A recession is one of the most difficult times to budget for your business. What has been your most difficult budgeting
problem during the recession?
How Much to Lower my Sales Forecast
- I have to focus on my sales forecast and how much to lower it to meet my budget during the recession.
- I know my what my fixed costs are and the income that will come in from my annual contracts. But I have no control over which clients will renew and how many new accounts we will get. So I have to budget for income based on estimates from the sales dept, factor in the likelihood of them being accurate, and check actual against plan much more often than normal.