• Home
  • Blog
    • Business Partner Magazine Archive
  • Free Contests and Giveaways
  • Resources
  • About Us
    • Cookie Policy
    • Disclosure Policy
    • Privacy Policy
    • Terms of Website Use
  • Contacts

Business Partner Magazine

Tips and advice for entrepreneurs, start-ups and SMEs

  • Business Success
  • Marketing
  • Finance
  • Employees
  • Technology
  • Start-up
  • Productivity
  • Communication

How to Create your Own Start-up Budget in 3 Easy Steps

July 16, 2021 by BPM Team

Click here to get this post in PDF

Too long to read? Enter your email to download this post as a PDF. We will also send you our best business tips every 2 weeks in our newsletter. You can unsubscribe anytime.

Enter your NameEnter your Email Address

Many start-ups adopt very aggressive growth strategies. They also try and make the biggest impact they can but in the shortest space of time. This doesn’t leave you much room for vague planning or surprise expenses. At the end of the day, growth and forecasting can be daunting, and that is why this guide is going to put everything into perspective for you.

Work out your Expenses

The first thing that you need to do is manually create your budget. You can speed up the process if you use the budgeting resources that are found within your existing accounting software. A spreadsheet is the best way for you to budget everything out and it can also help you to work out exactly how much you are paying and on what. Setting an upfront budget will help you to tally up everything you “must” have and it will also make it easier for you to organise your purchases. You have to factor in an emergency fund as well, if at all possible. Some of the many start-up costs you may experience will include vehicles, security deposits, furniture and more. You also need to think about rent, your payroll and equipment, which can include everything from lifting gantry to computers or stamping materials. Break down each expense if possible. You won’t pay a fixed cost for your website for example, but you will pay for the addition of a shopping cart and your domain.

Business people shaking hands in office

Determine your Fixed Costs

The next step would be for you to try and work out any fixed costs you have. This can include your overhead costs. These are business expenses that remain the same every month. A new company will have costs that can include business insurance, phone services, bank fees, payroll and professional services. Don’t forget to budget for things that relate to each cost either. When you have done this, you’ll need to work out your variable costs. This can include your advertising budget, your utilities and your equipment too. You may also have to work out your shipping costs and the cost of your transportation.

Calculate your Revenue

Next, you will need to forecast all of your earnings, depending on the sources of income you have. If you don’t have past sale data, then you need to create revenue projections. You need to do two types of revenue prediction here. One will need to be an optimistic projection and the other will need to be a conservative projection. If you do this then you have a good range to work within. You’ll also need to use a customer persona so you can figure out who is going to buy your goods and services, and how often. Of course, there are many things that you can do to try and make sure that you come out with an accurate number here because it will give you a good foundation to work with.

When you have your numbers, you can then work out if your budget or your income is enough to cover your expenses, so you can give yourself a higher chance of success.

You may also like: Rise Up With Startup: 10 Essential Tips to a Successful

Image source: Dreamstime.com

Filed Under: Featured Posts, Finance, Start-up Tagged With: budget, Featured Article, starting a business, startup

  • Facebook
  • Instagram
  • Pinterest
  • Twitter
  • YouTube

Disclosure

We earn commissions if you shop through the links on this page.

Recent Posts

  • How Is Renewable Energy The Key To A Sustainable Future?
  • Protecting Small Business Owners and Employees: Navigating Workers’ Compensation
  • Small Businesses Champion Road Safety: Promoting Safe Driving Practices and Protecting Their Enterprises
  • The Benefits of Utility Tokens for Investors and Startups
  • Electricity is an important part of our everyday lives

Categories

Archives

Make Money Online – Free Course

  • Discover All The Shortcuts To Affiliate Marketing Success
  • Find Out How To Fill Your Site With New Leads And Customers
  • Discover How To Turn Your Passion Into Profits
  • Learn How To Write Copy That Gets Results Fast!
  • Discover How To Create Promote & Sell Your Own Products Online
  • Everything You Need To Know About Marketing Money Online
  • Strategies For Successful Web Entrepreneurs Inside
  • Discover How To Invest Smarter Grow Faster And Retire Rich
  • Email Marketing Strategies For Marketers And Entrepreneurs
  • Free training reveals how to build a successful six figure income online
  • Discover The Mindset Hacks You Need To Succeed
  • Free Marketing Memberships – Make Money Online

    Make money online free marketing memberships

    Tags

    Accounting apps bitcoin brand business growth business skills business success communication cryptocurrency Customer Service Data design Digital marketing ecommerce Efficiency employees Featured Article finance finances Health and Safety infographic insurance Investing investment legal legal tips Management Marketing marketing strategy Outsourcing productivity property Real estate sales security SEO Social Media software starting a business startup Technology Trading Training website workplace

    Disclosure

    We earn commissions if you shop through the links on this page.

    Digital Marketing Agency

    ReachMore Banner

    Business Partner Magazine

    Business Partner Magazine provides business tips for small business owners (SME). We are your business partner helping you on your road to business success.

    Have a look around the site to discover a wealth of business-focused content.

    Here’s to your business success!

    Copyright © 2023 - Business Partner Magazine·

    x
    x