Managing the accounting for eCommerce businesses can be very challenging. There are lots of moving parts (literally). You will find it useful to sketch out at least the top products you have, how many you expect to sell, and what they sell for. Having this list in front of you will also help you prioritize and stay focused. In short you will want to create revenue projections for your eCommerce business.
I find it therapeutic actually!
Do you ever feel like everything is out of control?
I do. This process helps me every time.
When you create revenue projections for your eCommerce business it gives you a reality check on things. Are you going in the right direction? Are you realistic in your projections? Are you coming anywhere close to what you projected or thought?
Was your last projection just a thought? As in, “I want to gross $1,000,000 this year?”
Newsflash kid! That’s not a projection.
The above is a revenue projection that is easy to create and manage.
Each month you want to look at these numbers and see how your actual compares to projected. If you do this monthly, you will see if and where you are way off. Expenses are also complex to manage for eCommerce businesses. That’s another conversation for another day / pots.
There is another benefit / reason why you should create revenue projections for your eCommerce business.
If you take my suggestions of not just doing this, but reviewing it every month?
How about having it up on your screen all day every day.
Wall St. Analysts have their stock tickers and charts on screen all day long.
This is your company’s stock ticker. Keep it open all day every day. Every time you get a new client, track that here.
Looking at this all day will keep your focus on getting new clients, and keep you out of those endless political arguments on Facebook! I keep mine in Google Sheets so it’s easy to have up all day. My projections is one of the default browser tabs that opens when I launch Chrome.