What we cover
The course introduces key financial concepts, demystifies the terminology, and builds confidence in interpreting your accounts. It is a highly practical, emphasising the importance of sound finance to every business and where to get help. The course starts with a look at finance: what it is, why it matters, how to measure, where to record, and who needs to know.
It then moves on to consider the three essential statements: cashflow, profit and loss, and the balance sheet. We then look at how to draw up a budget before we consider the importance of cashflow and how to manage it. We also learn where to find help and resources and spell out the benefits of using a bookkeeper or accountant. We then turn to pricing, taking a look at conventional wisdom and learning how it falls short, before exploring the danger of discounts and the difference between ‘differentiating’ and ‘discriminating’ on price.
We also take a look at psychology, learning how to create value with price by discussing real world examples where this happens – and, crucially, the effect on your brand. A key point is that humans are not perfect, so we need to identify the shortcuts on which they rely and understand their impact on profits. The course ends with an astonishing conclusion: could you sell more by raising your prices?
What will I learn?
the importance of finance to your long term success the basics of the three financial statements: cashflow, P&L, and balance sheet best practice in drawing up a budget for your business how pricing affects your cashflow the dangers of discounting your products why sometimes raising prices can increase sales.
You can join our trainers, Justin and Francesca, every Wednesday from 1600-1700 for a ‘radio phone-in’. They’ll be happy to answer your questions about business, as well as offer hints and tips from their experience working with hundreds of SMEs.