Fabio Garcez
(CEO)
10/29/2022 at 1:02 PM
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Let’s face it: expenses at your real estate company are not always a walk in the park. That’s why focusing on efficient management is essential for leaders and managers.
Who hasn’t spent weekend afternoons reviewing and approving expense claims? Have you ever had to sift through company statements to make sure your expenses are following protocol? Have you ever realized too late that you’ve gone over budget, yet again?
Even today, many businesses (maybe even yours) face these challenges. Keeping track of expenses takes a lot of time and energy – but more importantly, it also takes money.
The good news is that it doesn’t have to be that way anymore. There are practical and effective solutions that take the work out of managing expenses and can help you manage them efficiently.
And the best part is that you can start using these tools and change some of your attitudes right away. In this article, CV Blog shares our tips and tricks to make expense management (really) easier.
Manage expenses efficiently
Tip 1: Make your spending policy clear
Tip 2: Set budget limits for each project
Tip 3: Automate everything that involves paper for efficient management
Tip 4: Empower your team leaders
The importance of efficient management to contain expenses in the real estate market
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Manage expenses efficiently
efficient management: close up of a hand writing on a piece of paper. In front of the image are icons of a shopping cart, a truck and a person wearing a tie.
Management is an integral part of any organization. How well an organization is managed under specific circumstances can make or break it. Thus, efficient and effective management is the sole reason for the success of any organization. It is imperative that an organization strives for this.
See the main tips for success in this endeavor.
To avoid any confusion, make your spending policy clear. Let’s start with the basics: the company’s spending policy.
It is difficult to manage expenses sustainably over the long term without defining a clear spending policy. This process serves to codify how the developer will handle all types of business expenses.
This is how you will deal with issues like:
describe eligible costs;
set a limit for each expense category;
set deadlines for sending receipts;
Depending on the type of purchase, describe the usa consumer email database information required for shipping.
Your spending policy needs to be clear, precise, and comprehensive. When in doubt, any employee should be able to refer to these guidelines. If everyone is on the same page, you can avoid frustration in the future.
In this spirit, the text should be straightforward, easy to understand, and leave no room for misinterpretation. It may be helpful to collaborate with others in developing these rules, rewording them until they no longer pose problems.
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Tip 2: Set budget limits for each project
efficient management: close up of bare desk with some scattered papers, notebook, glasses, office items and a hand handling a calculator.
To keep track of your team’s expenses, you need to set budget limits for each project. Let’s look at a practical example.
Luiz Augusto runs a construction company. As with all businesses, managing your finances means juggling a variety of circumstances. Sometimes it’s hard to make heads or tails of it all.
In December, for example, he had to make some one-off purchases (organizing a Christmas dinner for his employees, hiring a contractor to update the company website). On top of that, he also had his regular expenses, such as renting equipment and buying materials for his construction sites. And let's not forget taxes and payroll.
In fact, Luiz Augusto only has a vague idea of the budgets he has set for these expenses. When he checks his business account, he sees money going out, but he can’t always figure out where it went. And trying to figure this out manually takes a lot of time.
Do you recognize yourself in this scenario? Don’t worry, you’re not alone. Many companies struggle to maintain visibility into their expenses.