Question

Why is it important to plan for unexpected expenses?

Answer 1

The way of doing business has changed a lot from what it was few years back, the level of competition both in terms of quality and quantity is intense. In order to sustain and succeed, Organizations cannot afford to make mistakes because the margin of error is very low. Planning and strategizing is an important aspect of business although there are various aspects that may be unexpected and uncalled for hence it is important to maintain a buffer or reserve of capital that will help the organization use it accordingly as per their convenience and needs. The process will actually assist the organization in their way to develop and grow.