5 Money Myths Holding Your Small Business Back 💰

1 Outgrowing Spreadsheets Is Optional

Spreadsheet Budget Belief:

My DIY budgeting spreadsheet works fine! No reason to fix what ain't broke just because we're scaling…

✅ Siloed tracking via rigid spreadsheets invites errors and prohibits real-time clarity essential for building an enduring business.

What may barely suffice early no longer cuts it as your business grows. 

2 Accounting Overkill Weighs You Down

Accounting Overload Assumption:

I should overbuild accounting rigor upfront before audits or exits expose anything missing! ❌

✅ Prematurely implementing advanced accounting solutions, exhaustive even for multinationals, can drown you in needless financial admin.

Right-size record keeping to current size and structure first, then evolve over time. Don't sabotage innovation today chasing theoretical tomorrow problems and ‘busy work’.

3 Outsourcing Equals Losing Control

Relinquishing financial functions like payroll feels too risky - I'll keep everything in-house. ❌

✅Don't spread your team thin trying to self-operate non-core back office functions yourself. Cut costs and regain control by outsourcing such tasks so your team can focus on what matters most.

4 Funding Fuels Instant Growth

Investment Ignition Delusions:

Raising capital transforms market penetration almost overnight! ❌

✅ Don't peddle near-magical myths. Venture capital accelerates growth velocity for viable and battle-tested products but rarely remedies deeper deficiencies like a lack of problem-market fit.

Fix faulty business model models first, then consider raising outside capital, but only if you need it.

5 Revenue Trumps Profit Always

Revenue Over Profit Fallacy:

Focus first on driving sales at all costs - profit comes later! ❌

✅ Margin matters. Increasing revenue without controlling costs can lead businesses straight to bankruptcy. Focus on building a profitable, sustainable, and scalable business. 

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Parpera simplifies your cash flow, spending, profitability, and other key metrics so you gain clarity and control to make decisions with confidence.

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Published on the
January 19, 2024
Small businesses

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