Budgeting for Fluctuating Revenue

I am convinced, but it is so difficult to get partners to believe that we need one.

Key learning points:

1. A budget is a combination of past trends and future predictions with emphasis on profits.
2. Strange some how, but it is easy to start with expenses.
- Determine variable cost
- Determine fixed expenses
- Project break even points
3. Forecast is a projection modified to what we think will be different.
- create for both conservative and optimistic scenario
4. Review budget plan along with P&L, balance sheets and cashflow statement on regular basis