A detailed and accurate budget is essential to ensuring your business has sufficient cash flow. Use this small business budget template to calculate your profit by subtracting fixed and variable costs from business income.

Income: All sources of money coming into your business

  • Possible income sources:
    • Sales income
    • Capital gains
    • Royalties
    • Commissions
    • Referral fees
    • Renewable service contracts
  • Tip: When budgeting for future revenue, keep estimates conservative 

Fixed Costs: Business expenses that remain constant each month

  • Possible fixed costs:
    • Office lease
    • Property tax
    • Minimum loan payments
    • Insurance
    • Business permits and fees
    • Full-time wages
  • Tip: Some costs, like utilities and advertising, both have fixed and variable components

Variable Costs: Business expenses that fluctuate each month

  • Possible examples:
    • Packaging
    • Equipment rentals
    • Travel expenses
    • Entertaining clients
    • Consultant fees
    • Part-time wages
  • Tip: Many variable costs, like postage, can be calculated by the cost-per-unit