Every entrepreneur may be excited to open and operate their brand-new business, but financials are going to keep the business running and thriving. Nick Loper, founder of Side Hustle Nation, emphasizes “Market conditions can change, algorithms can update, clients can leave, or key employees could jump ship. Earning money today doesn’t guarantee earning money tomorrow.” CNBC.com recently published an article with five topics an entrepreneur may want to keep in mind as they run their business. The article gives a grim but important reminder that in today’s business world, things can change quick, and entrepreneurs need to be ready to handle these quick changes.

The first tip the article provides is “Seek Predictability.” Since there are so many uncertain changes that may come while operating a business, it is important to stick with what you can rely on. Next, the article states “Count Those Beans” as a reminder of how important accounting can be. It is recommended by many to at least learn some accounting basics. This is how you can keep track of what is coming in and out, while also being aware of how much your business is making. The next bit of advice is “Cash is King” as a tip for handling bills. The article stresses the importance of strong cash management. Just because there is a lot of business, does not mean your cash flow can sustain your doors being open. The article also advises you to “Dream Big” as your mental management goes hand in hand with your financial management. Strong finances are worthless when there is no ambition to use them. Finally, the article advises you to avoid “Quarterly Confusion” by being on top of your taxes and learning about your taxes. These tips will help your business run more smoothly and keep the doors open longer.

To read the full article, check out the following link: https://www.cnbc.com/2020/02/04/not-knowing-these-five-things-can-threaten-a-new-business.html

For help with your small business needs, contact the Elon Law Small Business & Entrepreneurship Clinic at businessclinic@elon.edu.