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Budgeting Tip: Overestimate Expenses


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If your business operates on a project-to-project basis, you know that every client and deal is different and no two projects will turn out exactly the same. Often, you can’t predict when something will go over budget. A large part of business is planning and reacting to the unexpected. Failing to properly anticipate expenses could be suffocating for a business which makes it evermore important to overestimate expenses in an attempt to shield themselves and the business. Doing so is a survival tactic that will allow owners to hedge against risk or failure. Budgeting slightly above your anticipated line-item costs, no matter what, so that if you do go over, you’ll be prepared.




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