Budgeting for Next Year

Third quarter is drawing to a close and it is time to start focusing on the new year. The 2009 fiscal year is on track to be one of the worst that our nation has seen. On the bright side, if your company still in business you are doing something right. So take some time now to prepare for another year of struggle.

Begin looking at the budgeting and forecasts for 2010 now. Look at 2009 and see how sales were. Did they slip, maintain or possibly even go up? Whatever happened, for a conservative 2010 forecast, take the sales number and drop it by 10%. Is the company going to be able to survive with 10% less income. If not, start looking at what needs to be cut. Do layoffs need to be made in the beginning of 2010 or does over head need to be cut. Determine what items can go and start planning on how that will be executed.

Then start thinking about how sales can be prevented from dropping. If marketing avenues are being ignored, pursue them. Start contacting clients about next year, beat your competition to sale. If new products are in development, focus on how they are going to be placed in the marketplace to be competitive and make money.

Start focusing on cuts and sales maintenance now for success in a rocky 2010.