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Tagged: “Financial Management”

Refining Your Processes and Building Great Financial Packages For Your Food Business

Refining Your Processes and Building Great Financial Packages For Your Food Business

Dan Lemmer of the Wisconsin SBDC’s capital access team talks about how there is value in having a process for financial management and fine-tuning it as you learn more about your business. For example, if you project your needed cash or total sales based on a specific set of assumptions and track it accordingly, you can see how accurate you were and get better at projecting as a result. The more you have the ability to analyze what went right or wrong, the more useful your financial model and plan are to making business decisions. Being able to have both an accurate history and a record of making realistic projections that were met can give entrepreneurs credibility with lenders, investors and the business’ board of directors.

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How Your Food Business Can Build Great Financial Systems

How Your Food Business Can Build Great Financial Systems

Dan Lemmer of the Wisconsin SBDC’s capital access team talks about building great financial systems and realistic projections for food, beverage and value-added agriculture businesses. From the entrepreneur’s perspective, the most important thing when using an accounting package is to ensure accurate setup and data entry so that they are able to produce accurate financial statements. Dan cautions entrepreneurs to only track the information they plan to use. One of the biggest decisions entrepreneurs make in setting up their financial systems is figuring out how much to outsource vs. do in-house. While entrepreneurs need to understand their financial statements and financial drivers, they can often have an outside person come in monthly or quarterly to help take on the more complicated accounting and tax issues, including adjusting journal entries. Then, once the business grows, they can hire someone in-house to help them manage that process as well as help with financial analysis and projection.

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