Brian Kaskavalciyan discusses how home improvement businesses forecast the next year. Start planning in September by reviewing expenses through August, then work backward from how many leads you need in each market to hit your revenue target.
How do you forecast? This is a big, big topic. When do you start planning for the next year? And then what are some of the things that you take into consideration when looking at next year?
So we typically start planning for the following year in September of the previous year. And what we're doing in terms of budgeting is we're looking at our expenses through the end of August and then saying, okay, what was heavy, what was light? What are we looking at? What's our expectation? We pretty much build a forecast based on the amount of leads we need in each market and basically on a volume perspective of what we can expect.
