7Financial management

This Chapter:

  • looks at the financial considerations that need to be taken into account when setting up a practice;
  • explains how to establish a suitable financial system, including business planning, monthly forecasting and invoicing;
  • discusses the key financial performance indicators and how best to use them to monitor the business.

7.1 Introduction

Most architects go into practice to create great buildings, but it is vital to recognise that it is a business and there are certain financial imperatives if it is to survive. The establishment and management of a practice incurs cost, and so it is essential to make money both to survive and to invest in the practice’s future.

There are certain legal requirements on the ...

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