Money Management – Don’t waste it

Money Management – Don’t waste it Pounds

[et_pb_section bb_built=”1″ _builder_version=”3.0.75″ custom_margin=”0px|||” custom_padding=”0px|||”][et_pb_row][et_pb_column type=”4_4″][et_pb_text _builder_version=”3.0.75″ background_layout=”light” border_style=”solid”]

What is your relationship with money? Is it the root of all evil? Does it mean lack and deprivation? Do you feel a pang of resentment when you see someone driving a sports car or suspicion when you see someone rich? Are these views helpful when it comes to investing in yourself or your business? Money is just a tool facilitating the exchange of value that is more convenient to carry around than apples and chickens, and to become wealthy yourself, you have to have a positive set of beliefs about wealth.

According to T. Harv Eker, we have internalised a learned ‘money thermostat’ which defines our state of wealth set and correlates to our sense of self-worth and confidence. Change your attitude to wealth by the frequent repetition of positive affirmations. Acts of generosity break down a poverty mentality, so give freely of your time, love and gestures of caring. Learn to receive kindness, help and life’s gifts with gratitude and soon will see opportunities all over.

There is money to be made everywhere, people work hard for it and want to spend it. Money will follow good value and kindness in your business and if you lack resources, you can give investors the opportunity for growth. You have the commodity they are looking for.

Invest wisely in your business, does that spend have a real impact on your profitabilty? As the leader of your business it is more efficient for you to be working on it, not in it. Outsourcing when you can effectively increases your day’s productive hours.

Money management is the key to business success and profitable cash flow is king. As soon as you have a healthy attitude towards money in mind, put a robust money handling system in place. T. Harv Eker suggests separating your income into a number of specific accounts. In business these would be,

  • Living expenses, wages; marketing; consumables
  • Giving, corporate social responsibility
  • Education, continuing professional development
  • Saving to spend, contingencies.

For some businesses, looking at the bank balance is enough to tell the owner how things are going. But for many, proper cash flow forecasting is essential. Many solid profitable businesses fail due to cash flow issues if there is a large increase in orders or a major new contract. This need not be the case. With proper planning, appropriate measures can be put in place to put the business in the best position to benefit from growth.