associates do just that.
They create not just a business plan for business owners, much they first work on a financial plan, to fully understand what an entrepreneur needs to get out of the business, as well as what their goals are in their personal life and then finally taking account of their personal assets and liabilities says Edmonton accounting firms. Itís extremely important to understand the business owners financial situation in order to create a business plan around their finances. There will be varying degrees of risk tolerances, how much financing the business owner can personally put into the business. By taking into consideration this information, Spurrell and Associates can create a financial plan that will help support the business plan.
Business owners should be able to expect they get both of these plans accomplished in approximately four meetings says Edmonton accounting firms. They will start with the financial plan, and and with the business plan, using a combination of the business owners vision and information as well as Spurrell and Associates information and knowledge of what tends to work in business, what doesnít work and what they have witnessed. Since Spurrell and Associates have seen thousands of businesses in their practice, they have a generally good idea on the various successes that businesses have had, as well as what has not been so successful for them. Edmonton accounting firm says that within these four meetings, business owners should come away with not only an effective business plan, but a financial plan that they are confident will help them achieve their business goals.
Since Spurrell and Associates have been creating business plans for their clients for almost a decade, they have created templates that they use in the process. These templates have been refined throughout the years, and contain all of the information that businesses need to consider in order to come up with an effective plan. The fact that they donít start business planning from scratch, means that every business owner that comes to Spurrell and Associates gets the same consistent and comprehensive plan. They complete hundreds of plans every single year, and have seen thousands of clients during their practice, and they have a great understanding of what works businesses, and what is less effective says Edmonton accounting firms. This business knowledge helps them work with the business owner to create a business plan that is going to help a business owner succeed.