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when most people think of budgeting they think of an operating budget thats what were going over here what well talk about forecasting revenue forecasting expenses and then therefore forecasting that profit the other two are capital budgeting as I mentioned which is forecasting the profitability of projects and investments and financial budgeting which Ill put a late video out later on which is the forecasting of cash flows so well get into this Ill put into a link down in the description where you can download this very same spreadsheet that Im referring to here and tinker around with it any operating budget starts with it has a bunch of sub budgets in it I guess you could call them and it starts with forecasting sales because demand is what drives everything the business so you know the amount that youll make the amount that youll purchase the amount of labour that youll plan on there etc all is going to start with the amount you plan to sell this particular budget here is
