Startup Budgets
Most budgets are prepared for existing business operations. Their process is strongly dependent upon historical information on costs, revenues, and trends. What options are available to managers required to develop a budget for a new organization/division/project when there is no historical data to use as a model?
Although established companies have historical data to follow and so their budgets are prepared for existing business operations from that. There is information on costs, revenues, and trends that a new company may be able to use to develop a budget using other company models as well as a company can do research about trends to investigate costs and possible revenue that can be generated.
Roselyn,
Very good points, historical data can be crucial to the analysis of trends as well.
Jay Hollowell
