6 Tips for Fixing the Money Challenges in your Business

Business money challenges show up in 2 different dimensions.

Money is one of the biggest stressors in business. And not just when you’re not making enough of it.

Sometimes, even when the sales are rolling in, the numbers still don’t add up.

There’s money coming through the door… but somehow, not enough left over to pay yourself properly, build up a cushion, or invest for the future.

That’s because business money challenges show up in two distinct dimensions:

1. Understanding and managing your financials
2. Generating more money through better marketing and sales

If you’re missing the mark in either area, the pressure builds and running your business can start to feel more like treading water than making progress.

In this article, I’ll walk you through the most common projects I help business owners with in both dimensions: from setting up smart financial systems to building profitable marketing and sales strategies.

These are practical, real-world solutions that can help you take control of your numbers and actually build wealth through your business.

Let’s dive in.

The first dimension of money is understanding the financials in your business

This includes things like:

• Reading and interpreting your financial statements
• Understanding your cash flow
• Setting and tracking financial KPIs (key performance indicators)
• Accounting for all costs in your quotes and maintaining a profitable margin on sales

When you haven’t had any formal education around “the arithmetic of business” – these things can seem complex and perhaps a bit intimidating.

But not knowing your numbers can lead to big financial problems in your business.

3 projects that I frequently work with clients on in this dimension of money are these:

1. Avoiding profit-killing discounts

Many business owners believe that the best or easiest way to win business is to shave some money off the price.

The problem with discounts is that they come directly out of your profit margin.

Competing on price is a race to the bottom and unless you’re very certain of the costs entailed in producing your product or service, it can result in making sales that actually lose money.

2. Managing cash flow

You can have a profitable business on paper, yet still run into serious cash flow issues.

Things like delayed customer payments, unexpected expenses, or poor timing between when money comes in and when bills are due can leave you scrambling to make payroll or cover operating costs.

Cash flow isn’t just about having enough money. It’s about having the right money at the right time.

I help clients get a clear picture of where their cash is going, forecast what’s ahead, and put systems in place to smooth out the peaks and valleys—so you’re not caught off guard by a sudden shortfall.

3. Having a system for controlling, managing, and reporting the company finances

I often say that the small business community is poorly served by their accountants.

Financial reporting is for more than just taxes. Knowing the right numbers can help you make better decisions so that you build real company profits.

I often work with my clients to create a scorecard to help them assess their performance and make better decisions about their business finances.

The second dimension of money is “how do I make MORE money?”

The answer to challenges in this dimension revolve around sales and marketing.

3 steps in this area are the following:

4.  Developing a step-by-step marketing plan

Our goal with this project is to significantly increase the number of clients you serve, your revenues, and your profits – without taking all your energy away from your day-to-day business.

To do this, we need a plan to create focused advertising, marketing, and online strategies to draw clients into your business week in and week out.

5. Learning solid sales skills

Getting better at sales is part mindset and part skill building.

Many of my clients are uncomfortable with sales. They believe that selling is pushy or icky. This requires adopting a different mindset about selling.

Others are already aware that they need to develop skills: “I was good at getting people into a meeting – but not so good at closing them.”

If you want to make more money in your business, learn how to sell!

6. Finding the most effective appeal for your services

This one is related to the “profit-killing discounts” that I mentioned earlier.

When it comes to marketing, it’s important to find a way to position your products or services in a way that is different and/or better than your competitors.

This way you can differentiate yourself and your firm from your competition so that you can maintain profitable pricing.

Money challenges are solvable!

Business challenges around money can be disheartening (“we’ve been working so hard and this is all we have to show for it???”) and sometimes frightening (“oh no! we might not make payroll this week!!!”)

The good news is that money challenges have solutions.

I’ve helped many clients turn around their financial situation – often quite quickly – through better understanding of financials, better pricing, and improved sales and marketing.

If you’d like some support to resolve the money challenges in your business, I invite you to book 15 minutes on my calendar to discuss coaching.

The call is confidential – and will be the first step towards banishing money problems from your business for good.