Are you lonely?
Running a business can be a very lonely lifestyle. You probably went into business for a whole host of good reasons, and with a clear understanding of the problems that running your own business can bring you. But you might not have considered the loneliness. Endlessly making decisions by yourself, holding the sole responsibility for the consequences of those decisions can wear people down. This is not a sign of weakness, it is merely a reflection of the difficult nature of running a business.
Every decision that you make will have a ripple effect of consequences. For example, the pound has suddenly fallen meaning the goods that you import will cost you more to buy. You have a steady demand for these goods. What do you do?
- Do you delay ordering to see if the pound bounces back, but then have to deal with unhappy customers, which will load your customer services department?
- Do you place a small order, to keep your customers happy, take a hit on the profit, and watch the currency markets like a hawk?
- Do you see if you can source the same product in the UK?
- Do you order as normal and regard it as blip?
- Do you think the pound will never recover and consider exploring other niches within your marketplace?
- Do you run away and join the circus…
Each decision has a knock-on effect for your company and your staff. If you choose wrong you may have to lay off your warehouse manager, so that he ends up defaulting on his mortgage and losing his home. Now you cannot make every decision with all of that information in your head, as your head would explode! However, it is vital that you understand the consequences of each decision, and this is why it is easy to end up feeling lonely as you sit in your office trying to understand the resulting issues that may arise from each decision that you make.
Using a management accountant can help to reduce the feelings of loneliness giving you a sounding board and a supportive framework from which to make coherent and financially sensible decisions. When you come to TLA Business Services our management accountants will support you and advise you, so that the decision-making process doesn’t have to be a lonely one. To book your management accountancy meeting, call us today on 01905 21411