Well, here we are again. It’s almost the middle of June- almost the middle of the year. How are we doing? I looked at the membership numbers for the Quickbooks for Landscape contractors group in Linkedin. My goal was 100 members by the end of June. We are at 95- I had better pedal a little faster if we are going to get to 100 members by June 30. Or does it matter? Does it matter if we hit 100? The world won’t change. There is no financial risk, no manager coming into my office to let me know I missed my numbers. Why do I care? Because it is a goal- that’s all, and that’s enough of a reason for me.
How about your goals? Did you write them down for this year? Did you look at them often?
June is a BIG month to look at the goals to performance. We are at the end of the month, the quarter and the half. Now is a good time to look and decide if you have to adjust projections and make tweaks going into next quarter. If you are behind, it is a good time to understand why and figure out what expenses are going to be cut and how you intend to make up the lost ground in the sales or profit area. There is still plenty of time to get into a better position by year end. If you are way ahead of your goals, chances are you will want to make some changes to your tax strategies, better sooner than later.
One of the best features of Quickbooks is the ease of reporting. I really like to look at reports that compare this year to last. Some of my favorite reports for figuring out how I am doing are those that compare this years quarter to last year, this quarter to last quarter and my personal favorite- the rolling 12, compared to same rolling 12 a year ago. These can all give you a great idea of how you are doing, and you can see the % change, which will help you see trends in your business. If you see these trends early enough you can possibly keep a 1% drop in revenue from becoming a 4% drop in revenue. There are lot’s of other things you can pick up from these reports as well- like goals to actuals. (Budgets to actuals) You did do a budget- right? If not, this is a great time to make it a goal.
Not having goals (or budgets) is like driving cross country without a roadmap, in the dark, with no lights. Not that it can’t be done, but best of luck in getting there in one piece. If you have a goal, check it often, just to make sure you are on track. If you have never done a budget, or formal goals, give it a shot. If you miss it, at least you will have a target, and learn some about your company in the process.
What are some of your favorite reports and ideas on creating budgets?
Hope you all have a great week. If you think of it, I would greatly appreciate it if you would refer the Quickbooks group to someone you know- we need 5 more members by the end of the month to hit goal.