Are money worries killing your business? 

We are crazy about money. Money taps right into our survival instincts, our feelings of self worth and confidence in our ability to succeed.

When the bank account is empty and the bills are stacking up it is normal to feel afraid. However, if you don’t unhook yourself from your craziness about money you will cripple your business. You will forever be chasing the carrot of good fortune and lose sight of why what you do matters. You will sell-off the long term prospects of your business for short-term gains.

In this article we look at the common pitfalls of worrying about money and how to  avoid them.

Worrying about Money will Crush your Business

Most businesses will find themselves cash poor from time to time. As a business owner, you have to find a way to detach yourself from the highs and lows of your bank account. If you don’t, you will likely find yourself suffering from one of the following issues:

1. Poor decision making

When you are focused solely on money (or more accurately the fear of not having any) you make bad decisions. You find yourself accepting clients that are not right fit for your product, skills or values simply to make a fast buck.

A few months down the road you will likely find yourself with an unhappy client and/or work that is costing you way too much to provide. Meanwhile, you will have missed out on lots of opportunities that would have been in alignment with your business.

2. Cut-throat pricing

When you are desperate for money you are easy prey for bargain-hunters. You are so keen to close the deal that you slash your prices, your negotiations are weak and you accept work for far less than what you are worth.

Once you start accepting work at a cut-throat rate it’s hard to turn back. Providing your product or service at a discount sets a precedent and is unfair to the rest of your clients.

3. Emotional Stress and Sickness

Worrying about money will literally make you sick. Anxiety leads to poor sleep, bad eating habits and in the worst cases lethargy and depression. This is bad news for your business.

How to Manage the Financial Roller Coaster

Worrying about money creates a downward spiral of bad decisions, loss of confidence and low energy. You actually can’t afford to give in to the worry monster but sometimes the fear feels so real it’s hard to kick yourself out of it.

Just knowing that worrying isn’t helping won’t make any difference. You need to take action. Here are some simple and effective actions that are guaranteed to get your mojo flowing again.

1.  Accept it

The financial roller coaster is part and parcel of running a business. It’s not supposed to look another way. Every business owner experiences cash flow issues at some point in time. So take a deep breath and accept this as part of the journey.

2. Get the Facts

Don’t spend time in your head worrying about money. Thinking about your money woes will not make any difference. Get the facts.

Figure out to the penny exactly what is in your bank account, the revenue you have coming in and the bills and payments that are coming up. Getting present to the facts will have you operating in reality rather than fear or fantasy.

3. Get in communication

Don’t wait until the money has run out before you tell your landlord you can’t make the rent. Get into communication right away. Defer as many bills as possible to create breathing room and negotiate payment plans. Most people will be sympathetic to your situation if you let them know what is happening.

4. Boost your confidence

When the money dries up your confidence shrivels – just when you need it most! You can’t afford to be wallowing in self pity or feeling small.

To get a confidence boost call one of your champions. These the people who will remind you of your power and your ability. Often they are not your nearest and dearest (who may be worried about money too and dealing with their own doubts and fears). Look for the coaches, friends and mentors who you can depend on to remind you of your talents.

5. Get off your butt and be of service

The whole point of your business is to be of service to others. If you are not being of service you will not have customers.

This step is essential: Reconnect to WHY you started this business and how what you do makes a difference for others.

Get on the phone, go out to events, meet as many people as possible and find out how you can be a contribution to them. Ultimately connecting with your community and being of service is the only way to bring wealth into your company.

6. Learn stress-busting moves

Your success is not determined by how many dollars are in your bank account, but your ability to be powerful during the hard times.

During times of stress a fight-or-flight response kicks in. Stress-busting practices like yoga, meditation or going for a walk allow the body and mind to relax. Build a regular practice into your life and cultivate the ability to restore and de-stress.

Conclusion

When money gets tight it is easy to forget why you started your business in the first place. Yes, money is important and you need to have a business that generates a healthy income. However, if you focus only on the bottom line, especially during the hard times, you will likely dig yourself into a deeper hole.

Seriously, is your ability to be of service and make a difference a function of how much money there is in your bank account? Are you willing to let your joy and satisfaction in life be dictated by dollars and cents?

You didn’t start your business just to make money. You started it because you want to make a difference. The simple steps described here will allow you to stay true to yourself and will ultimately allow you to create long-term wealth for your business.