As a business owner, your success is only as strong as the foundation it’s built on: you. If you’re not operating at your best, you can’t give your best to your business, either. That’s why it’s important to start your business planning with a big-picture view of your life and personal finances. By aligning your business and personal goals, you can achieve more across the board.
Setting goals is one thing; however, achieving goals is another. At Vance Wealth, we’ve learned the trick is to create regular checkpoints that help you stay on track throughout the year.
“Whether you want to save money or lose weight, it’s daunting if you’re only looking at the big picture. That’s why people fail all too often,” explained John Vance, President and Visionary of Vance Wealth in Santa Clarita. “But with the discipline to track your goals on a regular basis, you can affect real change.”
Start breaking your annual goals into smaller chunks, such as quarterly, monthly, weekly or even daily habits. Once you’ve designed a system to hold yourself accountable, you’re ready to attack each big-picture goal in small steps – and with confidence.
It’s vital to know your numbers going into 2021. Here’s a simple planning process to your personal and business goals this year:
First, it’s crucial to get to know your numbers: emergency funds, personal savings, retirement savings, college savings, assets and debts. Create a personal finance snapshot by entering these numbers into a simple spreadsheet, where you can track your progress throughout the year.
Once you have a clear picture of where you are now, you can set realistic personal goals for the future. After a year like 2020, for example, it might be a priority to increase your emergency funds or pay down debt with money you saved.
Finally, consider what new routines or habits might be necessary to support these goals throughout the year. How can you create a strong foundation, personally and professionally? “Life can derail us sometimes, like we experienced with the pandemic,” John explained. “Establishing a healthy daily routine – and creating discipline around that – can shape a stronger
version of you that can meet the challenge.”
In business, the important numbers to know are your cash reserves, lines of credit, accounts receivable, retirement accounts, assets and debts. Create a quick snapshot of these numbers in a spreadsheet, where you can track your progress over time.
Once you know where you stand, set realistic business goals that, ideally, align with your personal ones. Finally, identify the action steps and habits that support your business goals, and aim for a
“Every year, we set a theme to keep us focused,” John said. “For example, last year it was to share our story with the community, and though our events were impacted by the pandemic, we held regular webinars to provide clarity during a chaotic year.”
If you know what you want to accomplish personally, setting complementary business goals allows you to achieve more – and vice versa. Start your year off with clarity, so you can move forward with confidence. If you get stuck along the way, we have the tools to help you stay the course.
To book a complimentary consultation with one of our Wealth Advisors, please call our oﬃce at 661-775-0950 to set up an appointment.