Building stronger financial habits for your social enterprise

When you’re running a social enterprise, every decision has to balance the needs of the organisation with the impact you’re working to create. Having a good handle on your finances can make those decisions easier. 

Building a few practical habits can help you understand how your organisation is tracking, identify things that need attention and make more confident decisions about what comes next. 

Find a system you can stick to 

Good financial habits start with keeping track of what’s happening in your organisation. 

That means having a reliable way to record income, costs and other transactions. It might be accounting software, a spreadsheet or something simpler, depending on what works for you. 

The important thing is that the system is easy enough to keep using. Keeping accurate records helps you understand how the organisation is performing and makes it easier to plan for what’s ahead.  

Check in with your numbers regularly 

You don’t need to spend hours looking at reports. Short, regular check-ins can help you stay familiar with your finances and notice changes before they become bigger issues. 

That could mean keeping an eye on your bank balance, checking that expected payments have arrived, looking ahead to larger expenses or stepping back every few months to see what has changed. The key is to build a rhythm that helps you stay across what’s happening financially, without making it feel like a huge task. 

Know when to ask for help 

You also don’t have to manage every part of your finances on your own. 

Accountants and bookkeepers can help with specific tasks, but they can also help you understand what your numbers are telling you. The more clearly you can explain what support you need - and the better your records are - the more useful those conversations can be.  

Build your financial confidence 

Sefa and Xero have partnered to support social enterprises, charities and not-for-profits to build greater financial confidence through Xero For Good: Financial fitness. 

One of the practical resources available is the Understanding Your Business Finances ‘Healthy habits toolkit’, which covers record keeping, separating business and personal finances, building useful financial routines and working with finance experts. 

Explore the Xero For Good: Financial fitness learning resources