In the current economy, it has become necessary to have multiple streams of income. Many people are finding that freelancing is the perfect way to increase their income through side gigs. In some cases, freelancing income becomes enough for them to quit their job and become a full-time freelancer. Freelancing can be a rewarding business, but it can also be a financial roller coaster. Here are finance tips every freelancer should know to set goals and ensure their income is steady and reliable.

What is the Actual Pay Per Working Hour?

If freelancing is not just a hobby, but the main activity, the income from which makes up most of the monthly budget, then it’s worth finding out the true cost of the work hour. The evaluation of one’s work in a production unit does not give a proper idea of ​​the cost of an hour. 
To do this, keep timing for at least one week. Determine how many hours a person has worked, including communication with the customer, thinking about the concept, approval, and correction of the order. Do not count only on entertainment surfing the Internet, communicating with friends on ICQ, and other pleasant distractions.

How Much Can They Earn in a Month?

From the same timing, a person can conclude the maximum amount a person can earn a month under the current conditions. Financial goals should be assessable and specific. “A lot of cash someday” is an extremely bad goal. Even if a goal is now unrealistic, putting it in front of a person. They will know why they are working so hard and appreciate their working time and themselves as specialists even more.

Increase Your Financial Literacy

The knowledge of new machines-phone models of clothes will not enrich an individual, unlike financial knowledge. If a person makes a good habit of spending a little time, for example, studying the ways of investing and applying the knowledge a person has acquired, they will become richer. Increasing equity, increasing the share of passive income will quickly come to the goal rather than just working. Invest the accumulated money. Their savings should not lie in a three-liter jar in the darkest corner of the kitchen. Develop a suitable program for saving and increasing their savings and follow it.

Use the Internet to the Maximum

Use the financial opportunities that the Internet offers. Evaluate the advantages of Internet banking. The received fee can be spent on payment of utilities and put on deposit and even buy a few shares of blue chips. Look for ways to save money using the Internet: by making an order in an online store, they will save money and time.  It is crucial that you have an online presence and use the internet for growth, marketing, and sales.

Thinking About Pension

No matter how comical this sounds, it is better to think about what it takes only 10-20 years to ensure future prosperity than to complain that the state does not like its retired people that way. Learn the history of American or European pensioners: how much they receive from the state, and how much – thanks to their “investments in the future.”

Develop

If a person feels that they do not have time, they do not have enough hands, no time for sleep, and think about how to fix this situation. Take an assistant if part of their work can be delegated. Reversing of pricing policy. Look for an outlet to work was comfortable. Always be aware of average rates. Promptly increase the prices with inflation. Do not allow dumping. Do not try to take quantity. Grow as a professional.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

Personal loans are among financial tools that are easy to understand with various terms that are simple to grasp.  Personal loans are helpful for emergency financial needs or to take care of large expenses like weddings, home renovation, vacations, car repairing, etc. When an individual wants a personal loan, the financial institute lends them the money for a fixed amount of time with a fixed interest rate within an unsecured form without any required asset. This means that the person will have to pay the exact interest every month and pay the complete loan until the fixed period. This also means that the borrower will face less uncertainty than with a credit card loan. Personal loan providers track all the details related to the loan, for example, how much an individual has paid every month, how much money is left to be paid, and when the whole amount should be paid.

Benefits of Personal Loan

Personal loans have various benefits. As mentioned above, they are helpful in a financial crisis or in urgent need of money. They are also helpful in setting up a new business, but make note that businesses must have profit and loss strategies along with them. People can also build their credit portfolio by applying for a personal loan. They are a great way to expand the credit card portfolio with a good impression.

Risks of a Personal Loan

Although personal loans have their own benefits, they are not perfect; they have their own risks and disadvantages. Personal loans are more commonly known as unsecured loans. This means financial institutions do not require any kind of asset to extend the loan, but they do have their own fixed interest rates, which are probably higher than other interest rates. Most of the time, the risks are based on how responsible a person is with their credit and how much interest rate they will pay each month.

Applying for a Personal Loan

Applying for a personal loan is an easy and simple process, but having a loan application approved is a different matter. According to some of the rules and regulations of financial institutions, an individual will have to submit documents regarding the loan to be reviewed and a decision made. Fortunately, they will not have to mortgage their property or any asset. Documents that need to be provided for a personal loan application typically include salary slips, electricity bills, credit card history, proof of the job or income, etc.

Eligibility Criteria for a Personal Loan

The eligibility criteria for a personal loan are also simple. Still, they can be a bit strict because financial institutions are concerned about the loan’s timely repayment with the proper interest rate. If not paid on time, the banks can increase the interest rate. Financial institutions pay close attention to the documents provided by an individual to make sure that they can pay the amount back on time with the fixed interest rate. Different financial institutions have different rules, which also include the minimum income of an individual who is applying for the loan. If an individual does not meet the criteria, they may not be able to be extended the loan. These types of rules and regulations exist because banks need to secure themselves so they can lend to other reliable customers. Some financial institutions also provide different packages to a prospective borrower whose credit history is reliable. Having good credit also may allow for better interest rates from banks.

If the financial institution is satisfied with all the documents provided by an individual, they may look for more ways to make them a profitable customer and give them various benefits, like a checking account.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

Landscaping Contractor Tips for Success

Landscaping contractor tips encompass proven strategies for operational efficiency, financial management, client acquisition, and team leadership that transform seasonal operations into thriving year-round businesses. These tips address the daily challenges contractors face—from managing cash flow during off-seasons to scaling multi-crew operations—while providing actionable solutions based on industry best practices and real-world success stories.

Over my 20 years as CEO of Complete Controller, I’ve had the privilege of working with hundreds of landscaping businesses across the country, watching them navigate everything from startup struggles to rapid expansion. One client stands out: they came to us drowning in paperwork and barely breaking even despite working 70-hour weeks. Within 18 months of implementing our financial strategies and the operational tips I’m sharing today, they increased their profit margin from 8% to 32% and expanded from one crew to four. Their success proves that mastering both the artistic and business sides of landscaping creates unstoppable momentum.

What are essential landscaping contractor tips for success?

• Landscaping contractor tips are actionable strategies covering operations, finance, marketing, and team management to build sustainable businesses
• Implement dynamic scheduling systems that account for travel time, weather disruptions, and equipment sharing across crews
• Develop tiered pricing structures that accommodate different client budgets while protecting profit margins of 20-45%
• Invest in specialized software for estimating, client communication, and workflow automation to reduce administrative burdens by up to 65%
• Create branded customer touchpoints from initial consultation to project completion to enhance perceived value
• Establish clear financial controls, including job costing accuracy and reserve funding for seasonal fluctuations

Optimizing Daily Operations for Maximum Efficiency

Smart landscaping contractors know that profitability starts with streamlined operations. The difference between a 5% and 20% profit margin often lies in how efficiently you manage your daily workflow. According to industry benchmarks, established landscaping companies achieving 45-50% margins share one common trait: they treat operational efficiency as a competitive advantage.

Your operational foundation determines whether you’re constantly putting out fires or building a scalable enterprise. The most successful contractors implement systems that run smoothly whether they’re on-site or managing from their office. This systematic approach transforms chaotic days into predictable, profitable routines.

Streamlining scheduling and routing

Route optimization alone can reduce fuel costs by 30% while increasing the number of daily jobs completed. Start by grouping clients geographically and scheduling similar services together. This landscaping project management approach minimizes equipment loading time and maximizes billable hours.

Digital scheduling tools eliminate double-bookings and forgotten appointments that damage your reputation. When crews access real-time updates on their phones, miscommunication disappears and productivity soars.

Implementing quality control systems

Quality control starts with clear standards communicated to every team member. Create visual checklists showing exactly what “complete” looks like for each service type. Photo documentation before and after each job protects against disputes while showcasing your work quality.

Regular quality audits catch problems before clients notice them. Schedule weekly ride-alongs where you or a supervisor spot-checks completed work, providing immediate feedback that maintains your standards across all crews.

Leveraging equipment maintenance schedules

Equipment breakdowns during peak season cost more than repairs—they cost reputation and revenue. Preventive maintenance schedules keep your tools working when you need them most. Track usage hours for each piece of equipment and schedule maintenance before problems arise.

Create equipment assignment systems where specific crew members take ownership of maintenance tasks. This accountability reduces neglect and extends equipment life, directly impacting your bottom line through reduced replacement costs.

Mastering Financial Control for Sustainable Growth

Financial mastery separates thriving landscaping businesses from those barely surviving season to season. The data shows landscaping businesses implementing specialized software see 37% average revenue growth in their first year and get paid 4x faster through automated invoicing. These aren’t just statistics—they represent real contractors taking control of their financial destiny.

Job costing and profit margin analysis

Accurate job costing reveals which services actually make money versus those draining profits. Track labor hours, material costs, equipment usage, and overhead allocation for every job. This granular data exposes unprofitable services you might be subsidizing unknowingly.

Most contractors discover surprising profit variations between service types. Basic mowing might yield 25% margins while specialized hardscaping delivers 40% or more. Armed with this knowledge, you can strategically shift your service mix toward higher-margin work.

Cash flow management strategies for seasonal businesses

Seasonal cash flow challenges affect 51% of landscaping businesses, particularly those unable to maintain consistent staffing. Smart contractors implement tiered seasonal services—spring cleanups, summer maintenance, fall preparations, and winter snow removal—maintaining 37% more consistent cash flow year-round.

Build cash reserves during peak months equal to three months of operating expenses. This buffer eliminates desperate decision-making during slow periods and positions you to capitalize on early-season opportunities while competitors scramble for financing.

Budgeting for growth and unexpected expenses

Growth requires intentional financial planning beyond hoping for more sales. Allocate 10-15% of revenue toward growth initiatives: new equipment, marketing campaigns, or additional crew members. This disciplined approach funds expansion without jeopardizing current operations.

Emergency funds separate professional operations from hobby businesses. Beyond seasonal reserves, maintain separate funds for equipment replacement, liability claims, and economic downturns. This financial cushion provides confidence to pursue growth opportunities others must pass up.

Building a Tech Stack That Works as Hard as You Do

Technology transforms landscaping operations from paper-based chaos to streamlined efficiency. MIL-SPEC Landscaping exemplifies this transformation, growing from 0 to 60 weekly clients in one year using scheduling software, reducing fuel costs by 30% through optimized routing and cutting administrative time by 65% with automated invoicing.

The right technology stack multiplies your capacity without adding overhead. Modern landscaping businesses leverage integrated systems that handle everything from initial quotes to final payment, creating seamless experiences for both crews and clients.

Choosing the right landscaping software

Landscaping software selection starts with identifying your biggest operational pain points. Whether it’s scheduling conflicts, invoicing delays, or poor communication, prioritize solutions addressing your specific challenges. Leading platforms offer free trials—test extensively before committing.

Integration capabilities matter more than feature counts. Your software should connect scheduling, invoicing, customer management, and accounting into one unified system. This integration eliminates duplicate data entry and provides real-time business insights.

Integrating CRM for enhanced client communication

Customer relationship management (CRM) systems transform one-time clients into recurring revenue streams. Automated follow-ups for seasonal services, birthday greetings, and service reminders keep your business top-of-mind without manual effort.

Modern CRMs track every client interaction, revealing opportunities for upselling and identifying at-risk accounts before they leave. This proactive approach to client relationships drives the loyalty that sustains businesses through economic fluctuations.

Automating invoicing and payment processing

Automated invoicing eliminates the cash flow delays killing many landscaping businesses. Set up systems that generate invoices immediately upon job completion, send automated payment reminders, and accept online payments. This automation typically reduces payment delays from 30-45 days to under 10 days.

Payment automation also reduces administrative costs. Instead of chasing payments, your team focuses on revenue-generating activities while the system handles collections professionally and persistently.

Turning One-Time Clients into Lifelong Partners

Client retention costs five times less than acquisition, yet many contractors focus exclusively on finding new customers. Building lasting partnerships requires intentional strategies that create value beyond basic landscaping services. The most successful contractors view each client as a long-term investment rather than a one-time transaction.

Implementing maintenance plans for recurring revenue

Maintenance plans provide predictable revenue while simplifying client budgeting. Package seasonal services into annual contracts with monthly payment options. This approach smooths cash flow for both parties while increasing client lifetime value by 300% or more.

Structure plans at three tiers—basic, premium, and elite—allowing clients to choose their investment level. Include escalating benefits like priority scheduling, free consultations, and discounted add-on services that incentivize higher-tier selections.

Gathering and acting on customer feedback

Systematic feedback collection reveals improvement opportunities and strengthens client relationships. Send brief surveys after project completion, focusing on specific service aspects rather than generic satisfaction questions. This targeted approach yields actionable insights.

Most importantly, act on feedback visibly. When clients suggest improvements you implement, tell them. This responsiveness demonstrates that their opinions matter, creating emotional investment in your business success.

Loyalty programs that drive referrals

Well-designed loyalty programs turn satisfied clients into active promoters. Offer escalating rewards for referrals, such as service credits or exclusive upgrades. Make referring easy with pre-written social media posts and email templates clients can personalize.

Track referral sources meticulously to identify your best advocates. These super-promoters deserve special recognition—exclusive events, first access to new services, or premium gifts that reinforce their value to your business.

Cultivating a Winning Team: Recruitment to Retention

Staffing challenges plague the landscaping industry, with 51% of businesses unable to fill positions and 32% experiencing significant annual turnover. Yet some contractors maintain loyal teams for decades. The difference lies in treating employees as investments rather than expenses.

Building exceptional teams requires intentional culture creation from day one. Your team represents your brand in every client interaction—their satisfaction directly impacts service quality and business growth.

Effective hiring practices for landscaping businesses

Successful hiring starts with realistic job previews. Show candidates exactly what the work entails, including physical demands and weather challenges. This transparency reduces early turnover by attracting candidates who genuinely want the job.

Look beyond experience to identify character traits predicting success: reliability, attention to detail, and customer service orientation. Skills can be taught; attitude and work ethic cannot. Structured interviews using behavioral questions reveal these crucial attributes.

Training programs that enhance skills and safety

Comprehensive training programs reduce accidents, improve quality, and increase employee confidence. Develop standardized training modules covering equipment operation, safety protocols, and customer service expectations. This consistency maintains quality across all crews.

Invest in continuous education through manufacturer certifications, industry conferences, and skill-building workshops. Employees who see investment in their development reciprocate with loyalty and enhanced performance.

Creating a positive company culture

Culture starts with leadership modeling desired behaviors daily. Recognize excellent work publicly, address concerns privately, and maintain open communication channels. Regular team meetings where everyone contributes ideas foster ownership mentality.

Competitive compensation matters, but non-monetary benefits often matter more. Flexible scheduling, performance bonuses, and paths to advancement create environments where talented people choose to stay and grow.

Your 5-Year Roadmap to Scaling a Landscaping Business

Scaling requires strategic planning beyond simply working harder. This roadmap outlines the systematic approach to building a multi-crew operation capable of running without your daily presence. Each phase builds upon previous achievements, creating sustainable growth.

Phase 1: Establishing a strong foundation

Years 1-2 focus on systematizing operations and achieving consistent profitability. Document every process, from initial client contact through service delivery. These standard operating procedures become your business blueprint, enabling delegation without quality loss.

Financial discipline during this phase determines future success. Before expanding, consistently achieve a minimum of 15% net margins. This profitability funds growth while proving your business model works.

Phase 2: Expanding service offerings and market reach

Years 3-4 introduce complementary services, leveraging existing client relationships. Add garden design tips, implementation, hardscaping, or specialized maintenance to increase average client value. Each new service should achieve profitability within six months.

Geographic expansion follows service diversification. Target adjacent neighborhoods where your reputation precedes you. This measured growth maintains service quality while accessing new revenue streams.

Phase 3: Building a multi-crew operation

Year 5 transforms you from operator to executive. Develop crew leaders capable of independently maintaining your standards. Implement landscaping contractor best practices for communication, quality control, and client satisfaction across all teams.

Technology becomes crucial at this scale. Integrated systems tracking performance metrics, profitability by crew, and client satisfaction scores enable data-driven management. This oversight maintains standards while freeing you for strategic planning.

Building a Business That Grows With You

The most successful landscaping contractors treat their business with the same meticulous care they bring to premium landscapes. By implementing these operational, financial, and growth strategies, you’re cultivating an enterprise capable of weathering any economic season while blooming year after year.

I’ve watched countless landscaping businesses transform from struggling operations to thriving enterprises by mastering these fundamentals. The common thread among all success stories? They stopped viewing bookkeeping and financial management as necessary evils and started leveraging them as competitive advantages. Your passion for creating beautiful landscapes deserves a business foundation equally well-designed.

Ready to take your landscaping business to the next level? Let Complete Controller’s team of financial experts create customized systems that give you the clarity and control to make confident growth decisions. Visit Complete Controller today for your free financial assessment and discover how proper financial management can transform your landscaping business into the success story you’ve always envisioned.

Frequently Asked Questions About Landscaping Contractor Tips

What are the most important tips for a new landscaping contractor?

Focus on three fundamentals: master job costing to know your true profitability on every service, build efficient scheduling and routing systems that maximize billable hours, and create a strong brand identity that attracts your ideal clients. These foundations support all future growth.

How do I price my landscaping services competitively?

Calculate your true costs including labor, materials, equipment depreciation, and overhead, then add your desired profit margin (aim for 20-30% minimum). Position your pricing based on value delivered rather than competing on price alone—clients pay premium prices for reliability and quality.

What software do landscaping contractors use?

Leading landscaping contractors use integrated platforms like Jobber or Aspire for scheduling and invoicing, QuickBooks for accounting, and specialized tools like LMN for accurate estimating. The key is choosing software that integrates well together to avoid duplicate data entry.

How can I get more clients for my landscaping business?

Combine digital marketing strategies like local SEO and social media with community-based approaches, including partnerships with local businesses and structured referral programs. Consistently collect and showcase client testimonials to build social proof that attracts new customers.

How do I handle seasonal cash flow challenges?

Develop complementary services for each season—spring cleanups, summer maintenance, fall preparations, and winter snow removal or holiday lighting. Build cash reserves during peak months equal to three months of operating expenses, and consider offering annual maintenance contracts with monthly payment plans.

Sources

• Aspire Software. “Average Profit Margins for Landscaping Business.” Your Aspire, 2023. www.youraspire.com/blog/profit-margins-landscaping
• DynaScape. “Landscaping Profit Margins: How to Double Your Profits.” DynaScape Blog, 2023. www.dynascape.com/blog/profit-margins
• Forbes. “How to Build a Successful Tech Stack for Your Business.” Forbes Tech Council, March 5, 2020. www.forbes.com/sites/forbestechcouncil/2020/03/05/how-to-build-a-successful-tech-stack-for-your-business/
• Greenius. “Landscaping Industry Trends Report 2023.” Greenius Research, 2023. www.greenius.com/industry-trends
• Introspective Market Research. “Landscaping Software Market Outlook 2023-2032.” Market Analysis Report, 2023.
• Jobber Academy. “How MIL-SPEC Landscaping Went from 0 to 60 Clients a Week.” Case Studies, 2023. www.jobber.com/academy/case-studies
• Jobber Academy. “A Complete Guide to Lawn Care Business Profit Margins.” Business Resources, 2023. www.jobber.com/academy/resources
• Joist. “7 Tips for Seasonal Cash Flow Management for Lawn Care Businesses.” Business Guide, 2023. www.joist.com/blog
• Landscape Writer. “Jobber Saves You Time and Money.” Software Reviews, 2023. www.landscapewriter.com/reviews
• Leap. “Average Profit Margin for a Landscaping Business.” Business Insights, 2023. www.leaptodigital.com/insights
• McFarlin Stanford. “Seasonal Strategies: Maximizing Revenue Year-Round.” Business Management, 2023. www.mcfarlinstanford.com/strategies
• SBA.gov. “Manage Your Finances.” U.S. Small Business Administration, 2023. www.sba.gov/business-guide/plan-your-business/manage-your-finances
• Wikipedia. “Landscaping.” Wikimedia Foundation, 2023. www.wikipedia.org/wiki/Landscaping

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud platform where their QuickBooks™️ file, critical financial documents, and back-office tools are hosted in an efficient SSO environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity. Reviewed By: Brittany McMillen

Brittany McMillen

Brittany McMillen is a seasoned Marketing Manager with a sharp eye for strategy and storytelling. With a background in digital marketing, brand development, and customer engagement, she brings a results-driven mindset to every project. Brittany specializes in crafting compelling content and optimizing user experiences that convert. When she’s not reviewing content, she’s exploring the latest marketing trends or championing small business success.

See Full Bio

Key Considerations for Smart Investing Decisions

The most important things to consider before investing are your financial goals, risk tolerance, investment timeframe, understanding of the investment, and how diversification and costs will impact your returns. Before making any investment, review your current finances, build an emergency fund, and thoroughly research fees, risks, and whether you’re comfortable potentially losing some or all of your investment.

As someone who’s guided entrepreneurs and business owners through financial decisions for over two decades at Complete Controller, I know that smart investing extends far beyond picking stocks or funds. The difference between regret and reward often comes down to asking the right questions—and insisting on full transparency from every adviser or product you consider. In this article, you’ll discover the seven critical factors that successful investors evaluate before committing their money, learn how to spot the warning signs of bad investments, and gain practical strategies for building a portfolio that aligns with your life goals while protecting your hard-earned wealth.

What are the things to consider before investing?

• The key things to consider before investing are understanding your financial goals, risk tolerance, investment timeframe, knowledge of the investment, fees, and portfolio diversification.
• Identify your short- and long-term financial goals to shape your investment choices.
• Assess your willingness and capacity to take on risk–know what loss you can truly absorb.
• Understand how your chosen investment works, including potential returns, fees, and risks.
• Build an emergency fund and address any high-interest debt before investing.

Define Your Financial Goals: The Foundation of Every Investment

Clarity on your goals stands as the first and most important step in the investing process. Are you investing for retirement, building wealth, buying a home, or funding children’s education?

Goals without structure tend to drift. That’s why successful investors use the SMART framework to transform vague wishes into actionable targets. Specific goals like “save $100,000 for a down payment in 5 years” carry more power than general desires to “build wealth.” Measurable benchmarks let you track progress monthly and annually. Achievable targets ground your aspirations in the reality of your income and obligations. Relevant investments align with your personal and family priorities. Time-bound deadlines help select the right investment products for your horizon.

Your investment time horizon dramatically shapes appropriate strategies. Long timeframes of 10+ years favor higher-risk, growth-oriented investments that can weather short-term volatility. Shorter goals under 5 years require more liquid and stable vehicles to preserve capital. The stock market might deliver 10% average annual returns over decades, but if you need money for a house down payment next year, those historical averages won’t protect you from a sudden 20% drop.

Know Your Risk Tolerance—And Your Risk Capacity

Every investment carries risk, from the safest government bonds to the most speculative cryptocurrencies. Understanding both your emotional tolerance for loss and your actual financial capacity to withstand setbacks proves essential for investment success.

Risk tolerance measures how much volatility you can emotionally handle without making rash decisions. Risk capacity examines how much risk your finances can bear without jeopardizing your broader well-being. These two factors often diverge—you might feel comfortable with market swings emotionally but lack the financial cushion to absorb actual losses. Higher returns come with higher risk, so balance these elements to suit your life stage and goals.

The 2020 COVID-19 market crash provided a real-world test of risk planning. The S&P 500 plummeted 34% in just 33 days during March 2020. Many investors panic-sold at the bottom, locking in devastating losses. Those with realistic risk plans and emergency funds stayed invested and benefited from the subsequent recovery—the market gained 70% over the following year. This stark difference highlights why understanding your true risk tolerance before crisis strikes can save your financial future.

Understand What You’re Buying: Never Invest in Confusion

Invest only in what you fully understand. If you can’t explain how you’ll make (or lose) money in simple terms, you shouldn’t proceed with that investment.

Product transparency starts with reading the prospectus, offering circular, or fact sheet before purchase. These documents reveal fees, lock-up periods, terms, and risk exposures that salespeople might gloss over. Verify all costs, including management fees, transaction charges, and exit penalties. Know your exit strategy—some investments offer daily liquidity while others lock up funds for years. Understanding redemption terms prevents nasty surprises when you need your money.

The crypto fraud epidemic of 2022 offers a sobering lesson about blind investment. Hundreds of investors lost over $20 million to online schemes promising “guaranteed” returns through complex crypto strategies. Basic due diligence would have revealed unregistered operations, missing regulatory filings, and impossible return promises. The FBI reported $9.3 billion in cryptocurrency-related losses in 2024, with older Americans losing $2.8 billion. These victims shared one common trait—they invested in products they didn’t understand.

Build an Emergency Fund and Pay Down High-Interest Debt First

An emergency fund serves as your financial shock absorber, protecting your investments from forced liquidation during life’s inevitable surprises. Investing before creating a safety net leaves you dangerously exposed.

According to Bankrate’s 2025 Emergency Savings Report, only 46% of Americans maintain enough emergency savings to cover three months of expenses. Even more concerning, 24% have no emergency savings at all. This lack of preparation forces people to raid retirement accounts or sell investments at losses when unexpected expenses arise. Keep 3–6 months of expenses in cash or safe, liquid accounts, completely separate from investments. Only invest long-term funds you can afford to set aside without risking daily stability.

Any investment return gets easily wiped out by high-interest credit card debt. With average credit card rates exceeding 20%, paying off these obligations delivers a guaranteed “return” that beats most investment options. A $5,000 credit card balance at 22% interest costs you $1,100 annually—you’d need exceptional investment performance just to break even. Always clear high-cost obligations before putting new money into the market.

Diversify to Manage Risk—Don’t Concentrate Your Bets

Diversification remains the single most powerful risk reduction strategy available to investors. Spreading investments across different assets, sectors, and geographies reduces the impact of any single loss and helps smooth overall returns.

Effective diversification goes beyond owning multiple stocks. Blend different asset classes, including stocks, bonds, cash, and alternative investments. Invest across various economic sectors—technology, healthcare, consumer goods, utilities. When feasible, add geographic diversification through international investments. Rebalance periodically to maintain your target allocation as market movements shift your holdings.

The 2008 financial crisis taught painful lessons about both the power and limits of diversification. Portfolios heavily concentrated in financial stocks or real estate suffered devastating 50-70% losses. Well-diversified portfolios containing stocks, bonds, international assets, and commodities experienced more manageable 15-20% declines. While diversification couldn’t prevent losses entirely—many asset classes fell together during the extreme stress—diversified investors recovered much faster than those with concentrated holdings. Yale University’s endowment, famous for its diversification across traditional and alternative assets, weathered the storm better than most institutional investors.

Count the Costs: Fees, Taxes, and Hidden Expenses Matter More Than You Think

Investment returns often get silently eroded by hidden or poorly disclosed costs. Every fee directly reduces your wealth accumulation potential over time.

Research from Mezzi demonstrates the shocking long-term impact of fees. On a $100,000 portfolio growing at 7% annually over 30 years, paying just 1% in annual fees costs you $186,877 in lost wealth. The no-fee portfolio grows to $761,230 while the fee-paying portfolio reaches only $574,353. For larger portfolios, a single 1% advisor fee could cost over $1 million across three decades. Even seemingly small fees compound dramatically—that “insignificant” 0.25% difference between funds translates to tens of thousands in retirement.

Smart investors ask pointed questions before committing funds. Request a complete fee breakdown, including management expenses, transaction costs, account maintenance charges, and exit fees. Demand real examples showing how fees impact returns over 10, 20, and 30 years. Compare similar products across different platforms—fee variations for identical strategies can exceed 1% annually. Take advantage of tax-advantaged accounts like 401(k)s and IRAs for greater after-tax growth.

Avoid Scams and Unlicensed Sellers—Trust Must Be Earned

Investment fraud has reached crisis levels. The Federal Trade Commission reported consumers lost over $12.5 billion to fraud in 2024—a 25% increase from 2023. Investment scams alone accounted for $5.7 billion in losses, making them the single largest fraud category.

Red flags for fraud follow predictable patterns. Promises of “guaranteed” high returns with no risk should trigger immediate skepticism. Pressure to invest immediately prevents proper due diligence. Legitimate investments provide detailed prospectuses and documentation—scammers offer vague promises and slick presentations. Unregistered advisers or platforms operate outside regulatory oversight. Complex strategies you can’t understand often hide fraudulent activity.

Verification takes minutes but saves fortunes. Use Investor.gov to check adviser credentials and disciplinary history. Search FINRA’s database for broker backgrounds and complaints. Verify investment products through official regulatory filings. If basic questions about fees, risks, or liquidity aren’t answered promptly and clearly, walk away. Trust must be earned through transparency, not claimed through smooth talking.

Final Thoughts

After two decades helping business owners navigate financial decisions at Complete Controller, I’ve learned that successful investing requires discipline, patience, and brutal honesty about your goals and limitations. Smart investors succeed by knowing exactly what they own, why they own it, and what it costs them. They build emergency funds first, understand their risk capacity, and never invest in confusion.

The strategies outlined here—from SMART goal setting to fee analysis to fraud prevention—form the foundation of wealth building. Start with one step: assess your emergency fund. Once that safety net exists, systematically work through each consideration before committing your first investment dollar. Ready to make your money work smarter with expert guidance? Visit Complete Controller for tailored advice and support from our team of financial professionals who understand the unique challenges entrepreneurs face.

Frequently Asked Questions About Things to Consider Before Investing

What is the first thing to consider before investing?

Determine your personal and financial goals to guide investment decisions. Clear objectives like retirement funding, home purchases, or wealth building shape every subsequent choice from risk tolerance to investment selection.

How much money should I have saved before investing?

Aim for an emergency fund covering 3-6 months’ expenses before allocating additional funds to investments. This buffer protects you from selling investments at losses during financial emergencies.

How do I assess my investment risk tolerance?

Consider your emotional response to losses, your financial capacity to recover from setbacks, and use online risk assessment tools. Many financial advisers offer questionnaires that evaluate both psychological and financial risk factors.

Should I pay off all debts before investing?

Focus on eliminating high-interest debts before investing, as returns rarely outpace these costs. Low-interest debt like mortgages can coexist with investing, but credit card debt averaging 20%+ should take priority.

How do I know if an investment is a scam?

Check adviser credentials through official databases, demand complete documentation, reject “guaranteed” returns, and vet both sellers and offerings using FINRA and Investor.gov. Legitimate investments never pressure immediate decisions or promise risk-free returns.

Sources

• Bankrate. (May 2025). “Bankrate’s 2025 Annual Emergency Savings Report.” https://www.bankrate.com/banking/savings/emergency-savings-report/
• Charles Schwab. “Portfolio Management Checklist.” https://www.schwab.com/learn/story/portfolio-management-checklist
• Charles Schwab. (2024). “Overconfidence Bias.” https://www.schwabassetmanagement.com/content/overconfidence-bias
• Colorado Division of Securities. “Smart Investor Checklist.” protectyourinvestments.colorado.gov/learn/smart-investor-checklist
• Cowrywise. (2024). “The Impact of Diversification on Portfolio Performance: A Case Study of the 2008 Financial Crisis.” https://cowrywise.com/blog/case-study-of-2008-financial-crisis/
• ERS. “Investing 101: A Beginner’s Guide to Growing Your Money.” www.ers.texas.gov/news/investing-101-a-beginner-s-guide-to-growing-your-money
• Federal Trade Commission. (March 2025). “New FTC Data Show a Big Jump in Reported Losses to Fraud to $12.5 Billion in 2024.” https://www.ftc.gov/news-events/news/press-releases/2025/03/new-ftc-data-show-big-jump-reported-losses-fraud-125-billion-2024
• Fidelity. “Investing for beginners | Investing ideas and planning.” www.fidelity.com/learning-center/trading-investing/investing-for-beginners
• Financial Conduct Authority. “5 Smart Investment Checks.” FCA, www.fca.org.uk/investsmart/5-smart-investment-checks
• GMO. (2008–2009). “When Diversification Failed.” GMO White Paper. https://www.gmo.com/americas/research-library/when-diversification-failed_whitepaper/
• Merrill Edge. “Investing 101: A Guide to Investing Basics.” www.merrilledge.com/investor-education/investing-basics
• Mezzi. (2025). “Impact of Fees on Long-Term Investment Growth.” https://www.mezzi.com/blog/impact-of-fees-on-long-term-investment-growth
• Morgan Stanley. “Investing 101: A Beginner’s Guide.” www.morganstanley.com/atwork/employees/learning-center/articles/investing-101-beginners-guide
• New Jersey Division of Consumer Affairs. “Guide to Safe Investing.” www.njconsumeraffairs.gov/bos/bosforms/Essential-Guide-to-Safe-Investing-Brochure.pdf
• Step. “An Investing Checklist for Beginners.” step.com/money-101/post/an-investing-checklist-for-beginners
• U.S. Bank. “How to Start Investing: A Beginner’s Guide.” www.usbank.com/financialiq/invest-your-money/investment-strategies/how-to-start-investing.html
• U.S. Securities and Exchange Commission. “Ten Things to Consider Before You Make Investing Decisions.” SEC.gov, www.sec.gov/investor/pubs/tenthingstoconsider.htm
• U.S. Securities and Exchange Commission, Investor.gov. “Five Questions to Ask Before You Invest.” www.investor.gov/introduction-investing/getting-started/five-questions-ask-you-invest
• U.S. Securities and Exchange Commission, Investor.gov. “Investor Preparedness Checklist.” www.investor.gov/introduction-investing/general-resources/investor-preparedness-checklist
• Vanguard. “How to Start Investing: A Guide for Beginners.” investor.vanguard.com/investor-resources-education/article/how-to-start-investing
• World Economic Forum. (April 2024). “Half of US Adults Lack Financial Literacy, Survey Shows.” https://www.weforum.org/stories/2024/04/financial-literacy-money-education/

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud platform where their QuickBooks™️ file, critical financial documents, and back-office tools are hosted in an efficient SSO environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

When owning a small or medium business, it may be difficult at times to ensure that its operations are running efficiently. To cater to such purposes, it is important to hire a professional in order to succeed in your accounting or, more specifically, tax services. Accountants are mainly responsible for appropriately conducting a business’ tax filings. It is the tax accountant’s job to take a detailed assessment to ensure the financial activities of your business are running smoothly. In addition, the accountant plays a major role in maintaining the prosperous state of a business’ operations. When initiating a startup, it is important to consider having a proper plan, including different strategies on how to engage professionals concerning tax compliance and tax flows. Hiring an accountant is often a wise and time-saving effort.

In order to better understand the importance of a tax accountant, some useful points are mentioned below that illustrate some of the benefits.

Reduces tax liability

A responsible accountant is well-versed in saving money by providing adequate counseling related to business taxation processes. There are several issues that arise when a business owner requests to file taxes. Such issues are defined in terms of tax liability. An accountant will help a business owner to cope with tax issues in a better, more efficient way.

Helps a business to grow more

A tax accountant knows exactly what is required in order to conduct business operations efficiently. For such purposes, it can be a game-charger to hire a tax accountant to appropriately deal with business activities in order to accomplish business goals within a short period of time.

Supports businesses deal with complex processes of filing and tax preparations

The process of paying taxes is considered a ‘cumbersome affair’ by many. In order to conduct an efficient taxation method, it is important to fill out the forms accurately by providing current information, including details of accounts, income, expenses, and payroll. All of these factors are necessary to keep the businesses on the right track. Hiring an accountant will help a business owner cater to all of these issues efficiently.  

It helps businesses to avoid costly mistakes

Due to the incredible number of responsibilities that a business owner undertakes, it may be challenging to ensure that every business operation is conducted with accuracy. Due to this, there is a high risk that an entrepreneur will make some errors during the taxation process.  These mistakes can be displayed as errors involving the amounts accounted for in taxes.

To cater to such types of issues, there is a need for a tax accountant who will help the business seamlessly navigate the processes. This approach will help keep the business owner from making these costly errors.

It helps businesses to deal with deductions

Hiring an accountant will help business owners identify potential deductions, as well as provide the best possible advice. This advice will help the owner to make strategic decisions with respect to year-end deductions. It has been observed that business owners often forget to keep track of the items like home office space, out-of-pocket expenses, and depreciation. A trained accountant can easily spot these potential deductions and get the business owner the most bang for their buck.

Saves time

Owning a business comes with a never-ending list of responsibilities to ensure that the business runs smoothly. Some of these include marketing, selling of products and services, and budget planning. An accountant is equipped to assist with the financial aspect of these areas efficiently. Hiring a tax accountant frees the business owner to focus on daily operations and long-term goals, thus saving valuable time and effort.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

Before starting a business, it is necessary to know what it is to be an entrepreneur. However, it is a promising career; it can be exceedingly difficult to achieve our goals.

Therefore, we must know the advantages and disadvantages of being an entrepreneur before creating a company. Knowing the pros and cons of the undertaking will allow us to know what to expect as we embark on an entrepreneurial journey.

Advantages of Entrepreneurs

First, it is essential to discover the benefits of entrepreneurship for people. If you have been an employee, entrepreneurship can positively change your life.

Work on What You Want

The entrepreneur chooses the job he wants, either because he has a business idea or because he decides to pursue a field of interest. Sometimes it is the dream job, or sometimes it is a job we like. Either way, entrepreneurship is a job one chooses, making it possible to work with more motivation.

In addition to choosing your work, you are also the one who chooses your team. If you need associates, you can select the right people to make the best employees for your business.

Work Autonomy

The entrepreneur becomes their own boss, so they decide what to do, when, and how to do it. You manage your business as you see fit, but beware that great power carries great responsibility, so all your decisions should be made in the business’s best interest.

Greater Profits

Beginnings are often complicated, but starting a business allows you to leave the comfort zone of your current payroll and aspire to higher income. If the company is doing well, you can earn more monthly income. Hence, your work and efforts are worth more money than ever.

Personal Satisfaction

Personal satisfaction is what inspires entrepreneurs. Creating something new, working for it, and watching it grow gives you a sense of satisfaction that cannot be described. People encounter many difficulties, but the joys that come from achieving goals that seem impossible are greater.

Disadvantages of Undertaking

When undertaking a venture, you realize that not everything is easy. Entrepreneurship has positive and negative aspects. Here are some of the disadvantages of being an entrepreneur and the risks involved.

Great Sacrifice and Dedication

Forget the consistent 8-hour workday with a predictable schedule. The entrepreneur’s life is very fluid, especially in the initial steps of creating a business. You often know when you begin your workday but not necessarily when it ends. Sometimes, it is necessary to work evenings and weekends to meet your business’s needs.

Entrepreneurs often become superheroes and take on jobs that had not previously been done. You probably work alone or with a small team, so you must work overtime and develop new skills to do all the necessary work. Free time as you knew it is now generally devoted to your new venture.

Discipline

Not everyone knows how to manage their time properly to accomplish all the necessary tasks. Being your own boss means being disciplined and managing your time in a way that enables you to achieve your business goals. Otherwise, the consequences for the business can be fatal.

Uncertainty and Economic Risks

We can indeed achieve greater benefits if our company is doing well, but nobody assures us the business will succeed. In the beginning, the bottom-line will often look like a rollercoaster of expenses and little income. We may have some good months, but the next our activity is null. There is no fixed monthly income for a growing business, and the economic uncertainty of the company is a reality for the entrepreneur.

Entrepreneurs are experts in living in a state of uncertainty. However, it might be worth the risk to have an escape route that can support you in case of an emergency.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

Credit card debt can be daunting, which is why it is extremely important not to let it get out of control. It’s even more important to avoid it completely in the first place. If you have accumulated a substantial debt and are worried about it, check out these few steps to beat the debt and keep it away forever. 

These steps will assist you on your path to financial stability. 

Have an Optimistic Approach:

This should be your first step, as it is important to set positive goals before taking any financial action. Creating a plan and a list of goals, and making achieving them a priority, is crucial. Having an optimistic approach means changing your routine and habits in your daily life to cater towards a more positive mindset. Take care to remain focused and persistent to reach your goals. Try your best to stay motivated during your journey, which can be easier to do with a positive mindset.

Don’t Use Credit Cards:

This should be an essential directive. Being aware of your debt, and choosing not to do anything about it, is extremely unwise. Put your credit cards aside so that you will not be tempted to use them. You will never be able to repay your debt if it continues to increase. Take care to control the use of your debit card, as well. The money in that account can be budgeted to repay your debt. Simply put, avoid using credit and make smarter decisions with the money you do have.

Prioritize the Credit Card Debt:

Prioritizing credit card debt means you must create a budget or plan for the debt that includes mortgages, interest rates, loans, etc. This plan will look different for everyone.  Carefully study the details of your credit card statements each month to calculate how much is paid and how much remains.

Manage Your Budget:

>Review your monthly expenses and budgets to look for opportunities to cut costs. Spending less should also be a priority. In this way, you will be able to save some amount and make payments on the debt regularly. Try to lessen expenditures in whatever way possible, such as using some generic products instead of name brands. Do this every month, and it will become a habit. By having healthy saving practices, you will be able to easily pay your credit card debts in larger amounts and avoid increasing interest rates.

Pay the Debt in Large Amount:

This should be done as soon as possible. Understandably, making larger payments will make it much easier and faster for you to repay the whole debt. Making larger payments is also more beneficial due to the increasing interest rates you incur when paying small amounts. Try to pay in large lump sum amounts instead of dragging the debt for years.

Have a Lower Interest Rate:

If you have a credit card with a higher interest rate, it will take longer for you to pay it off. The lower the interest rate, the shorter the repayment period. To pay off the debt you have now, one tactic is to contact the credit card provider’s customer service department and explain your situation. These institutions typically have different ways to help make it easier for you to make regular payments. Some may even reduce the interest rate because they do not want to lose your business.

Have a Strategy:

Now that you know what steps you need to take, form a strategy and stick to it. You cannot wish your debt away. Getting out from under it requires immediate action. The best way to do this is through goal-setting and proper planning, followed by rigorous discipline.  

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

When preparing to launch a business venture, entrepreneurs are faced with creating and developing a healthy and productive operational team. This involves organizing functional departments such as marketing, accounting, technology, customer service, and – Human Resources. You will need a designated plan for addressing recruiting, benefits, and compliance within your organization. These are the basic roles and responsibilities of an HR department and tips to ensure it runs smoothly

Recruiting

The major responsibility of the HR Department is staffing the company.  This is also called talent acquisition. Typically when there is a need for additional help, human resources creates a list of the job description and is responsible for attracting candidates with suitable skillsets and relevant expertise. This process can include posting on job boards, putting an ad in the classifieds, posting it on the company website, or using a third party service.

 

Talent Assessment

Talent assessment duties of the HR department include reviewing resumes, interviewing candidates, and testing their knowledge and skills relevant to the job. One major obstacle that HR typically faces is how to assess the loyalty and dedication of the candidate and potential new hire. Training and onboarding a new hire takes time and money; therefore, you want someone who will stick around.

A good tip to make sure you are hiring someone who has the potential for staying long term is by looking at how frequently they have switched their jobs in the past. If it is too frequent, then the chances are higher that they are looking for a better opportunity. While it is important to look into their education and certifications, overlooking job stability is a major flaw in the hiring process leading to severe consequences within the company.

Also, make sure that you interview candidates appropriately. It is important to have someone from the specific department help interview since they are the ones who will be working with that person.  

 

Terminating Employees

The HR department is also responsible for determining what constitutes grounds for terminating employment and deciding what that looks like. It can be very unhealthy for an organization’s firing process to be flawed. Companies show many talented employees at the exit door due to bad performance. What they may be missing here is the importance of looking into what is causing the bad performance. The employee may just be going through a bad phase of their lives. It is the job of an organization’s HR department to find out the problem with an employee and address it rather than firing them due to poor performance.

Favoritism

It is extremely important to have a department that is free of any favoritism as this is the biggest concern in the corporate sector. Usually, a successful HR department incorporates some sort of policy into a job application that disallows the family of the executives to apply for the job. This ensures your company avoids hiring on people that don’t add any value to the company.

Legal Compliance

Another major part of the HR Department is to make sure all of the correct tax forms are filled out when onboarding new employees. Any mistakes in this area can lead to fines by the IRS and loss of money from the company.

Conclusion

These are the common mistakes that ultimately prove to be fatal and unfixable. Statistics show that more than half of the small businesses worldwide dissolve within their first few years, and mistakes made in HR have the potential to cost a larger established firm millions of dollars. Ensure your company succeeds and invest in a qualified team.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

Sales increase by 17% when regular checks are made on business performance. However, unproductive business planning wastes 50% of sales time. The global business market is full of competitors, and their ratio in the market sector is multiplying with speed. No business can survive without learning from others’ success. Additionally, there is no room for error as demands and trends change in a short amount of time. You must be vigilant in your market search to know the intensity of your competition, as well as the behavior of your targeted audience.

Suppose you are new to your field or just merely surviving in the industry. In this case, you must learn tips to reduce expenses while improving your sales efficiency and performance. This will drive you to the next level as a sales agent.

Sales efficiency is an integral element that streamlines the production of your sales. It will also increase your productivity.

Sales Effectiveness Vs. Sales Efficiency

Utilize sales effectiveness measures to convert all your prospects into competitive leads. This will also expedite the money transaction process where clients pay you for your sales. There must be a win-win situation in your business in the sales process that makes your sales effective.

Your business’ sales become efficient with speedy sales operations. By expediting your sales and leads, you can produce the highest ROI. The sales team will produce revenue according to your relative costs.

The formula for the sales efficiency ratio is:

• Sales efficiency = (revenue/sales costs) × 100

Business KPIs and business goals can become a priority

You can only win in the game of sales efficiency when you know your goals and how to track your business’ success. Sales reps set their monthly sales target and work hard to meet that deadline. Make sure you do this from the beginning. For this, you can use the SMART goal method to make your goals measurable and realistic. The term SMART means;

S = Specific – Refers to the goal that you want to meet and the area of focus.

M = Meaning – The reason behind your goal.

A = Action-Oriented – Your potential steps to maximize sales.

R = Realistic – The ability to achieve your goal.

T = Timely – The duration of achieving your goal

Use KPI’s Key Performance Indicators to track sales operations closely. Recognize all bottlenecks and try to solve the issues one at a time, as this will help you reduce inefficiency.

Identify your targeted and ideal audience

Unproductive business planning wastes 50% of sales time. Identifying and addressing your target audience is necessary for sales efficiency. You must be aware of what your targeted audience wants and who they are. You will also need to address your target audience’s needs and pain points to attract them to your brand. Discuss your product’s unique selling points with your customers and tell them why your product is different from other brands.

Next, let’s talk about the sale of blogs, descriptions, or articles. You must pay close attention to the quality, quantity, nativity, flow, grammar, etc. To promote your brand this way, you will need to know about your customer, data points, pain points, etc. Use sales intelligence software or tools such as Lead Machine. You can create the persona of those who are willing to purchase your product.

Make your sales process repeatable and consistent

Qualified leads, team collaboration, and on-time sales all work to improve your sales efficiency. For this, consider the key steps in the sales process:

• Research and Preparation – This includes the product’s scope, ideal customers, unique selling points, etc.
• Prospecting – Get clients into your sales funnel by using data to identify those potential prospects.
• Pitch and presentation – Allow the sales representative to address their product’s unique selling points.
• Closing – Address your audience about closing the project with the term PROJECT HAS CLOSED.
• Follow-up – Obtain references that lead to conversion.
• Issue resolution – Aim for on-time solutions of all issues.
• Prospects – Your prospects must match with your clients’ demands and pain points.
• Objection solutions – Accept and aim to fix all the objections regarding your project.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

How to Be a Successful Trader:
Master Your Trading Skills with Proven Strategies

To be a successful trader, you need a well-defined trading plan, strict risk management limiting losses to 1-2% per trade, disciplined emotional control, and continuous education about market dynamics through both technical and fundamental analysis. Success comes from systematically applying these principles while maintaining detailed trading journals to track performance, identify patterns, and refine strategies based on real results rather than emotions or market hype.

Research shows that 97% of day traders lose money, with only 1% achieving predictable profits after fees—a sobering reality I’ve witnessed firsthand through two decades of guiding business owners at Complete Controller. Whether you’re trading stocks, forex, or cryptocurrency, the difference between the profitable 1% and everyone else comes down to process, patience, and psychological mastery. This article reveals the exact frameworks elite traders use to build consistency, including the proven 1% risk rule that preserves capital through losing streaks, why women traders outperform men by 21.44% annually through disciplined approaches, and how legends like Paul Tudor Jones turned systematic planning into billions.

What does it take to be a successful trader?

• To be a successful trader requires: a trading plan, risk management, emotional discipline, and ongoing market education
• A trading plan defines your market selection, timeframes, entry/exit rules, and position sizing
• Risk management protects capital by limiting losses to 1-2% per trade using stop-losses
• Emotional discipline prevents revenge trading, overconfidence, and panic selling during volatility
• Market education combines technical analysis (charts, patterns) with fundamental analysis (economics, earnings)

Develop a Winning Trader Mindset: The Foundation of Success

Trading success starts between your ears, not on your screens. Elite traders share three psychological traits: resilience to bounce back from losses, growth orientation that treats setbacks as data, and emotional control that overrides impulse.

The data backs this up dramatically. Research from UNSW Business School found that female traders outperform male investors by 21.44% annually—not through superior analysis, but through patience and emotional discipline. Women trade less frequently, avoid revenge trading after losses, and resist overconfidence during winning streaks. This behavioral edge matters more than any technical indicator.

Building mental toughness through routine

Professional traders build mental strength through consistent daily habits. Pre-market preparation includes reviewing overnight developments, identifying key levels, and setting clear intentions for the day. During market hours, they follow predetermined rules rather than gut reactions. Post-market review analyzes both trades and emotional responses, creating a feedback loop for improvement.

Paul Tudor Jones, who predicted Black Monday and earned 60% returns while markets crashed 22%, maintains a detailed trading journal tracking not just trades but psychological states. This practice helps identify emotional patterns before they become expensive mistakes. Studies show traders who journal identify recurring errors 40-50% faster than those who don’t.

Learning from losses and bouncing back

Every successful trader has a drawer full of losing trades. The difference lies in response. Amateur traders blame markets, news, or manipulation. Professionals analyze what they controlled: entry timing, position sizing, and exit execution. They ask better questions: Did I follow my plan? Was my risk appropriate? What would I do differently?

This growth mindset transforms expensive lessons into valuable education. Research indicates profitable traders typically endure 6-12 months of losses before achieving consistency. Those who quit interpret losses as failure. Those who succeed see them as tuition in the school of markets.

Crafting Your Personalized Trading Plan

A trading plan separates gambling from investing. Without written rules, every trade becomes an emotional decision vulnerable to fear, greed, and hope—the trinity of trading destruction.

Professional traders agree that a comprehensive plan ranks as the single most important differentiator between amateurs and experts. Your plan acts as both GPS and guardrails, keeping you on course during volatile markets when emotions run highest.

Key components of a trading plan

Your trading plan must answer fundamental questions before you risk a single dollar:

• Market Selection: Define whether you’ll trade stocks, forex, commodities, or crypto—each has unique characteristics
• Timeframes: Specify if you’re scalping (minutes), day trading (hours), swing trading (days), or position trading (weeks/months)
• Entry Criteria: List exact conditions required to enter trades (technical patterns, fundamental catalysts, or combined signals)
• Exit Rules: Predefine both profit targets and stop-loss levels based on risk/reward ratios
• Position Sizing: Calculate how much capital to risk per trade using the 1% rule
• Trading Hours: Set specific times you’ll trade to avoid fatigue and maintain consistency

The value of a trading journal

Your trading journal transforms random experiences into systematic improvement. Beyond recording entries and exits, document your reasoning, emotional state, and market conditions for each trade.

Elite traders like Paul Tudor Jones credit journaling as essential to their success. Research confirms traders using detailed journals improve win rates and plan adherence within just three months. Harvard studies found portfolio managers who journaled emotional states outperformed peers, especially during volatile periods.

Effective journals track:

• Entry rationale and market setup
• Emotional state (confident, fearful, greedy, patient)
• Position size and risk calculation
• Exit execution versus plan
• Lessons learned and adjustments needed

Mastering Risk: Protecting Your Capital Like a Pro

Risk management separates traders from gamblers. Markets will humble everyone eventually—the question becomes whether you’ll survive to trade another day.

The mathematics of loss recovery explains why capital preservation trumps profit chasing. Lose 50% and you need 100% returns just to break even. Lose 90% and you need 900% returns—virtually impossible. Smart traders focus first on not losing money.

Clarity beats chaos. Visit Complete Controller now.

Essential risk management tools

The 1% rule forms the bedrock of professional risk management. Never risk more than 1% of your account per trade—if you have $10,000, risk maximum $100. This seems overly conservative until you understand the math: even 10 consecutive losses leave you with $9,000, plenty to recover.

Research validates this approach. Traders using proper position sizing and experiencing 10 straight losses retain 90% of capital. Conversely, traders using margin leverage average -4.53% returns, proving that bigger bets mean bigger losses, not bigger wins.

Critical risk tools include:

• Stop-losses: Automatic orders that exit losing trades at predetermined levels
• Position sizing: Calculating shares/contracts based on stop distance and account risk
• Diversification: Spreading risk across multiple trades, markets, or strategies
• Maximum daily loss: Stopping trading after hitting predetermined loss limits

Avoiding common pitfalls

Revenge trading destroys more accounts than any other behavior. After losses, traders double position sizes trying to “win it back”—violating every risk rule. Similarly, averaging down (adding to losing positions) turns small losses into account-ending disasters.

Set daily loss limits that trigger mandatory breaks. If you lose 3% in one day, close your platform and analyze what happened. Professional traders know some days the market wins—accepting this reality preserves capital for better opportunities.

Technical and Fundamental Analysis: The Trader’s Toolkit

Markets move based on two forces: human psychology (revealed through price charts) and economic reality (shown in data and earnings). Master traders read both languages fluently.

Neither approach alone provides a complete picture. Technical analysis shows what’s happening but not always why. Fundamental analysis explains why but often lags price action. Combining both creates higher-probability trades.

Technical analysis essentials

Price charts reveal crowd psychology through patterns repeated across all markets and timeframes. Support and resistance levels show where buyers and sellers historically emerge. Trend lines identify market direction. Volume confirms or contradicts price movements.

Key technical tools include:

• Moving averages: Smooth price action to identify trends (20-day, 50-day, 200-day)
• RSI (Relative Strength Index): Measures overbought/oversold conditions
• MACD: Identifies momentum shifts and trend changes
• Candlestick patterns: Reveal short-term reversal and continuation signals

Fundamental analysis insights

Economic calendars drive major market moves. Interest rate decisions, employment reports, and GDP data create volatility and opportunity. Earnings reports move individual stocks dramatically—both up and down.

Smart traders combine economic awareness with technical timing. If unemployment spikes (fundamental), wait for price to break support (technical) before shorting. This confluence approach increases win probability while maintaining disciplined entry.

Building Consistency: From Trading Rules to Daily Routine

Consistency beats brilliance in trading. Making 1% monthly through disciplined execution compounds into 12.7% annually. Chasing 10% monthly through aggressive trades usually ends in significant losses.

Professional traders operate like airline pilots—following checklists regardless of experience. This systematic approach removes emotion from execution and creates repeatable results.

Setting process-oriented goals

Outcome goals (making $1,000 monthly) create pressure and poor decisions. Process goals (following your plan on 95% of trades) build habits that naturally produce profits. Track metrics like plan adherence, risk management compliance, and journal completion rates.

Research shows traders focusing on process metrics achieve profitability faster than those fixated on profit/loss. You control whether you follow your rules—you don’t control whether markets cooperate today.

Structuring your trading day

Professional trading follows predictable rhythms:

Pre-Market (30-60 minutes):

• Review overnight developments and economic calendar
• Identify key support/resistance levels
• Plan potential trades with specific entries and exits
• Set daily loss limits and process goals

Active Trading:

• Execute only trades matching your plan criteria
• Monitor positions without micromanaging
• Maintain trading journal in real-time
• Take breaks every 90 minutes to maintain focus

Post-Market Review (30 minutes):

• Analyze executed trades versus plan
• Update journal with lessons learned
• Prepare watchlist for tomorrow
• Review weekly/monthly performance trends

Beyond the Basics: Where Most Traders Get Stuck

Standard trading education covers analysis and risk management, but real breakthroughs require deeper work. After 20 years helping businesses navigate financial complexity, I’ve learned that sustainable success demands continuous evolution.

Most traders plateau because they stop learning after initial education. Markets evolve constantly—strategies that worked yesterday may fail tomorrow. Elite traders invest 10-20% of profits into ongoing education, technology, and mentorship.

Breaking through trading plateaus

Regular performance audits reveal hidden weaknesses. Review your last 100 trades: What patterns emerge? Do you consistently exit winners too early? Hold losers too long? Trade impulsively on Mondays? Data reveals truths ego conceals.

Building a support network accelerates growth exponentially. Join trading communities where members share experiences and hold each other accountable. Find mentors who’ve traveled your path—their guidance saves years of expensive mistakes.

Technology provides edges when used wisely. Automated scanners identify opportunities across thousands of instruments. Backtesting software validates strategies before risking real money. But remember: tools amplify skills, they don’t replace them.

Conclusion

Trading success isn’t about finding holy grail strategies or inside information—it’s about mastering yourself while respecting market realities. The 97% who fail chase quick riches. The 1% who succeed build systematic processes, manage risk religiously, and improve continuously.

Start your transformation today: Open a trading journal and document your next 10 trades completely. Calculate position sizes using the 1% rule before entering any trade. Set process goals for this week—not profit targets. These simple actions separate future professionals from perpetual amateurs.

I built Complete Controller helping entrepreneurs systemize their finances for predictable success. Trading requires the same discipline. Ready to master the mental and systematic side of trading? Visit Complete Controller for insights on building financial discipline and streamlining your investment approach.

Frequently Asked Questions About How to Be a Successful Trader

What percentage of traders actually make money consistently?

Only 1% of traders achieve predictable profits after fees, while 97% lose money according to multiple studies. Success requires discipline, education, and proper risk management over years, not months.

How much capital do I need to start trading successfully?

Start with an amount you can afford to lose completely. While stock day trading requires $25,000 minimum (PDT rule), forex and crypto allow smaller amounts. Focus on risk management and skill development before scaling capital.

What’s the best trading strategy for beginners?

Simple trend-following strategies work best for beginners. Focus on one approach—like buying pullbacks in uptrends using moving averages and support levels. Master this before adding complexity.

How long does it take to become a profitable trader?

Expect 6-12 months minimum of losses while learning, with part-time traders often requiring 1-2 years. Only 4% of traders with adequate capital, mentorship, and daily practice successfully trade for a living.

Why do women traders outperform men statistically?

Women traders achieve 21.44% better annual returns through patience and emotional discipline. They trade less frequently, avoid revenge trading, and maintain skepticism during winning streaks—behaviors that reduce costly mistakes.

Sources

• CCX, Singapore Management University. “Sorry Guys, but Women Make Better Investors than Men.” https://ccx.smu.edu.sg/perspectives/articles/sorry-guys-women-make-better-investors-men
• Complete Controller. “5 Money Management Tips to Help Avoid a Deficit.” https://www.completecontroller.com/5-money-management-tips-to-help-avoid-a-deficit/
• Complete Controller. “How to Streamline Your Investment Portfolio.” https://www.completecontroller.com/how-to-streamline-your-investment-portfolio/
• Complete Controller. “Stock Markets and Mobile Applications.” https://www.completecontroller.com/stock-markets-and-mobile-applications/
• CFTC. “Retail Traders in Futures Markets.” https://www.cftc.gov/sites/default/files/2024-11/RetailTradersFuturesV2new_ada.pdf
• HighStrike. “Day Trader Income: How Much Do Traders Really Make?” https://highstrike.com/how-much-do-day-traders-make/
• Investopedia. “Technical Analysis.” https://www.investopedia.com/terms/t/technicalanalysis.asp
• Investopedia. “Trading Psychology.” https://www.investopedia.com/terms/t/trading-psychology.asp
• LuxAlgo. “Adjusting Position Size: Managing Risk Without Sacrificing Profit Potential.” https://www.luxalgo.com/blog/adjusting-position-size-managing-risk-without-sacrificing-profit-potential/
• MarketBulls. “Master Trading Success: Your Step-by-Step Guide.” Market-Bulls.com. https://www.market-bulls.com
• NewTrading.io. “Is Day Trading Profitable? Here’s What Statistics Say.” https://www.newtrading.io/is-day-trading-profitable/
• Quantified Strategies. “Day Trading Statistics 2025: The Hard Truth.” https://www.quantifiedstrategies.com/day-trading-statistics/
• SEC Office of Investor Education and Advocacy. “Why Diversification Matters.” https://www.investor.gov/introduction-investing/investing-basics/why-diversification-matters
• Sykes, Timothy. “Legends of Trading: Paul Tudor Jones.” https://www.timothysykes.com/blog/paul-tudor-jones/
• Trade The Pool. “The Importance of Keeping a Trading Journal.” https://tradethepool.com/mental-skill/the-importance-of-keeping-a-trading-journal/
• TradeTheSwing.com. “How Long It Takes to Make Money Day Trading or Swing Trading Consistently.” https://tradethatswing.com/how-long-it-takes-to-make-money-day-trading-or-swing-trading-consistently/
• TradingView. “The 1% Rule: A Key to Long-Term Trading Success.” https://www.tradingview.com/chart/BTCUSD/qiNlQQ2t-The-1-Rule-A-Key-to-Long-Term-Trading-Success/
• TradingView. “The Power of a Trading Journal: Key to Consistent Success.” https://www.tradingview.com/chart/GBPUSD/aq9Q9adz-The-Power-of-a-Trading-Journal-Key-to-Consistent-Success/
• Verified Investing. “Paul Tudor Jones: The Man Who Saw Black Monday Coming.” https://verifiedinvesting.com/blogs/education/paul-tudor-jones-the-visionary-who-predicted-the-87-crash

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud platform where their QuickBooks™️ file, critical financial documents, and back-office tools are hosted in an efficient SSO environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity. Reviewed By: Brittany McMillen

Brittany McMillen

Brittany McMillen is a seasoned Marketing Manager with a sharp eye for strategy and storytelling. With a background in digital marketing, brand development, and customer engagement, she brings a results-driven mindset to every project. Brittany specializes in crafting compelling content and optimizing user experiences that convert. When she’s not reviewing content, she’s exploring the latest marketing trends or championing small business success.

See Full Bio