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CHAPTER 8 MASTERING YOUR MONEY

As a result, many of them will avoid managing the numbers
or delegate the entire task to a spouse, relative or a ‘trusted’
friend. “I don’t know anything about the numbers. I let Mary
take care of it.” I can tell you right now that if you do not
know your cash position, sales revenue and costs at the tips
of your fingers and leave it to someone else, there is a 95%
chance you will go bust! If you want to succeed in any business,
you have to start dealing with this fear and be aware of your
company’s finances.

3) Procrastination
Finally, many business owners I know tend to place their
finance and accounting matters as the last priority. They are
always focused on making the product, providing the service,
dealing with customers, selling their company or managing
their people. “I have no time to do the books.” “I’ll do it later!”

As a result, their accounts are never up to date. They will only
know their May sales, cost and profit figures in September!
It is like a basketball team playing a match without being able
to see the scoreboard until two weeks after the game!

If you are playing a basketball game without knowing what
the score is, then how will you know if you are winning or
losing? How will you know if your strategy is working or not?

Well, the same thing goes for your business. All successful
entrepreneurs have their eye on the scoreboard constantly.
You have to track and measure your sales revenue, your costs
and your cash flow on a daily, weekly and monthly basis!
With all the relatively cheap and sophisticated software like
Microsoft Excel and Money, anybody can do this!

SECRETS OF BUILDING MULTI-MILLION DOLLAR BUSINESSES 227