Seeing the Lights Come On.

Image via Wikipedia Recently, I was working with a client who is new to the financials of a business.  I had talked with him at length about his cash flow and how much revenue he needed to produce per month to cover his expenses.  He said he got it but I could see the confusion in his eyes. I worked with him to put together his cost assumptions for his business in finmodel4.  He had a good understanding of what these were going to be.  Next we started modeling his revenue.  The lights really came on when he saw the amount of revenue per month he needed just to cover his expenses. I am not sure … [Read more...]

How Do You Figure Out Your Expenses? Just Ask!

Image by Squonk11 via Flickr Figuring out what all the expenses you will incur can be challenging when you are planning a new business.  You will have literally hundreds of questions.  These questions are the basis of the assumptions you are making when you put together your business and financial plan.  When trying to figure out what your expenses will be, ask other business owners. While you likely can't ask a direct competitor you can ask similar businesses.   If you are running a web based business try to find other businesses with a similar model.  … [Read more...]

Don’t Forget – Two Seminars from Brown Winick

Image by fboosman via Flickr Don't forget to sign up for the Brown Winick seminars on the 22nd of September.  YOU MUST RSVP (see below)  Here is the agenda: Intellectual Property Update 9:30 – 10:00 Registration10:00 – 10:15 How Does the United States Patent and Trademark Office Really Work?10:15-10:45 Why Patent Reform Will Affect Both Patent and Trade Secret Rights.10:45-12:00 Avoid Litigation and Still Protect Intellectual Property Rights? Really? Lunch Noon to 1  (special guest speaker at 12:45, no it's not me!) Startups Start Here: 1:00 – 2:00 Formation/Choice of Entity: What’s Right for … [Read more...]

Don’t forget – Pitch & Grow is coming soon! Are You Ready?

Image via Wikipedia Don't forget to attend Pitch & Grow V set for Thursday, September 29.   It is a great venue to "test drive" your pitch.  If your not ready to pitch your company, think about attending to get some great ideas on how you might pitch in the future.   Who pitches:  Entrepreneurs at virtually any stage in the business life cycle who want to practice their pitch in the areas of: Investment, Sales or Business Development Each entrepreneur provides a 10-minute pitch, and then receives 30-minutes of constructive feedback and ideas for … [Read more...]

We have our winner! $5K to Matthew Smith of Des Moines!

Matthew Smith of Des Moines won the Central Iowa regional winner in the Dream Big, Grow Here contest. He won $5,000 and the chance to compete with the other seven regional winners throughout the state for a $10,000 statewide prize.  Smith’s business idea, a Facebook fan page generator for real estate agents, received more crowdsourced votes than any of the other business ideas submitted. By the final tally, Smith’s idea received 3,765 votes to the 2nd place’s Locusic with 3,187.   Matthews plans on investing his $5,000 into the development of his new business. He’s anxious to compete at the … [Read more...]

Accounting Systems and Planning Models, You Need Both!

Image by mihalysoft via Flickr With the launch of StartupModels.com, I have been asked about the planning model, finmodel4 and accounting systems. There is a large difference between a planning model and an accounting system.  Many people update their planning model with actual expenditures to evaluate the validity of future plans.  This process many times results in updating the plan accordingly.  That is fine, but it is no replacement for an accounting system.   A planning model is just that, for planning the future, while an accounting system is for tracking … [Read more...]