From Survival to Strategy: The Stages of Financial Management

Just as organizations grow, so does... er, should their approach to financial management.

Let's break it down:
1. Survival Mode: The 'ol bakery till - counting cash at the end of the day, hoping there's enough to keep the lights on.
2. Performance Tracking: The finger in the air - getting a feel for how things are going and keeping up with legally required reporting, but that's about it.
3. Strategic Planning: The dashboard - comprehensive data analysis driving informed decisions and future growth.

As we progress through these stages, we're not just tracking numbers—we're reducing organizational drag and paving the way for exponential growth.

Amazingly, some of the biggest inhibitors to growth could be using old systems and processes past their usefulness.

3 Big Challenges of marketing services (or donations)

I love marketing. I first learned about it in an academic setting in community college for tourism management. That program wasn’t the right fit for 18/19-year-old me, but it did teach an important lesson on how marketing for services (or donations) is distinguished from selling products. Even if you don’t want to be in marketing, you can see how they affect your everyday life.

Here we go. Services are:

Intangible - ahead of experiencing the service, they cannot be seen or touched. Apple stores let you fondle their goods. The same can’t be said for engaging a service business. You may be able to get references, which is why Yelp and Trip Advisor are so valuable, but you can’t smell the fresh pine forest or taste the pan-seared scallops prior to purchase.

Perishable - the root of so much stress; if you don’t raise donations by December 31 or sell out tickets to that event if your rooms aren’t full for the night, you won’t ever be able to sell them again. Ever. Products, though not immortal, don’t have this same curse. There isn’t a secondary “usedexperiences.com” for services.  

Variable - not only is your experience of a given event different from mine, but my experience also changes from one day to another. What if that server at your favourite restaurant quits? Or if the lodge isn’t as fun on rainy days. The experience that you’re selling is fragile. Be careful how you manage your expectations and those you’re selling to.

Promise what you deliver - Deliver what you promise. It was another lesson I learned from that marketing class. I didn’t need to learn anything else from college than that to make that time valuable.

On starting a business fast and small.

Intentions, ideas, and opportunities are great. But, without action, there is no new venture, no entrepreneurship. How many times have you looked at a product or service and thought, “Hey, I had that idea ages ago!” or, “I could’ve totally done that!”. You didn’t. They did. They took the initiative.

Starting a business is like growing a fire. Build a small fire first. Start spending money and taking risks. See where the wind’s blowing.

Don’t wait until you’ve frozen.

Are you selfish enough to become an entrepreneur?

Over the years I've had a fair amount of conversations with people who, in my opinion, swoon over the allure of entrepreneurship. You get to build a business from scratch, make something from nothing. Work anywhere, anytime. Be your own boss. It all sounds so great. But, when we discuss the downside, or perhaps the dark side, I see that those people haven’t even grasped the real meaning of entrepreneurship.

“I don’t know if I can take that sort of financial risk,” most people say. I often agree that maybe they’re entrepreneurial, not necessarily an entrepreneur. Sure, that’s a part of it, but at the end of the day, entrepreneurship is about convincing others to give you money. More or less, you need to be incredibly selfish if you want to succeed.

Did you know: When Steve Jobs and Woz made Breakout for Atari, they agreed they were going to split the pay 50-50. Atari gave Jobs $5000 to do the job. He told Wozniak he got $700 so Wozniak took home $350.

Are you willing to do that?
What if working any time of day actually means all day, everyday?
Are you willing to trade family time to be your own boss?
Are you willing to go to your friends, family, and network, and take what you need, or want?

If not, good. Save entrepreneurship for the selfish.