How to Estimate Your Small Business’ Future Sales

Posted Nov 17, 2022

Effective budgeting requires a look at existing assets as well as a forecast into future sales. As a small business owner, you can only spend what you have, and you should always aim to spend less than your anticipated revenues. This is well-understood, practical business advice.

The cornerstone to a strategic growth strategy includes smart projections for your sales in the next quarter and year. With those projections, managers can then set goals and allocate the right resources toward accomplishing them.

Of course, estimating your small business’ future sales requires more than a bit of guesswork. Thankfully, you can follow the steps below and leverage technology you likely already have, such as your CRM platform, to simplify the sales forecasting process.

First, we start with a definition. What is sales forecasting? This is followed by instructions on how to calculate small business sales projections, and the best way to manage the data.