What's Your Budget? Yes, you do need one.

Setting a budget and sticking to it is hard, but doing so iscrucial when you're just starting out-and for every daythereafter. When you're just beginning, you need to create twobudgets: a start-up and an operating budget. Private funders alwaysappreciate it when you demonstrate your commitment to the bottomline. The start-up budget outlines all the costs necessary to openyour business, and it includes such one-time-only costs as majorequipment, utility deposits, down payments and so on. An operatingbudget is just that-the description of the financial engine thatkeeps you operating after you open for business. It contains allyour ongoing expenses and the income that pays for those expenses.If you're just starting out, your operating budget shouldinclude enough money to cover the first three to six months ofoperation.