8/16/2021 Tip: Why You Need a Financial Dashboard | Growthink

8/16/2021 Tip: Why You Need a Financial Dashboard

Today’s Quote

“Better understated than overstated. Let people be surprised that it was more than you promised and easier than you said.”
~ Jim Rohn

 

Today’s Tip

A financial dashboard is a series of numbers that you look at on a periodic basis to judge the financial health and the performance of your business. Your financial dashboard also helps keep you and your team stay focused towards achieving your goals.

Your dashboard can be maintained in Microsoft Excel, online, or in any other program of your choosing.

Importantly, the financial dashboard allows you to always know what’s going on in your business, and alert you to problems before it’s too late.  As you probably know, you cannot improve what you cannot measure, and you need to track your progress to make sure you are always getting closer to achieving your goals.  Your financial dashboard allows you to achieve these two objectives.

The key to your financial dashboard is the metrics you decide to include in it. Another name for these metrics are your “KPIs” or Key Performance Indicators. As the name indicates, KPIs are the metrics that judge your business’ performance based on the success you would like to achieve.

Examples of KPIs you might want to measure in your business include:

  • $ sales/revenues
  • # of new customers
  • # of subscribers
  • # of PR mentions
  • # of website visitors
  • # of products manufactured
  • % cost of goods sold

Importantly, maintaining a financial dashboard (FD) with the right Key Performance Indicators (KPIs) will lead you to success. 

 

Today’s Resource

Is Your Business at Risk of Failure?

Most businesses fail — they die a premature death. I hate to be so blunt, but this is the truth. The only thing that varies is just how many businesses fail.

What’s the number one cause of this failure? 

Well, according to Dun & Bradstreet, the primary cause is lack of strategic planning. 

Entrepreneurs and business owners don’t plan to fail. Rather, they fail to plan (which causes them to fail).

On this page I show you how to quickly and easily create your strategic plan to grow your business faster and enjoy more success.

 

Trivia

Today’s Question: In 1984, Gillette reportedly offered members of which rock band $1 million each in an unsuccessful attempt to get them to shave their beards for a television commercial?

Previous Question: Headquartered in Sandy Springs, USA, which company is the world’s largest package deliverer handling more than 15 million packages a day in over 200 countries?

Previous Answer: United Parcel Service Inc., commonly known as UPS.

UPS is well-known for its brown trucks, internally known as package cars (hence the company nickname “The Big Brown Machine”).

 

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