July is Money Month and this week we’re discussing money leaks, those areas of business where money might be leeching out of your business, trickling down the drain and you’re not doing anything about it!
When was the last time you did an audit of your bank account?
And when was the last time you really looked at all those Direct Debits, Standing Orders and Recurring Payments (yep, these are the tricky ones that don’t always show up until they’ve been taken!!) and knew exactly what was coming out and what you were really getting for that dosh?
We’ve all been guilty of signing up to membership clubs, one off programmes, private groups, regular workshops, networking etc, that costs £15/£20/£30/£50 (whatever the price is, you’ve justified it) and then not always maximising that investment.
How much do these add up to for you? £50, £100, £150 a month?
I’ve saved nearly a £100 recently by cancelling 3 regular payments that I really wasn’t getting any value from and had told myself for months that a) I would cancel and b) I would really start to use it the following month (& never did).
What else could you be spending that money on? Or would it be better to not have that expenditure in the first place and feel a bit easier about your bottom line?
FOMO (fear of missing out) drives us to do this. We sign up for sh*t that we don’t need or really want but think is going to transform our business into something amazing. Usually with the promise of shiny happy people holding hands over coffee, the reality being you still have to do the work to make it happen and business is sometimes tough and we all have to work at it.
What value do you get from these things you’ve signed up to and are paying for?
Be honest with yourself.
Be true to yourself.
Put your hand on your heart.
And then justify that expenditure as if you were sitting in a Board Meeting and explaining your budget to the CEO (that’s you by the way!).
I really want you to think about the money that you are giving to other people right now and the value that you are getting from it. There are some amazing people out there who deliver great value. And then there are things that we pay out month after month that really we don’t need.
My background originally was in banking and in those days
a) you weren’t allowed to go overdrawn and
b) you were encouraged to know what was in your bank account every single day
And as my career progressed and I was responsible for staff and expenditure budgets I always remember a really amazing lady telling me that she treated her budget as if it was her own housekeeping money – and do you know what, that also stuck with me.
Even when it wasn’t my money, it was accounted for, justified, and value was shown.
Those habits have stayed with me for over 20 years and I would really encourage you to know your income and expenditure inside out.
So, here’s some quick advice from me:
- Build a habit.
- Review your bank account every month and know what is leaving it on a regular basis
- Ask yourself if you are getting value from it – proper real value that is business or personal development related
- Shiny object syndrome – are you a bit of a magpie? Be honest about where your weakness is.
- Does it really serve you? Can you use that money in better ways?
- Is it a luxury you can’t afford right now? Don’t be afraid to cancel stuff. It’s your decision. Don’t be so British about it all!!
I’d love to hear your stories
I’d love to know what’s going on for you with your review
And I’d love to know if you’ve saved money by doing your ££ audit
July is continuing to be “Money Month” and over in the private group we’ll delve into all things money where I’ll be on some live sessions talking about money and business. So come on over and join us at Build Your Brilliant Business with Anna.
And if you want to get a really quick handle on the Money Stuff, why not download the super helpful and easy to use workbook I created “Stepping into your CEO Shoes” which not only covers your Compelling Vision, Goal Setting for Success and the Power of Reviewing but also the Super Important and Business Critical “Money Stuff”. Grab it here.
Keep having an awesome July and remember you are the CEO of your business, it’s your path and you’re following it!