The month of April is not just tax time; it is also the beginning of the 2nd calendar quarter of the sales year for most businesses. As you complete your taxes, it’s also a great time to review and revise your sales forecasts for the next three months.
In the process of preparing to file your taxes, of course you have used your small business accounting software to ensure that all of your bank data is correctly entered, to generate all of the up-to-date financial reports that your accountant requested, and to give yourself an honest picture of the financial health of your business.
Armed with all of this data, you can now take the time to review the activities of the last three months in order to make your plans and projections for the next three months.
- How many quotes, proposals, or pre-sales activities (as defined by your business model) were submitted in the 1st quarter?
- How many actual deals or sales were closed?
- How much revenue was collected?
- What was the expected revenue for each project, client, customer, or sales group?
- How close were your projections of expected revenue vs. actual revenue?
- What is the potential value of each project, client, customer, or sales group?
- What is the projected revenue for each project, client, customer, or sales group that is still in the “possible” column?
- What is the expected close date for the deals of any project, client, customer, or sales group not yet booked as expected revenue?
By setting aside some dedicated time to honestly review the last quarter and realistically project for the next quarter, you will be ready to make the decisions necessary for a productive and profitable 2nd quarter!
Kashoo Inc. (http://kashoo.com) develops easy-to-use accounting and bookkeeping software for small business owners around the world. Check out the company’s new iPad app, ideal for entrepreneurs on the move: available on the App Store. Founded in 2008, Kashoo is located in Vancouver, Canada. For more information about Kashoo, visit http://kashoo.com.