“As everyone wishes 2020 to be done and 2021 budget planning ramps up, CFOs are prioritizing cash, sustainability and clairvoyance.”
This is a reminder that all business planning and budgeting requires guessing the future. Times of crisis mean much higher uncertainty. But we don’t just guess — we guess, then track results, and then revise. Our guesses get better over time.
Many small businesses don’t create budgets. This is a huge mistake: Budgets provide guidance for short-term obstacles and long-term planning. They provide focus. Without a budget, you have no measuring stick to evaluate your goals and performance.
