I seriously don't understand how a business would use it like for a restaurant or like a clothing shop ?
how do businesses use budgetary control? Watch
- Thread Starter
- 08-02-2017 14:51
- Community Assistant
- 08-02-2017 15:38
Budgeting is just controlling costs vs income at it's heart. It's motivational for management etc too, but this isn't it's basic purpose so we can think about that later.
You wouldn't want to spend 50k on thousands of items of clothes if you're a tiny store and are only expecting to sell a third of them before the season/fashion changes and you can't sell them any more. You also wouldn't want to pay your staff £100 a day if they're only making £70 for the company in sales.Last edited by AmeliaLost; 08-02-2017 at 15:40.