The new year is often the time for resolutions which by this time in the year have often fallen by the way side. Even the resolution to start planning for the next year can be a goal that is never fulfilled. But planning for the future is a key part of making sure that you are in control of your business and your life and not the other way around.
Do you have a clear idea of what you want to achieve personally over the next 20 years? In 2039 when you look back, what goals would you like to have ticked off and what resources do you need to put into place to achieve these goals?
These are questions a good goal based financial planner helps you to get clearly defined.
But why is it important to know the answers to these questions?
Anyone who reads my blog regularly will know that I am passionate about planning and believe that it is much more likely that we will achieve the results we want, if we have a plan in place. This applies equally to personal goals and to business goals. And they are interlinked. It is unlikely that success meeting a business goal will be meaningful unless personal goals are also met. In fact, I believe our personal hopes and desires should provide the backdrop to our business goals – especially where we are business owners. After all, how is a business successful if it does not reflect the owner’s personal values and fit with their life plan?
I have discovered, by working with my goal based financial planner Andrew Stinchcomb, that there are key things I want to achieve in my life. Some of these things have always been clear to me – others have come to light through discussions with Andrew and my husband, Jeff. The key outcome has been that we now have a clear idea of what we need resource-wise (and this inevitably means money) to make our dreams a reality.
It’s funny what comes out in the wash in our discussions. A while back Jeff and I had a light bulb moment. We had always talked about taking a year out when our boys leave home to travel around Europe in a camper van. It was originally a pretty lose idea and more of a dream than something we thought we might really do. However, this idea crystallised into a key goal during our discussions – such that, should it not happen, I would feel really bereft. Andrew gave us a clear idea of how much per month we needed to save and invest wisely to make it happen.
As my business is my only source of income, I therefore had, and still have, a very clear picture of what I need to accomplish business-wise, in terms of number of clients and levels of income. This has made it much easier for me to identify good opportunities as they are presented to me and to motivate myself. I know what I will be sacrificing if I don’t push myself.
So take a look at your life goals and ask yourself “Is my business providing to route to these goals?”.