If we were having coffee together today (well, tea for me!), I’d tell you that I’m training to run a marathon right now. It’s my first road race of any sort in nearly a decade – I completed 7 marathons in my 20s and replaced running with multiple IVF treatments, 2 pregnancies, 2 births, raising two little girls, and building a business
When I was in second grade, I memorized all fifty states, in alphabetical order in a day, thanks to the catchy song, Fifty Nifty United States. #iykyk
Because I was an 8-year-old overachiever, I boasted to my teacher that I would also memorize all (at that time) 41 presidents in order and that I would recite them to her the next day, giving me roughly 18 hours to accomplish my self-imposed challenge
Monthly finance habits aren’t just about looking at the numbers – they’re also about changing behaviors to proactively make smarter decisions that will ultimately affect your bottom line! You should know what you made, spent and saved every single month so you can understand how your business is doing.
Because here’s the #truth:
Imagine…
Every month, you’re feeling better and better about your business’s progress.
You’re making more sales than the previous month and even started growing your subscriber list!
But then it happens: A surprise that ruins everything.
You get slapped with a problematic charge or lose out on some additional revenue because of an oversight in billing. The news weighs heavily on your shoulders. How could this possibly happen? Everything was going so well!
Was it an oversight because of poor forecasting, with you not accounting for this possible charge?
Perhaps you fell short in some area of your business? Or maybe the competition was more aggressive than you thought they would be?
Things like this happen in business, but there’s one thing you can always do to keep your financial outlook clear:
Make your goals a monthly habit.
Not quarterly.
Not annually.
MONTHLY.
If you want to stay on top of your business finances, then you need to keep an eye on how much cash you have in the bank EVERY MONTH.
If you want to stay ahead of your taxes, then you need to make sure you are tracking how much money your business made EVERY MONTH.
If you want to stay on top of your bills, etc., then you need to make sure that sales are forecasted EVERY SINGLE MONTH (preferably before the end of the month).
It’s easy to get sidetracked with so many responsibilities, so proper planning is vital to keep your business running smoothly.
Click here to learn more about how you can start designing your own monthly finance routine.
You can take control of your business finances by implementing good + consistent monthly finance habits. And it’s not as hard as you think! Here are 3 monthly habits that you can start practicing today.
Updating your books should be done at the end of every month or even weekly, if you’re a solopreneur. Review your bank statements and reconcile them. Make sure the numbers add up!
You can read more about how to do better bookkeeping here: How to Improve Your Bookkeeping in Three Steps
A monthly P&L review will help you make sure your income is growing and that you’re on track to achieving your financial goals.
Here’s a simple way of doing it:
In either case, this would be an opportunity to dig into the details and find out where things really went wrong so you can do better next month.
Check out this podcast episode where I talk about what goes on behind-the-scenes of a CFO meeting, what’s a P&L statement, and how measuring this metric is key to better forecasts: https://100degreesconsulting.com/episode-34/
Forecasting is every entrepreneur’s best friend. That’s why you need to make sure your numbers are forecasted every single month!
Doing so will help you figure out how much cash you need to have in the bank NEXT MONTH before everything else comes up (like taxes). We usually do this BEFORE the end of every month.
If you’re having trouble with this concept, start SUPER small – maybe use 2-3 months’ worth of expenses as a benchmark. Then grow that number slowly over time until you find something that feels comfortable for your business. That way, you not only prepare for them, but also help ensure your bank account has enough cash to cover even surprise expenses.
Questions to ask yourself when forecasting:
It all comes down to this: If you don’t plan ahead and make your financial goals a MONTHLY HABIT, then you won’t achieve them no matter how big or small they are.
Set financial goals that are measurable and timely. If you want to reach $500k in sales by year-end, then break down how many sales per month it will take to get there.
Set realistic expectations, so you don’t sabotage your progress. Let’s say you want to grow your clientele by 10% each month. If that doesn’t seem possible, then adjust the goal accordingly: 5%, 7%, etc.
Perform an inventory count to make sure you don’t run out of any supplies, you have enough hours to complete a project, etc.
Proper planning is necessary to keep things running smoothly behind-the-scenes.
In order for you to achieve your goals, have a monthly finance habit that includes:
By working these three things into YOUR monthly routine ahead of time, they’ll become second nature. Before long, instead of feeling stressed about it all, you’ll know what is coming each month so there’s no “surprise!” when it comes to your business’s numbers.
Is it too late to talk about power words a.k.a your Word(s) of The Year? I want us to talk about this for a hot minute… and if you haven’t picked your power word for the year yet, maybe this can even help you with that!
Now, I don’t know about you, but I love picking out my power words because they act as special reminders that help us become more focused on what we need to power up for the year.
For example, my word(s) of the year are Intentional Ease.
That’s because, as much as I love taking action and doing #allthethings, I am also well-aware that I need to be intentional about what needs to be done, and do so in a way that does not cause unnecessary stress for me, my team, and our clients.
So, not only do my power words help me narrow my focus and get more strategic about the tasks that I want to tackle, but it also allows me to be more present in how I live my life and run my business.
“But I haven’t quite picked my Word/s of The Year yet, Stephanie! How do I even choose when there are sooo many things I want to manifest in 2022?”
Worry not, my friend!
I’m not asking you to identify an action step or a word that is meant to be achieved completely this year. It doesn’t have to sound cool or poetic either. Rather, it’s about a word or an intention that you want to weave into your life over the next 12 months.
For example, mine is Intentional Ease and I want to bring ease into every area of my life – be it in mindset, health, relationships and business!
Having power words doesn’t mean that they will play out exactly how you imagined. So, in order to prevent power words from draining your energy, it’s best to use power words that play into what I like to call “power moods.”
There are tons of power moods out there! Here’s a few examples to give you some perspective: ambitious, happy, relaxed, unfazed, and unapologetic.
You can even make a list of words that have unique meanings to you!
If there’s something great that went on in the previous year that you want to bring into the next, then there’s no harm in choosing words associated with the power word you chose in the previous year.
For example, in 2019, my power word was BUILD. Then in 2020, my power word was EXPANSION.
The magic of your power word(s) lies in its ability to act as a daily reminder of what you want to become and how you want your year to go.
One way to keep your power word top of mind is by creating a vision board with your power word written somewhere on big, bold letters! I personally like to use Post-its and my journal as a tangible and visual reminder, but as with anything, you should go for what works for you.
So, whether it’s a poster, a visionboard, or even a journal – just make it tangible and easy to access!
I hope you give power words a try and let’s power up together!
I had this little idea in the back of my mind.
Sometimes when I’d be in the car alone, I’d practice an intro. “Hi, I’m Stephanie! Welcome to my podcast!”
I’d dream of how I’d interview guests. “Tell me the story of your business journey.”
Then one day, late last year, I decided now is the time and it all came together. Equipment, production, marketing, content – let’s just say it was a learning curve.
I am so thrilled to let you know that…
100 Degrees of Entrepreneurship Podcast
Launches on March 1st!
The show is a mix of solo and interview episodes where I chat with inspiring business owners to share their journey and experiences where they pushed outside their comfort zones to create impact on the world.
The first three episodes will drop on March 1st and you’ll be able to listen on iTunes, Spotify, and Google.
Stay tuned for an email on March 1st to let you know it’s live!
New Podcast Episodes Drop Each Week.
Not quarterly. Not annually. Monthly.
If you are surprised when your tax accountant tells you how much money you made last year when they’re preparing your taxes, you’re doing business wrong.
How much you make…
How much you spend…
How much cash is in the bank… 💰
…Should NEVER be a surprise! 😲
Savvy business owners who grow to 6- and 7-figures look at their numbers every single month – both what happened last month and their forecast for next month – so there is no surprise.
1. Do your bookkeeping. Make sure your numbers are accurate and reconciled.
2. Review your Profit & Loss statement and key metrics.
3. Update your projections for the rest of the year.
Have you ever been surprised by the numbers in your biz? Grab our Profit Playbook to build your own plan and never be surprised again! http://100degreesconsulting.com/profit/
If your Profit Playbook is helpful, please share on Instagram and tag me @stephanie.skry
Okay, friend.
I’m going to share a time when I had hit a wall.
I was trying to schedule an important meeting and the only time that was free was in the evenings after my girls were in bed. I ended every single day with a longer to-do list than when I started and I dreaded clicking that Zoom link yet again.
Intentionally working “after hours” was never part of my business plan.
My schedule had become filled with things that I didn’t like doing and that I wasn’t good at, and I knew something had to change.
Instead of metaphorically burning the whole business down (although I threatened it!), I decided to track my time for a few weeks and see where it was going!
Here’s the thing:
Time is an input to results.
We all want results, like hitting a certain revenue goal or serving a certain number of people. There are things we can do to help those results along, and spending our time is one input to our results.
So I looked back at my calendar for the previous five months to categorize and assess exactly where my time was going.
The results?
I spent about 2.5 days a week on calls! I got instant clarity on why I was feeling crunched.
Are you feeling the calendar crunch too? I suggest you do a time study!
Just like analyzing your finances is worthless unless you’re going to use the information to make smart decisions, the time study was pointless unless I actually did something about it.
I started batching calls, blocking time for no-meeting days, and adding rest and creative work time into my schedule so my weeks were more conducive to achieving my goals.
Are you investing your time in what activities will get you closest to your goals?
PS – Your weekly schedule should be a direct reflection of your biggest goals, so make sure that your time is spent on your goals!
Follow along on Instagram to see how my weeks look >>> @stephanie.skry
Welcome to February, the month where New Year’s resolutions go to die!
***thinks of 25 year old Stephanie who made long rambling lists of things to accomplish in 365 days, like “learn to sail”***
Here’s what I’ve learned:
Everything doesn’t need to get done immediately.
True instant gratification doesn’t exist when it comes to our big goals.
For example, I thought about starting a podcast last year but knew that there was important groundwork I needed to lay before doing that. Rather than rushing it and releasing an okay version of the podcast just to check it off a list, I decided to wait until I was ready to do it right. (Hint, hint, exciting things coming!)
I’ve learned that little steps that become daily habits are much more effective to achieve your goals and have a bigger impact. And sometimes the little steps are actually just daily habits that we want to cultivate that will eventually add up to a much bigger impact.
When I wrote this, I went back and looked at my daily routine over the last five years and it has shifted and changed as my goals and priorities have changed. But the common thread is that my routine is always aligned with my goals.
Right now, my daily routine includes:
These daily habits keep me grounded, calm, focused, balanced, in control, and growth-minded. It’s like a mini checklist towards achieving my goals.
If your money or finances are part of your goals this year, your daily routine might include:
PS – Daily routines are mini steps towards our big goals, so make sure that your days look like where you want to go. Want bite-sized pieces of content like this? Follow along on Instagram >>> @stephanie.skry
Lists are kind of my thing. If there are more than two of anything, I will make a list. So December, with its shopping lists, gift guides, and year-end planning to-dos galore, is my favorite time of year.
Speaking of year-end planning, I wanted to share a few things that you can do as a leader to potentially save on taxes and maximize your money, friends!
Many of our clients had a really strong 2020, meaning a large net income. That’s amazing and worthy of celebration, but also comes with a potentially larger tax bill. I like to look at my taxes with gratitude (it means it was a great year!) but I also want to maximize my money because abundance leads to more abundance!
Here are some ideas to maximize your money:
Did you have a year of abundance? Which money maximizing strategies are you using in the next two weeks?
If you want to get on our calendar to maximize your money all year long, schedule a time to chat here >>>
If you aren’t sure which finance pro you need on your team, and the terms bookkeeper, CFO, and CPA are confusing, take our quiz here >>>
Note: This is not tax advice. Please talk to your CPA for specifics on how this applies to your business and personal tax situation.
As originally posted on nonprofitinformation.com
Many nonprofit leaders are hesitant to create major goals this year, given the instability and uncertainty across the country and in our industry. The fundraising landscape has changed drastically in the last year as donors are reconsidering priorities, so nonprofit leaders are being forced to pivot and adapt constantly.
It may seem easier to stay the course, aim low, and hope for the best in terms of fundraising and programmatic objectives. However, it is vitally important, now more than ever, to create goals for your organization.
What you focus on expands.
Goals help us give regular focus to the end result we want to achieve. When we institute goals, we naturally steer focus there, which drives success.
A big goal without a tactical action plan is not likely to be successful. We need to understand the smaller steps that lead to a larger goal. So the process and plan we discuss below gives you a roadmap to get from where you are now to where you want to be and create the impact you want to achieve.
Goals may look different in each season, but the process of setting goals in your organization remains the same. Here are the five steps your organization should consider to set a strategic plan for the year that you will actually follow and achieve.
Now that you know the five steps to creating goals for your nonprofit organization that will actually help you make the impact you want to have this year, it’s time to implement. The beginning of a new year, when you’re also creating your budget, is perfect timing to set these goals, but starting fresh anytime is okay.
Stephanie Skryzowski is a Chief Financial Officer that helps purpose-driven leaders better understand and use their numbers to make smart decisions and grow their impact. She is the Founder and CEO of 100 Degrees Consulting which provides CFO and bookkeeping services to nonprofits and purpose-driven businesses around the globe. When she is not crunching the numbers in Excel, Stephanie is hiking and exploring with her husband and young daughters.
