Budgets are no longer unchanging entities. In the midst of the information age, with transactions moving faster, business spanning the globe, and technology providing helpful tools to re-plan and re-think budgets, many small businesses are adopting a new way of thinking about their financials.
Conventional budgeting wisdom offered this guidance to small business owners: create a budget and don’t stray from it. An article from CFO Magazine points out that traditional budgeting is expensive, time-consuming, and quickly becomes out-of-date within a few months.
The benefits of rolling forecasting are vast, but overall, the methodology allows small (and large) businesses greater ability to adapt to what many people say is a volatile financial environment.…Continue reading