You can hire all the accountants, bookkeepers, tax strategists, all the financial professionals in the world to take care of your business finances but nothing will fully exempt you from being involved. (Find out more about these financial professionals here and here.) The CEO title is a two-for-one package deal because you also need to play the role of CFO from time-to-time.
That CFO role can actually be liberating instead of scary. The easiest way to start doing that right away is to block out time for CFO Days.
A CFO Day is a day you set aside to look at your finances. You need to hold them regularly because it keeps you more consistent, less emotionally involved, and more prepared for future money moves. I know it seems like a lot, which is why I’m walking you through this CFO Day checklist.
Your primary tasks on your CFO Day can be divided into three areas: keeping track of the money going in, keeping track of the money coming out, and the overall financial position of your business. (Read about determining the financial health of your business here).
The sooner you have money in your bank account, the sooner you can make financial plans for investing and saving in your business. Keep track of the money coming in by asking these questions.
People appreciate integrity. When you’re true to your word by paying people in full and on time, you build a loyal following and staff that feels they can trust you. Keep track of the money coming out by asking these questions.
It’s always a good idea to have some sense of whether you’re headed in the right direction financially or if something needs to change. Keep track of your business’s financial status by asking these questions.
(Learn more about a simple but effective budgeting system here).
Hopefully I convinced you to schedule your first CFO Day. I guarantee that you’ll feel more consistent with your money management, it’ll become an easy part of your routine, and it’ll help you secure your business’s future through the finances.
To learn about other healthy financial habits that small business owners should adopt, read my post from the past, 3 Financial Habits That Will Help You Reach Your Goals.
