The Beauty of Business Budgeting
From Scarcity to Success: How to Budget for Business Growth - By Dr. Marissa Layton
“12 years ago, I was homeless. Now, I have 12 streams of income.” That was the tagline of my most successful lead magnet, and it resonated with so many people because it spoke to the reality of starting from nothing. But that success story didn’t happen overnight. It began by budgeting my mindset, time, and finances, and overcoming the fears and trauma associated with money.
For new entrepreneurs, the journey to building a business is more than just applying for grants or getting funded. You must become your first investor, putting in the time, energy, and resources before seeking outside help. Here’s how to start budgeting the most important aspects of your life to set your business up for success.
Budgeting Your Mind: Overcoming Money Fears and Building a Wealth Mindset
My success didn’t come easily—I didn’t grow up with money, and when I finally started making some, I developed a scarcity mindset. They say two things can happen when you come from nothing and start making money: you either spend too much or you are too scared to spend at all. I fell into the latter category, hoarding money out of fear that it would all disappear.
But I realized that to grow wealth, I needed to change my mindset. Money fears and success fears can cripple new entrepreneurs if they aren’t addressed early on. Cultivating a wealth mindset is one of the first steps you need to take before you can launch a successful business. This means learning to take risks, learning to bet on yourself, and recognizing that launching a business is a leap of faith. Not all leaps of faith have to feel dreadful. It can be a leap with the potential for great rewards if you’re strategic and intentional.
To overcome these fears, it’s crucial to budget your thoughts by first focusing on the positive possibilities of your business rather than the potential for failure. Surround yourself with people who encourage and support you, and continuously work on personal growth. Once you align your mindset with wealth-building, opportunities will follow.
Budgeting Your Space and Time: Prioritizing What Matters
As a faith-based business owner, I had to learn the importance of budgeting not just my money, but also my space and time. In my mid-20s, while my friends were traveling, partying, and buying their dream cars, I poured my energy into studying, saving, and building the business God placed on my heart. One of my favorite quotes that kept me going is, “Live a few years like most won’t, so you can live the rest of your life like most can’t.” I knew my sacrifices were temporary, but they allowed me to prioritize what mattered—my purpose-driven business.
Managing your time wisely is essential for any new entrepreneur. It’s not about filling every minute of your day with work but making sure you’re using your time effectively. This also means prioritizing rest, because burnout will not serve you or your business in the long run. Think about how you’re spending your time now. Could you join a free business webinar or work with a mentor rather than going to happy hour? Could you use your free time to plan, research, or rest?
If you want to build something successful, you have to make room for it. Don’t be afraid to make sacrifices now for long-term gain.
Budgeting Your Finances: Preparing for the Ups and Downs
Entrepreneurship has its ups and downs, and financial stability is not guaranteed. The key is to plan. It is critical to be prepared for the inevitable financial droughts that come in the early years.
Be wise about how you invest in your business. It can be tempting to spend a lot of money upfront on coaching, marketing, or hiring, but in the first season, you may need to focus more on saving. Create a budget that accounts for dry spells, and always keep some money in reserve for unexpected challenges.
One piece of advice I always give to my clients is: to keep your job. I left my job too early, and in hindsight, I could have grown my business while still bringing in a stable paycheck. There is nothing wrong with having both a 6-figure career and a 6-figure business. You can build both without rushing to quit your day job. If you’re able, consider picking up a side hustle to bring in extra income while you’re launching your business. I babysat for celebrities and high-level executives, which not only paid well but also gave me access to people who could help build my business. Think about what you enjoy and how it could bring in extra money.
Conclusion: Be Your First Investor
Launching a business is a journey of budgeting more than just finances. It’s about budgeting your mind, your space, your time, and any other area where you want to see growth. It’s about overcoming fears, prioritizing what matters, and planning for the ups and downs. Remember, you are your business’s first investor, and giving it your all from the start is the foundation of long-term success.
You can follow Dr. Marissa Layton on Instagram @dr.layton_.