Know Your Numbers

“Our lives are characterized by numbers: our weight, our age, number of children, etc. And, yet, when it comes to knowing the numbers of our businesses women succumb to the idea that it’s beyond us. I’ve often threatened to go to B-school so I could feel smart enough to understand the numbers of my own business. But after a series of almost comically awful accounting help with my books, I finally just got over it and dived in.

I found an accountant who patiently explained to me how to read my balance sheet and P&L statements. I also began asking other trusted financial professionals to give me their insights on my numbers – to see if my marketing-based point of view held up financially. I even went to the local college bookstore and picked up a couple of text books on corporate accounting (which I have yet to read).

It didn’t prove to be nearly as challenging as I had thought it would be. And I began to actually enjoy the story the numbers told; a story of highs and lows and lessons learned. The numbers told a story that mirrored my experience as a marketer building a viable enterprise.

I now look at my numbers twice a month. One of my closet business advisors calls me around the third of the month and asks about last month’s revenue. And I can tell him. It’s a feeling of competence and confidence that has emboldened my decision-making processes about marketing strategies and future growth. It’s very rewarding and I would advise any business owner to get comfortable with the numbers. It has made me a better business owner and leader.”

P.S.

Of course, I have to admit it's more fun when the numbers are on the rise as they are now. It's not as pleasant, but demands more examination and deeper understanding, when the numbers slide. And, I have been there, recovered and am a much smarter business owner for the process.