How to Create a Financial Plan for Your Growing Business

As your business grows, so does the complexity of your finances. What started as a simple monthly budget may no longer be enough to guide hiring decisions, capital investments or expansion strategies. That’s why having a solid financial plan is essential, not just for staying on track, but for scaling with confidence.

Whether you're expanding your team, opening a new location or preparing for slower seasons, a well-built financial plan helps you make smarter, faster decisions. Here's how to create one and how a trusted banking partner like Centrust, now a division of SmartBiz Bank, may be able to support you along the way.

Understand your business goals

Every financial plan starts with clear business goals. Are you aiming to grow revenue by a certain percentage? Enter a new market? Purchase equipment? Hire staff? Your financial strategy should be tailored to the objectives that matter most to your business.

Set both short- and long-term goals, and make them specific. For example:

• Grow sales by 20% over the next 12 months
• Open a second location within two years
• Increase profit margins by reducing operational costs

Having concrete goals makes it easier to track progress and build a financial plan that aligns with your vision.

Build a 12-month financial forecast

A financial forecast projects your business’s income and expenses over the next year. It should include:

• Revenue projections (based on historical trends or future contracts)
• Fixed costs (rent, insurance, salaries)
• Variable costs (inventory, marketing, seasonal labor)
• Cash flow estimates

This forecast helps you anticipate both opportunities and challenges, especially during periods of uneven growth or seasonal fluctuations.

Be realistic with your assumptions. Overestimating revenue or underestimating costs can leave you scrambling later. If you're not sure where to start, Centrust's business banking team can help you analyze past performance and build reliable projections.

Identify your capital needs

As your business scales, you may need access to additional working capital. Common growth-related needs include:

• Inventory purchases
• Equipment upgrades
• Hiring or training staff
• Marketing campaigns
• Lease or facility expansion

Once you’ve identified the funding you'll need, explore financing options that align with your cash flow. This could include term loans, SBA loans or lines of credit—Centrust may be able to help match your needs with the right lending structure.

Monitor key financial metrics

A good financial plan doesn’t just sit in a drawer. It should be a living document that you revisit monthly or quarterly. Make it a habit to track key performance indicators (KPIs) such as:

• Net income and gross margin
• Burn rate and cash runway
• Accounts receivable and payable aging
• Inventory turnover
• Customer acquisition cost

Monitoring these metrics allows you to quickly spot trends, adjust strategy and stay ahead of any cash flow gaps.

Prepare for the unexpected

Even the best plans need to account for uncertainty. Supply chain issues, economic slowdowns or seasonal demand shifts can throw off projections. Building an emergency fund or maintaining access to a flexible line of credit can help smooth out those bumps.

Talk with your banker about ways to build financial resilience, whether through cash reserves, staggered loan repayments or automated alerts to monitor account activity in real time.

How Centrust supports financial planning

Creating and managing a financial plan doesn’t have to be overwhelming, especially when you have the right support team.

At Centrust, our business banking experts partner with you to:

• Build customized forecasts and spending plans
• Review your capital needs and financing options
• Offer SBA and conventional loan guidance
• Provide digital banking tools to track and manage cash flow
• Offer fraud prevention, payment automation and account alerts

We take the time to understand your business so we can recommend solutions that match your growth goals, timeline and budget.

Plan today. Grow tomorrow.

As your business evolves, so should your financial plan. With the right structure and support in place, you'll be ready to pursue opportunities, manage risk and take your business to the next level.

Need help getting started? Contact the Centrust business banking team today.