“It’s just learning how to balance things as entrepreneurs, again, we want some that just give me an easy answer. But so much of being an entrepreneur is making decisions. And if we have good data and the right visibility into that data, then these decisions start to at least become a little easier to make.” – Parker Stevenson
In this episode, Parker Stevenson discusses the relevance of budgeting in not only maintaining the business but also leveling it up. Sometimes, business owners feel trapped and unsure of the next step, but by properly analyzing the data, the next steps to take can become much clearer and feasible.
Parker is a managing partner and the Chief Business Officer at Evolved Finance; a bookkeeping firm that specializes in helping online entrepreneurs to build more profitable and financially stable online businesses. For over 6 years, Parker has been advising some of the top coaches, course creators, influencers, and thought leaders on how to make more sound business decisions using their financial data. Before joining Evolved Finance, Parker spent five years at adidas America where he became the US product manager for golf footwear.
[00:01 – 06:20] Who is Parker Stevenson?
- Parker talks about his wild journey to entrepreneurship
- From being a rock star to corporate then to establishing a bookkeeping firm
- Getting hands dirty with clients learning about their numbers becoming more profitable
- Starting the journey to bookkeeping
- The figure mark of the business should be heavily considered before getting into bookkeeping services
- It is about keeping their personal and business finances separate and ensuring integrity in investments
[06:21 – 20:24] Protecting Profit and Implementing Budget Analysis
- Coming from the ground up
- It is necessary to safeguard the profits through visibility
- Be aware of your personal financial situation to figure out how to make investments
- Track the transactions and watch your budget closely
- The significance of effective data analysis
- Do not tie your identity to it and only look at the digits to a call to action
- The role of budgeting is to make the business tangible and strategies feasible
- The accountant decides what gets written off so it is important for them to understand the business
[20:25 – 33:46] Maintaining the Financial Insight towards Growth
- Tracking the financial status
- Bookkeepers organize the data and accountants analyze and write off
- Tools used to keep data organized
- Spreadsheet versus QuickBooks Online – Utilizing the latter require bookkeeping knowledge
- Establishing an emergency fund
- It is ideal to reserve three months of operating expenses for relief and less panic
[33:47 – 41:48] Wrapping Up!
- Every successful business that we aspire to be like has been where you’re at
- Connect with Parker (links below!)
Connect with Parker