5th Guiding Principle
Where does your decision-making confidence come from? Is it a gut-feel: "Things seem to be going well; this is quite exciting – let’s just DO IT!" Hmmmm.
Or does your confidence come from having a thorough understanding of your financial position, your budgets and cash flows, and a detailed analysis of the risks and rewards?
Or somewhere in between?
Secret (not) – method two is best! And that’s true, no matter what size your business is.
So you need to be on top of your financials on a regular daily, weekly, monthly basis; you need to understand what the figures are telling you. And, to win that really exciting contract, you need to be able to access and process the information quickly and accurately.
Is it possible for you to do that?
Modern accounting systems and software provide some amazing tools. But it’s better if you have those tools to hand and are familiar with using them before you really need to, especially in the 'by close-of-play today' situation!
Where are you in this scenario? Will you guess, will you put it in the 'too-hard' basket or will you take the risk based on up-to-date, sound information?
Of course, it isn’t just about the big dream contract. Your daily business life will be filled with financial decision-making events – if too many of them turn out to be bad guesses then...