For large businesses, companies, and corporations, the way to business project budgeting is smooth and straightforward, thanks to the luxury of having a lot of resources at their disposal, including the best project managers and accountants, who in return are given the privilege to use software and programs that make the job a lot easier to fulfill. In a way, putting together a budget, for them, is something they do on a mundane basis. Sadly though, small businesses and their owners like you don’t enjoy the same luxury.
Supposed you’re a small and start-up business or company that doesn’t come with as much resources as you’d hope for, it does not automatically mean you no longer can manage a successful business project budgeting. Well, if you’re being asked to come up or put together a budget proposal by your financier or project sponsor, you really don’t need a lot of resources to do that; since all you need is the knowledge on how to begin creating one. So go on and read this article which serves as your guide to finally creating that business project budget.
Here are the things you must do for you to create that basic project budget without any fancy tools or whatever:
Have a Task List
First of all, you have to come up with a task list. Well, it would be a lot more sufficient to have a work breakdown structure, but if the project task list you come up with is comprehensive enough to cover everything you need for a project, then you’re fine. The task list is something you don’t really have to sweat out in making since it basically contains the things, and we mean all things you must do, complete, or build before a business project will be finished. The key here is not really about organizing stuff, but more on making sure everything will be covered.
The moment that list is created, the next step is for you to go over it and come up with a price estimate of each item you think is essential for the project to be carried out. This doesn’t have to be just about products or items though because mostly if not all of the things you will be doing to complete the project comes at a certain cost, including hiring people, renting offices, and buying food.
Add All Estimates
Obviously, after itemizing everything and assigning their cost estimate, it’s time for you to add them altogether. You can save a lot of time and confusion for this one if you use spreadsheet to organize things.
But because there is no such thing as an perfectly accurate estimate for a project budget, it only means you always need to include contingency. While it isn’t included in any essential task, it still is indispensable because it is where you get help in case something goes wrong.
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