EP407: How to Feel Cash Confident in Your Jewelry Business
There was a time when I was happy to stick my head in the sand when it came to business finances, P&L statements, and balance sheets. That didn’t bode well for me, as I eventually declared bankruptcy for my first business.
While I wouldn’t wish my experience on anyone, I did learn (the hard way) the importance of looking at and understanding my numbers.
That’s why I’m so excited to have Melissa Houston on the Thrive by Design podcast today. Melissa is one of our Momentum coaches, the founder of She Means Profit, and the author of the new book Cash Confident. She teaches business owners how to ditch all their money stories to become cash confident and grow a profitable business.
Start with a Positive Money Mindset
I hear this all the time from the designers in our Flourish and Thrive community “Tracy, numbers scare me,” or “I don’t want to look at my numbers.” I can tell you from experience, that not paying closer attention to my numbers contributed to my business bankruptcy.
This is why Melissa’s 5-step framework for creating a successful profitable business starts with your money mindset.
“Mindset is a muscle that works out. It's just like any other muscle, you train it, and it will perform better for you.”
As a certified financial advisor and CPA, Melissa spotted a huge gap in understanding between the advice accountants tell their small business owner clients, and what the small business owners understand.
This gap in understanding is what lead Melissa to start her business, create her 5-Step Framework, and write her new book Cash Confidence so that she could help more people understand and interpret the advice and create more profit.
The 5-Step Financial Framework for a Profitable Business
By looking at your numbers and making informed business decisions, you’ll continue to grow, year over year, and most importantly you’ll be able to pay yourself a big wage. Afterall, you work hard and deserve to get paid for what you do!
Melissa’s 5-step Financial Framework includes money mindset, understanding your financial statements, creating a business financial plan, monitoring your results, and managing your cash flow.
But what’s at the heart of everything she teaches is how to safeguard your business so that you ensure that you're going to be in business for the long term.
In Podcast Episode 407, Melissa shares the 5-Step Framework and also…
- How our money stories are emotionally charged
- Why the fear of money is deeply rooted but also irrational
- How to run your business profitably by understanding your financial statements
- Why monthly and yearly planning is so essential
- The smartest way to invest in your business
- And much more!
“If you want to have a financially viable business, then you have to get to know your numbers.”
In this episode, Melissa is going to help you understand why your numbers are so important and also how to get a good understanding of what your relationship is with money.
Here’s a quick overview of this episode:
[5:34] The five-step framework for creating a successful business.
[11:18] Tools for people struggling with money mindset.
[15:37] Managing your cash flow.
[18:41] The Profit First Method vs. Paying Yourself
[25:19] The importance of having a financial plan.
I think you’ll find so much valuable information in this episode, to help you conquer your fears around money and, in Melissa’s words, “have the courage to dream big for your business and claim those bigger financial goals.”