#71 Fun Financial Planning for Your Jewelry Business with Justin Krane
Who said financial planning has to be a chore?
Stressing over a mess of paper is so last year.
Well, maybe you can’t get rid of the papers, but, it can totally be fun.
I used to think it was the worst, too. But a few years ago I was introduced to someone who made my numbers exciting and fun for me.
Now it’s no biggie!
So take the stress out and put the fun in. Grab a glass of wine, relax a little, and take baby steps towards financial planning for your biz.
My guest today, Justin Krane, is a money strategist and author of the hilarious, wildly informative book, Money: You Got This.
He takes the pain out of financial planning like nobody’s business. In today’s episode, Justin and I talk about gross profit, ROIs, saving, social proof, and so much more. And the best thing? I promise you won’t cringe when we do!
We cover a lot on today’s episode, so let’s dive in and hear what’s up.
Financial Planning Is A Must
Been in business for awhile? You might think you don’t need financial planning. Sorry to crash the party, but you’ll be much better off if you do. Plus, you’re probably leaving money on the table, and you don’t even know it.
If you’re cash-strapped, not regularly saving, paying yourself, or able to put money in your 401k, then you need a plan.
Designers are creative – me, too! – And we tend to just wing it. And that’s great when you’re on a creative bend. But winging it with numbers only gets you so far.
Imagine the freedom you’d have with two months of savings in the bank? It’s a lot less struggle and opens possibilities. That’s what financial planning can do for you.
Three Steps You Can Take Now
There are a few financial planning steps you can take right now. First, you gotta know your monthly expenses and gross profit. So important! These are the keys to unlocking all your financial woes.
Get those numbers, then make these three steps your priority:
- Pay yourself FIRST
- Save a percentage for design and product creation
- Put savings in an emergency business account
We go way more in depth on the podcast…
Once you put this in action, everything else will fall into place!
Cash Flow Hacks
Has your biz ever been strapped for cash? I know mine has. I hit bottom in my biz early on and had to start from the ground up. You’re not alone.
I’m not a big fan of discounts, and neither is Justin, but if you’re on the ropes and stuck with loads of inventory – price it right (and that’s not always less!) and get rid of it! 50% of something is better than 100% of nothing.
But limit this to only one or two times a year.
I also love a good bundle! Try putting your best selling piece with your worst and watch them fly out the door.
Bring in new leads, partner up with other makers or bloggers, and get your conversions up.
…Bringing me back to financial planning.
The whole idea is to set your business up so that you never have to scramble just to make rent.
Put a plan in action! Justin and I cover a lot on this in the episode – including money floaties (I told you he was fun!) – cash you use to test the waters with investments and new product!
YOU GOT THIS!