Women often limit their dreams based on the existing or likely constraints, thereby holding themselves back before even starting, says Swetha Kochar who has launched MyCFO, a subscription-based platform that digitizes data and empowers entrepreneurs with comprehensive audit and accounting compliance.
“In general, women are self-critical and often choose not to take risks for the fear of losing everything that they’ve fought and worked hard for,” says Kochar.
Here are her tips for women in business.
1. Dream first, then add constraints
If you don’t let yourself imagine your biggest goals, there’s no way you’ll achieve them. A clear vision – unconditional dreaming – will actually help you have the difficult conversations you may need to have with family to convince them, remove those constraints and garner support. Remember this like a mantra: ‘Women and business are compatible. Women and finance are compatible.’
2. Price confidently and take risks
You cannot grow financially without taking financial risks. Do not undersell yourself. Value your work, describe it positively and price it accordingly!
3. Invest. Invest. Invest
An ideal formula for younger women is to have around 60% of your investment be in high risk, high reward categories such as equity, mutual funds and real estate, and the remainder in more assured, liquid categories like sovereign gold bonds and FDs.
4. Know what your numbers are
Do you know what your profits were last month, the number of regular customers who haven’t been back recently, and what the cash flow is like? Either get professional help or maintain small reports that you update in a disciplined fashion. Identify and track a set of KPIs that are sound indicators of your financial health, such as sales growth, stock turnover and net margins.
5. Think about scale
Scale comes from financial discipline. You will be able to raise funds for growth through equity or loans only when your accounts are clean and well-maintained and indicate the right set of ratios. If compliances are not in place, there’s not only trouble down the road, but expansion becomes doubtful and a feeling of stagnation starts to set in.
Published on The Times of India: Kamini Mathai | Aug 20, 2021 – View Here
