Firstly, know that you’re not alone.
The pandemic, layered with rising interest rates, fuel costs, labour shortages, and supply chain issues has given many Founders cause to be financially apprehensive, to say the least.
As you likely know, worry and anxiety can have a significant effect on both your mental and physical well-being. Believe it or not, facing your financial fears and creating a plan to deal with them is the best way to reduce any angst or anxiety you may feel.
And doing so may not be as difficult as you think. Even small steps in the right direction can help you gradually overcome financial concerns by building your confidence—and conviction.
Start with the six steps below to get you back in gear and into the clear.
Get clear on your current financial situation //
Hiding from the situation only feeds the fear. Pulling up the numbers and seeing them for where they’re really at is the first and most important part of this journey.
Identify and prioritize your goals //
It’s tough to pave a path if you don’t know where you’re going. The objective of the goal-planning process is to identify how you plan to live your life and build your business, on your terms, and the money needed to do so.
Build a budget //
Basic? Yes. But also highly effective. That’s because the budgeting process provides a clear and consistent picture of your cashflow—what’s coming in versus what’s going out. Without it, you’re operating in the dark and things always seem scarier in the dark.
Make a plan //
The planning process helps to align your financial goals with intentional action while also allowing for unexpected events along the way. We’ve been talking about numbers as a journey. Think of your plan as GPS, guiding you along the path toward your goals.
Follow a disciplined, repeatable process //
Your financial forecast is the centerpiece of a well-constructed long-term financial plan. As such, your forecast should align with your specific goals, risk tolerance, and timeframe to avoid emotional decision-making, which can derail even the fiercest of Founders. Staying on course requires a disciplined approach. That’s where our Certified Accountability Agents can help.
Surround yourself with a solid A-Team //
Building financial confidence doesn’t come from having all the answers, it comes from asking the right questions, of the right people. Begin by seeking out independent, fiduciary professionals. A well-rounded team will likely include an accountant, advisor, lawyer... in some cases your bookkeeper. Remember, you’re in the driver’s seat. Don’t be afraid to ask prospective professionals what will make them valuable team players. If you’re not satisfied with their answer, move on to the next.
Taking the right steps to overcoming financial fear can be hard to do on your own. If you need a hand, reach out. We're a click away at firstname.lastname@example.org or 1.844.844.3660.
If you're looking for some motivation, join us for our next WAKE UP CALL: 5 DAY CHALLENGE.
We kick off on November 11, 2022.