Financial Tip – Use a Financial Planning Tool for your business

Your business is your thing. Your creative outlet, your passion project, and you know your product or service better than the back of your hand. You can create it, sell it, and talk about it all day long. Yet how good are you at managing the “business” side of your business? If the financial side is bogging you down, a financial planning tool might be the solution for you.

There are many different types of financial planning tools on the market but here are a few typical features you may want to look for when selecting the right one for your business:

  • Reporting on KPIs
  • Reporting on ROI
  • Budget management
  • Cash flow monitoring
  • Forecasting based on the previous year’s numbers
  • Exploring various financial scenarios (such as hiring a new employee)
  • Automated analysis (regular emails that break down how you’re doing)
  • Financial updates that help you see which areas of your business are performing best, and which might need some help.

Besides all the capabilities, it’s important to screen for usability, too. Is it easy to use and understand? Is it cloud-based? Will you be able to import data from other commonly used software platforms such as QuickBooks® small business accounting software? Tools are only useful if they simplify your life, not make it more complicated.

Whichever program you choose, your business will surely benefit from having an organized financial plan, so you can get back to doing the part you do best.

*QuickBooks is a registered trademark of Intuit Inc. in the United States and other countries.