5 Steps to Stop Avoiding Your Finances
Do you cringe at the thought of looking at your financial statements? Do you often find yourself procrastinating when you think about tackling your bookkeeping? If so, you're not alone. You started your business to do what you love. And bookkeeping and financial statement review likely isn’t part of that. But it’s crucial to your business success to incorporate managing your finances into your week.
The first step to optimize your finances for growth is to stop avoiding them. Before you can get on to optimizing your finances here are some things you need to do first.
Acknowledge the Avoidance
The first step is to acknowledge that you’re avoiding your financial information. Believe me, I’ve been there before. Even though I’m an accountant, there have been times where my business’s bookkeeping gets moved to the back burner because I have so many other things to do. But I also realize the importance of keeping things up to date, so I know how my business is doing.
So, if you’re in this state of avoidance, you’re certainly not alone. Acknowledge it and pledge to do something about it. Avoidance won’t make you feel any better about what could be happening on the financial side of your business. And actually, you’ll likely feel worse because you’ll be anxious about what you might be missing.
Which brings me to the next step:
Understanding the Impact
Now, let's talk about the impact of avoidance. When you avoid your finances, you're essentially keeping yourself in the dark. You're missing out on crucial information that can help your business thrive. It's like driving blindfolded – you're bound to crash eventually.
Avoidance can lead to cash flow problems, missed opportunities, and even financial crises. It's a recipe for stress and sleepless nights. But it doesn't have to be this way.
You can’t grow your business if you don’t understand how your business is doing financially. Your finances literally give you a picture of the health of your business. So if you’re not paying attention, you’ll never get where you want to be.
Embrace Financial Awareness
On the flip side, when you stop avoiding your finances, you gain clarity and control. Financial awareness is your superpower. It's the key to making informed decisions, spotting opportunities for growth, and building a more stable future for your business.
Imagine being able to look at your financial reports and understand exactly where your money is going, where it's coming from, and how to optimize it. That's the power of embracing your finances.
Practical Steps to Stop Avoiding
So, you’ve acknowledged you’re stuck in a state of avoidance and that you could be missing crucial information about your business. Now what?
Here are some practical steps you can take that will have you on the way to optimizing your finances:
Set aside dedicated time: Treat financial tasks like any other important appointment. Block out time, at least weekly, in your calendar to focus on your finances. And then when that time comes, turn off all distractions so you can focus on the task at hand.
Start small: If you're feeling overwhelmed, begin with baby steps. Start out with a small amount of time every few days. Start by going into your accounting software and getting caught up on recording bank transactions. Be consistent and you’ll have things under control in no time.
Set financial goals: You won’t get anywhere if you don’t know where you’re going. Set financial goals and then develop action steps on how you’re going to get there. Measure your progress regularly and adjust as needed.
Create a support system: If you’re truly stuck, think about hiring a professional to help you. Either outsource your financial tasks entirely or hire a coach who can give you accountability to keep you on track.
Celebrate progress: Lastly, celebrate your progress. Recognize the effort you're putting into optimizing your finances and growing a healthy business. It's a journey, and every step forward counts. Celebrate the small wins.
Conclusion
The first step to optimizing your finances is to stop avoiding them. Remember, you have the power to transform your financial future. Embrace financial awareness, take practical steps, and build a support system. And if you need help, hire a professional. You want a growing business that supports your financial goals.
Did you find this article helpful? Let me know! And if you're ready to tackle your finances head-on, reach out to me and we’ll work on a plan to get you on the right track.
