Maintaining strong control over your business finances is the foundation of any successful enterprise. Whether you’re a startup founder or managing an established company, these five strategies will help you stay on top of your financial health while positioning your business for sustainable growth.

1. Master Your Financial Documentation

Proper financial records are the backbone of sound business finances. Implement these key documents:

  • Profit & Loss Statements: Track revenue versus expenses monthly to spot trends

  • Balance Sheets: Understand your assets, liabilities, and equity position

  • Cash Flow Forecasts: Project 90 days ahead to anticipate challenges

  • Detailed Budgets: Allocate resources strategically across operations

Pro Tip: Cloud-based accounting software like Xero or QuickBooks automates much of this process while maintaining accuracy.

2. Implement Smart Cost Control Measures

Reducing unnecessary expenditure boosts profitability without compromising quality:

  • Audit high-cost areas (often materials, labour, or overheads)

  • Renegotiate supplier contracts annually

  • Adopt lean processes – eliminate duplication and waste

  • Outsource non-core functions like payroll or IT support

Client Example: A Devon-based manufacturer saved £18,000 annually by switching to local suppliers and automating inventory ordering.

3. Actively Monitor Cash Flow

Cash flow issues sink more businesses than lack of profit. Stay ahead with:

  • Weekly cash flow reviews (not just monthly)

  • Strict 30-day payment terms for clients

  • Upfront deposits for large projects

  • Emergency cash reserves (aim for 3 months’ operating costs)

Warning Sign: Consistent late payments from clients often indicate future cash flow problems. Address these early.

4. Develop a Strategic Financial Plan

Your financial roadmap should include:

  • 12-month profit targets with quarterly milestones

  • Investment priorities (equipment, marketing, staff)

  • Risk mitigation strategies for economic downturns

  • Tax efficiency planning with your accountant

Action Step: Schedule quarterly “finance days” to review and adjust your plan.

5. Seek Professional Financial Guidance

Even seasoned entrepreneurs benefit from expert advice:

  • Business coaches help align finances with growth strategy

  • Accountants ensure compliance and tax efficiency

  • Financial advisors assist with long-term wealth building

At ActionCOACH Exeter, we’ve helped dozens of local businesses transform their business finances through our proven financial control frameworks.

Take Control of Your Business Finances Today

Implementing even two of these strategies can significantly improve your financial position within 90 days. Start with:

  1. Setting up automated financial reporting

  2. Identifying one cost-saving opportunity this week

Need help strengthening your financial foundations? Contact us for a complimentary consultation:

📞 01392 325225
📧 andrewdegroot@actioncoach.co.uk