Plan Your Business Startup Budget Carefully

I’m always saying small business owners are optimistic, but one place you should not let your optimism overwhelm your common sense is in planning your startup budget and your cash flow for the first year.  The biggest mistake small business owners make when they take their business plan to a bank is not asking for enough money.  They get over-optimistic in figuring their money needs for start-up and they convince the bank that those needs are realistic, so they get too little money.  Instead, it would be better to (1) Over-estimate expenses and (2) Under-estimate  sales. Here is what I …read more