Excel is one of the most powerful tools out there, making it a staple in most business owners’ toolboxes, and can be used for all sorts of things. Most people use Excel to work on spreadsheets, track their personal finances and make reports on their spending habits.
Also, did you know that Excel can also be used for entrepreneurship? If you’re an entrepreneur looking to grow your business (or just want to save some money). This article will help you understand Excel and its benefits for your business.
What is Excel?
Being an entrepreneur, you are well aware of what Excel is. However, this section is a heads-up before diving into the benefits Excel offers.
Microsoft developed a spreadsheet application called Excel. It’s used to create and analyze spreadsheets, which are just large amounts of data arranged in rows and columns.
Excel includes many features that help you organize your work quickly and easily like:
- Moving around in the file (by dragging).
- Inserting tables into existing spreadsheets.
- Creating charts from scratch using formulas.
It’s Easy to Get Started with Excel
Excel isn’t a difficult subject to crack. You can learn the basics of Excel by reading a book, watching a YouTube video, or attending a workshop. If you want to learn more than just the basics, plenty of resources available online will help you learn more advanced techniques in no time!
There are a lot of online courses for learning about Excel for entrepreneurs. Excel helps you make better business decisions. It saves you money and time, especially if you have a lot of data to process.
Basic Excel Features That Are Important for Business
You needn’t master Excel to use it for your business. The basics can take you far. You just need to know how to create tables and charts, so that’s what we’ll focus on here!
If you’re an entrepreneur and have only been using spreadsheets as part of your day-to-day operations, learn how to build simple tables and charts using basic formulas. Later you can add more advanced functions like conditional formatting or rulesets.
- Pivot Table
Pivot tables help process and summarize large amounts of data efficiently. They allow you quickly spot trends and make decisions based on those trends.
Pivot tables can be created in Excel, making them easy to create, use and maintain. You can easily share your pivot tables with others who need them or export them in an easily-readable format like CSV (comma-separated value).
- Drop-Down Listing
A drop-down list is one of the most efficient features in excel. When you select a cell, the drop-down appears with the list for you to decide.
For example, you can create a dynamic drop-down in Excel to keep track of the employee shifts. Since the name and time of the day are fixed, you can use them as the data source for your listing.
You can also generate source data like paid and unpaid and update your excel document based on the payments made. This helps you be well aware of the pending expenses and the number of hours each employee worked for.
If you’re a data geek, then it’s likely that you’ve already heard of formulas. They’re one of the most valuable tools at your disposal when it comes to Excel, and they can save you countless hours of work by allowing you to perform calculations automatically.
For example, if you wanted to know how many orders were sold to customers in June 2022, you could use a formula like this one:
This would give me the total number of orders sold, which is precisely what you need. This method saves time and space because each column only needs its formula if necessary. To create such data, you need access to the order document.
How Excel Helps Make a Difference in Your Business
Most entrepreneurs are familiar with Microsoft Excel but unaware of its importance for their business. The following would help you understand the benefits.
- Use Excel to Create Your Business Budget
It is vital to have a business budget in place. A business budget helps you to keep track of your finances. You can make informed decisions about the required budget for each project and whether or not it’s worth investing in something before moving forward.
- Compare Expenses to Income and Profits with Excel
When it comes to tracking your finances, Excel is an effective tool. It can help you quickly import data from other sources and visualize it in the spreadsheet.
You can also use the power of formulas to create automatic calculations that will help you keep track of important information, like how much money is coming in and going out each month.
If your business makes $10k per month but has expenses of $5000 per month (e.g., rent, transport, salary), then there’s no way for you to know what kind of profit there should be after taxes without using Excel!
With this tool, enter all relevant expenses into Column A on one side of your screen while entering income in Column B. You’ll see exactly where each dollar goes when calculating profits/losses due to taxes.
- Create an Expense Tracker in Excel
You can create an expense tracker in Excel that will help you keep track of your monthly expenses.
Excel helps you stay organized and ensure you are spending fairly. It’s also an excellent way to track your cash flows if you don’t know where they’re going, so it might as well be helpful.
- Track Customer Information in Excel with a Customer Tracking Spreadsheet
Tracking customer information is crucial for any business. It helps you keep track of what people like, what they don’t like, and why they are buying from your company or not.
Excel is a great tool to help with customer tracking. You can use Excel’s advanced functions to create a tracking spreadsheet that will allow you to quickly gather the data needed for improving your product or service offerings based on their needs and preferences.
Here’s an idea on how to create your customer tracking spreadsheet:
- Create a customer call log in Excel.
- List all the customers you want to call.
- List the date and time you want to call them.
- Track Successful Networking Efforts With a Networking Spreadsheet
Tracking your networking efforts with a spreadsheet is an easy way to keep track of the number of people you meet and the relationships you form.
Here’s what it looks like:
Create a spreadsheet that lists all of the individuals you have connected, whether they are connected to your target market.
For example, if someone leaves their contact information on the card table, enter them into this list under “people I’ve met but haven’t been introduced yet.”
Excel is an excellent tool for entrepreneurs. There are so many ways of using excel for entrepreneurs. It’s not just for accountants anymore. If you want to ensure your business is running smoothly and efficiently, then training on how to use Excel is essential.
Excel can help you as an entrepreneur by ensuring everything has been recorded properly and accurately. This ensures there aren’t any mistakes later down the road when trying to report results.