How to run your home like a good business

CFO Laura Linden shares her invaluable guide to cutting household costs, building budgets and hiring the best people (aka your children!) for the job

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Running a business and keeping the home fires burning are more similar than you might think. Each involves planning where to put your resources (holiday or new bathroom?), choosing how and where to use your time (DIY or hire a handyman?) and how get more bang for your buck (Lidl vs Waitrose).

I should know, as a chief financial officer and founder of Feisty FD - for 12 years I've been telling companies what changes to make to increase their profits (and have even written about it in my upcoming book, UnF*** Your Business Finances).

As a mother of two, I've been using the same tactics at home and I bet you have too. In fact, you might be the Chief Financial Officer of your own household without even realising it, employing management techniques and business strategy as you pay the bills, get the children to school and sort the food shop.

For instance, if you've ever sold your kid’s old clothes on Vinted, you wouldn't think it takes a business mind to do it - but organising photos, pricing, and competition analysis is something business owners do. So don't underestimate what you could offer just because youre not at a desk. Here’s how that CFO mindset can transform your household, help you trim costs and save for the things you love to do.

Do a household profit and loss

List your income such as wages, side hustles and benefits and all your outgoings (mortgage/ rent, bills, childcare and food) so you can clearly see if you're spending more than youre bringing in. If your costs are rising but your revenue and profits (income from your main job and side hustles) are not, youre spending money on the wrong thing and it’s not giving you a good enough return.

Build a rainy day fund