In those early, exciting days of establishing our business, most of us will do the traditional process of outlining all of our known expenses on a beer mat. Aptly, it’s called the beer mat method.
Suffice to say, there’s only so far in which this process can go. It will give you a rough idea of how your business is going to pan out, but as time progresses you need more solid numbers.
Unfortunately, every business is going to be different. The costs for one industry are going to be much different to another. However, through the course of today’s