How is the relationship with your finances? Is it a harmonious one, or maybe more of a love/hate relationship? No matter which way you look at it, money is part of your business. Whether you need every last cent, or you are in a comfortable position, money will be a factor. So it is important to know the flow of your money. Don’t bury your head in the sand about cash flow and hope that everything will work out as you want it to.
Let’s explore the flow of money and how you can create that harmonious relationship with your finances…
Your Cash Flow – Know The Flow Of Money
The basic premise of business is that money will flow into your account in exchange for products or services. Then, some money will flow out of your account for expenses. To be a success, the money flowing in should be more than the money flowing out. That way you can afford to invest in your business and in yourself.
So let me ask you a big question… Are you where you want to be in your business?
Are you able to live the life you want with the way your business is currently running?
If the answer is no, then you have some work to do.
Everyone always bangs on about a work/life balance. It seems to be elusive for many, regardless of their work situation. It doesn’t seem to matter if you work for yourself, run your own business, or work for someone else. Striking that balance is hard.
A lot of people put that down to money. If only I had more money, I could do this. If only I had more money, I could do that. Money, money, money. It makes the world go round apparently.
So, how can you make more money? The answer might surprise you!
How Can I Grow My Income?
Growing your income and making your business a success does not mean hustling more. Goodness knows that you have probably hustled enough to get your business off the ground, to get your name out there and to get some cash flow coming in the door.
Truth bomb: you do not need to work harder to get more money. What you need to do is to change your mindset.
Your mindset is the number one factor for determining your success. If you believe that you can do it, then you probably can (within reason of course!)
If you remove your roadblocks, those things that are holding you back, then you will see a dramatic change in the way that you run your business. You can have less stress, more action, more productivity, and more money.
How Can I Improve My Cash Flow With Mindset?
Often self doubt and fear can prevent you from reaching your full potential. Even if you are passionate about what you do and confident in your abilities, there can still be a hesitation that holds you back.
You can change that.
Give yourself permission to let go of the things in your business that aren’t working as you want them to. That includes problem clients, systems that aren’t functioning well, products or services that cause you unnecessary stress, things that aren’t making a profit, and any other obstacles to good cash flow.
Then, get yourself informed about your business. Know what money is flowing in and what is going to flow out again. Focus on the things that make you good money quickly. So the popular, profitable things that don’t need a big time investment.
Set yourself some goals that drive you to succeed in these areas of proven success. If you can get the bread and butter aspect of your business ticking along well, then you can later look to expand in other areas.
Know Your Business Flow
Your business flow is more than just your cash flow. It is also understanding your mindset. Maybe there are times of the month when you are under more stress than others. During those times, be kind to yourself. You don’t always have to have your foot to the floor on the accelerator.
Knowledge is power. You can use that power to drive your success. Assess your business on an annual and monthly basis. Equip yourself with the knowledge of your busy seasons, your quiet times and everything in between. This will allow you to realistically plan for what you can achieve each month and each year.
Use this information to document your cash flow. You will then be aware of when your business will be cash rich, and the quieter times when you may need a cash buffer. Knowing what is going on in your business will allow you to maintain the right mindset and leave you open to making or taking opportunities when they come along.
Money and cash flow do not have to be scary. They also don’t have to be the main focus in your business. That focus should be maintaining the mindset for success.