This Power Tip will help you use your cashflow management skills to do scenario planning for your business, and to review investment opportunities.
These skills are important as you plan and grow your business.
- A good place to start is to consider what would happen to your cashflow if you only achieved half the expected sales? What would you do and how would you manage your costs?
- The best way to do scenario planning is to use your cashflow spreadsheet. Analyse your cashflow and how it changes with different scenarios.
- A cashflow spreadsheet can also help you pick the right time to make a new investment in your business.
“I’ve received business coaching and they have helped me start my business as well. I did have a business plan and a cashflow plan already because I’d done one for the NEIS program. We simplified it to the Many Rivers format and Tania, my Many Rivers business coach, has been very helpful with profit and loss statements.” – Trista, Trizzy’z Hair, Cressnock NSW
We hope you feel like you know more about scenario planning now. If not, try out one of our other resources on this topic. Not everyone learns the same way. That is why we have videos and articles, and even some worksheets and podcasts on each topic.
For existing clients, make sure you reach out to your business coach if you have any more questions about this topic. It is always a good idea to talk about what you just learnt. They might even have some more tips to share with you.
If you are new to Many Rivers, find out more about what we do by looking at some of our client stories. Each of our clients have a very different journey to share about their business and their experience working with Many Rivers. You can read about the different programs we have available here.
If you would like to read an article explaining scenario planning, here’s the link:
We know there are many people out there looking to take the next step of setting up their own business. Has this resource inspired you to take the leap?
We’re ready when you are.
Please take the Small Business Self-Assessment and see if we are right for you.