Monday, January 9, 2012

Money Management For Wedding Businesses

It never fails to amaze me how many wedding businesses have a really hard time coming up with the money to cover basic expenses.

I'm not talking about unexpected expenses, I mean things like advertising that you buy every year at the same time, supplies that you buy on a regular schedule, and other expenses that you know are coming.

The key to paying for your expenses is to have the money available. That sounds really stupid, but it's apparently something that is kind of hard to figure out.

I'll give you some very basic advice right now...Don't spend the money until you've earned it.  That means don't take the deposits or final payments out of your business account (you do have a business account, right?) until the product is finished and delivered.

Even then, you need to plan out what expenses you're going to have and set aside the money for them in advance. That way it will be there when you need it.

I'm going to be writing about money management on Mondays in January. There are plenty of things that cake businesses have to think about and I'm sure that you can all contribute some topics.

If you have ideas about money-related subjects for cake or wedding businesses let me know. If you'd like to write about money management feel free to be a guest blogger and I'll post your article!


Kara Buntin owns A Cake To Remember LLC, custom wedding cakes in Richmond VA

3 comments:

swirlygirl said...

It always puzzles/astounds/shocks me when i read forum posts along the lines of "I have a 2 tier cake due for a client tomorrow and my cakes didn't turn out and i don't have any money to pay for more ingredients, what should i do????!!!!"

swirlygirl said...

p.s i luv ure blog!

Kara said...

Thanks! And that's exactly the kind of thing I was thinking about when I wrote this post! If you didn't do the job yet, don't spend the cash yet.