Mastering Business Financial Literacy - A Four Part Series

Description

By attending this four part Webinar series, you will learn the basics of Financial Literacy, which will help you to enhance the success of your Business. Unlock the secrets to financial health for your business! This comprehensive webinar series is designed for new and established small business owners looking to gain a solid foundation in financial management. Learn the essential skills from Budgeting to Cash Flow management to Securing Funding and Tax Planning.

 

Session 1 - Wednesday 2-4-26 - 6:30 PM CST

The current Financial Essentials for the Start-up program, but only up to “Break-Even.”:

·     Define and explain value proposition. Active and start-up businesses should continue evaluating and enhancing their value proposition. Example of enhancement.

·     Include the need to monitor conditions affecting pricing and cost of sales.

·     Monitor and evaluate factors affecting cost of sales. Examples.

·     Gross profit – This requires ongoing monitoring:

1.    Limited start-up and small business bargaining power.

2.    Benefits of high price.

3.    Importance of gross profit and high price.

·     Break-even analysis should be periodically evaluated, particularly as the business evolves and conditions change. Use Excel workbook to demonstrate break-even, including price change.

·     Business owners include personal living expenses/compensation in break-even analysis.

·     Reviewing financial statements should be ongoing. Session 3.

 

Session 2 - Wednesday - 2-18-26 - 6:30 PM CST

Start by using the current Financial Essentials for the Start-up program after “Break-Even.”

·     Start-up and growth equity capital.

·     Funding requirements for operations before “Break-Even”; including pre-operational capital and other needs, and as the business contemplates growth.

·     Seasonal businesses need to evaluate operational funding during periods of lower revenues, i.e., less than “Break Even.”

·     Borrowing requirements for start-ups and growing businesses:

1.    Successful relevant business experience and operations.

2.    Equity capital, including affinity capital.

3.    Collateral and personal guarantees of borrowing.

·     Managing cash: Cash Flow

1.    Separate business only bank account and credit cards.

2.    Know your industry’s customer and vendor expectations.

3.    Limit owners’ compensation to cash available after business needs.

4.    Know and satisfy critical suppliers and creditors.

 

Session 3 - Wednesday 3-4-26 - 6:30 PM CST

Review and understand your financial statements for business decisions, and strategic partners.

·     Determine need to explain the financial statements. Anecdote.

·     Financial statements indicate need for management action.

·     Use the portion of the (Excell workbook) program comparing expected and actual statements.

·     Discuss financial events and recommended business decisions.

·     Use strategic partners to access/engage outside expertise:

1.    To evaluate financial performance and growth considerations.

2.    Insurance including benefits.

Legal issues.

 

Session 4 - Tuesday 3-17-26

Compensation of owners and employees.

·     Identify and compensate Key employees, including benefit considerations.

·     Contractors (“1099’s”) vs employee, contractors for projects (see strategic partners), employees for continued services. Legal considerations.

·     Evaluate employees, using external expertise, benefit programs.

·     Owners’ compensation:

1.    Salary and bonuses, and profit distribution.

2.    Limit owners’ compensation to cash available after business needs.

3.    Retirement considerations – deductible from business taxable income.

a.    401(k) Plan for employees and owners – 2026 limit $24,500, >60 age - $35,750.

b.    Simplified Employee Pension (“SEP”) for owners – 2026 limit > 25% of owner’s share of business income >$72,000.

Business succession – Need to consider after business is consistently successful, and all of the above.

 

The Facilitator for this series is SCORE Member John Galati. John was a CPA with one of the largest Accounting Firms in the country, and has over 30 years experience as a CFO in multiple industries